Currently, there are three different types of health insurance plans which are available for residents living in California. These three types are Group, Individual and Medicare. Group health insurance is generally offered to full and part time employees of private companies. Individual health insurance plans are available to the public and can be purchased for themselves, or for their entire families.
Medicare health insurance is available to the senior citizen population, as an insurance option geared toward their individual needs. Medicare is known for offering prescription plans with low prices, as well as assisting in other senior-related costs, such as purchasing mobility chairs for seniors with mobility impairment. Medicare has also been made available to children who have lost parents, or who have become a ward of the state. Orphans often times receive Medicare when they are living in half-way houses rather than living with a foster family. In some states, Medicare is also offered to children who are in foster situations as well.
Individual health insurance programs tend to be more expensive than group health insurance programs. Individual insurance programs cover basic medical care, primary care services, discounted emergency services and medicine prescriptions at discounted rates.
Typical health insurance programs do not include optical, dental or cosmetic surgery. Employers who utilize group health insurance plans for their employees can receive discounted rates for employees who enroll in insurance plans for an insurance company. The employer discount depends heavily upon the amount of employees which enroll in the program. Many employers believe that attendance levels will remain high if insurance is offered to the work-force. Staff members who have access to medical services and doctors will typically make use of that access, and by proxy, will remain healthier. Most, but not all employers typically require that each employees pays a small portion into the costs of their insurance plan. This helps employers keep the health insurance costs down for all employees within the company.
Many insurance companies use COBRA, which is short for Consolidated Omnibus Budget Reconciliation Act. This act was enacted by the United States Congress in 1986. In order to use it, a company must provide health insurance to at least nineteen employees, for at least half of the time that those employees were employed with the company.
Companies with less than two employees cannot utilize the COBRA insurance act. What this means is that the financial responsibility rests solely on the employee’s shoulders. When a company is using COBRA, the employer is not required to contribute at all to the cost, and COBRA will not cover individuals who are looking for health insurance. COBRA is only available to groups when it is offered by the employer, not to the general public like Individual Health Insurance.
