Most health insurance options are group plan options. They’re offered through an employer, and many people today get their health insurance from these options. They’re not the only ones available, however. Individual health plans are available. They’re purchased on an individual or family basis and have a specific health insurance policy that applies only to the individual (or family) it was purchased for.
The most common reason people by individual health plans is that they don’t receive any from their employer. For people who are self-employed, cannot be employed, or are not eligible for health insurance coverage through their employer this is often their only option. While some health plans do cover spouses and dependents, sooner or later a person is going to have to have their own policy in order to receive the kind of health care they want in the event of illness or accident.
One other common reason people opt for an individual health plan is that it can supplement a group plan that they find lacking. An employee who gets their primary insurance through their employer can still purchase an individual health plan to focus on specific areas their major insurance policy may not cover, such as specific vision or dental care. These policies can be purchased through insurance companies as individual health plans and make a lot more financial sense for a person than attempting to pay for eye visits and glasses for the whole family, for example. They also offer flexibility and extended coverage for people who want to have more coverage in the event of disaster. For many people, having to pay out of pocket for a non-network doctor through their major insurance plan can be offsetting enough that they get a supplementary individual health plan so that they don’t have to worry.