Why Group Insurance is Essential for you

The vast majority of Americans who have health insurance are insured through their employers. This is known as group insurance, and has many benefits. People who are covered under group plans generally find that their insurance is affordable, comprehensive and guaranteed.

Types of Group Insurance

Group insurance is categorized by the size of the insured company - small, mid-size and large. Size requirements vary by state, but nearly all large companies in the United States offer health insurance plans to their employees.

Affordability

One major factor of why group insurance may be essential to you is cost. The fees for an individually carried insurance plan are prohibitive for many people. When you have insurance through your employer, however, the employer covers the bulk of the costs, with your share being deducted from your paycheck. This allows you to have all the benefits of the insurance plan while leaving your take-home pay virtually intact.

Guaranteed Coverage

Another huge advantage of group insurance is guaranteed coverage. You as an individual cannot be denied coverage once your company has been approved for insurance. If you have a preexisting medical condition or a lengthy medical history, this can mean that group insurance is your only option for private coverage. Most group plans do not even require employees to fill out paperwork about medical history or to take a physical exam. As long as your employer remains insured, your insurance cannot be revoked.

Coverage for Family Members

Most group insurance plans provide coverage for your family as well. Trying to pay for family health insurance on your own can be extremely expensive. If your group insurance covers your family, however, your spouse and children will receive most of the same coverage that you do.

Availability of Different Types of Plan

Many employers will offer their employees a menu of different insurance plans. These will have different fees and co-pay plans and will include varying types of coverage. This way, you can choose the plan that best suits your needs. For example, if you are married, have two children and are on prescription drugs, you could opt for different cover-age than a coworker who is single and has no prior medical conditions. There are often options for dental and vision packages, as well.

COBRA

If you have insurance through your employer, then you are eligible for continued benefits through COBRA, the Consolidated Omnibus Budget Reconciliation Act of 1985. This means that if your job status changes, you will still be covered under the terms of your old plan. For example, if you are laid off or go from full-time to part-time employment, you can continue your health coverage, at least temporarily. Any family members covered by your group insurance would continue to be covered, as well.

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