What is health insurance and why do I need it? Health insurance protects you and your family from a financial hardship due to medical expenses in the untimely event that you are injured or become ill. There are four types of health insurance, you may need just one or you may need a combination to ensure you have the most insurance coverage possible. It is best to evaluate each type of insurance to obtain an accurate account of which type will best suit your needs.

Individual medical coverage is designed for people who do not receive this type of coverage through their employer or family. Medical supplement insurance is designed for the elderly who contribute to Medicare however, desire additional coverage to supplement expenses that Medicare won?t cover. Hospital income insurance is intended to compliment your main health insurance program. This coverage provides a prearranged daily benefit amount for unforeseen expenditures that accompany extended hospital stays for a covered sickness or injury.

The fourth type of health insurance coverage is disability insurance, which comes in three different forms. Disability insurance protects you in the event you become physically or mentally disabled due to an accident or illness. This type of insurance is designed to provide you with your living expenses if a disability prevents you from working or earning a living.

Disability income insurance is used as a principal income substitution plan or as an enhancement to your income continuance or group disability plan. This plan is devised to keep you economically secure during hard times by paying monthly wages directly to you when you are unable to work. Mortgage disability income insurance is designed to protect your most precious possession, your home. This policy specifically provides you with money meet your mortgage obligation if you become totally disabled. Individual credit disability insurance will help you pay off loan payments in equal monthly installments. In the event that you become totally disabled this plan will make payments on your behalf directly to the financial institution.

There are many things to consider when contemplating which type of insurance is most beneficial to you and how much coverage you really need. If you are working and receive insurance through your employer investigate how much coverage you are really provided in terms of health care. Then ask yourself the following series of questions:

Does it cover pre-existing conditions, genetic conditions, chronic or life threatening conditions? Does it just cover accidents that occur in the workplace? How much money will it shell out before it is considered at its limit? Will it cover the cost of transplants or long-term care? What about family members, how much coverage will your insurance plan provide them? Then think about your lifestyle. Do you drink or smoke? Is hypertension a family heirloom? Are you at high-risk for diabetes, a heart attack or stroke? Are you accident-prone or do you often take unnecessary risks? Do you work late hours and drive a considerable distance to and from work? Are you the primary breadwinner and if so how will the bills be paid if you are out of work due to an unforeseen disability caused by an accident? Consider all of these things then ask yourself if you and your family are adequately insured.