Which Is Not A Characteristic Of Group Health Insurance

Group health insurance is a type of health insurance coverage that is offered to a group of people such as employees of a company members of an organization or members of a trade association. This type of insurance is usually less expensive than individual health insurance because the insurer is spreading the risk across a larger group of people. However there are certain characteristics of group health insurance that are important to understand. In this article we will discuss which is not a characteristic of group health insurance.

Pre-existing conditions are not covered

One of the most significant differences between individual group health insurance is how pre-existing conditions are treated. Individual health insurance plans may require individuals to go through a medical underwriting process to determine if they have any pre-existing conditions. If they do they may be denied coverage or charged higher premiums. Group health insurance plans on the other hand are required by law to cover pre-existing conditions. This means that even if you have a pre-existing condition you can still get coverage under a group health insurance plan.

Coverage is not portable

Another important characteristic of group health insurance is that coverage is not portable. This means that if you leave your job or your organization you may lose your health insurance coverage. However you may be able to continue your coverage under COBRA which is a federal law that requires certain employers to offer continued health insurance coverage to employees their families for a limited period of time after they leave the company.

Individual choice is not emphasized

Group health insurance plans typically offer a limited number of plan options individuals do not have as much choice when it comes to selecting their coverage. This is because the insurer is offering coverage to a group of people they want to keep the costs of coverage low for everyone in the group. As a result individuals may not be able to choose the exact type of coverage that they want or need.

Conclusion

In conclusion pre-existing conditions are covered coverage is not portable individual choice is not emphasized in group health insurance plans. If you are considering group health insurance it is important to understthese characteristics how they may impact your coverage. Make sure to carefully review your plan options speak with your employer or insurance provider to determine the best option for your needs.