What is a Risk?
Risks are potential losses associated with a particular decision, activity or proposal which you may have made. In the field of insurance, identifying the level of risk of a person is very important because it will determine the amount of insurance premium an individual needs to pay. Generally speaking, the greater the risk of claims an individual have will entail that he will also have a higher rate of premium to pay because it places the surety company under a higher possibility of paying medical bills for you in the future.
Health Care Reform
In the past, insurance companies are given liberty to deny applicants of health insurance policies if they are evaluated with high medical risk conditions. Fortunately for these high risk applicants, the government issued a health care reform which offers high-risk insurance pools for those citizens who badly needs to have an insurance policy now but can’t get it in any way. Moreover, the moment we reach the year 2014, the health care reform mandates that no insurance company can deny health insurance coverage nor do they have the power to increase your premiums simply because of pre-existing conditions.
High Risk Health Conditions
Health Conditions which are classified as high risk includes diseases like cancer, HIV, heart disease, asthma, high blood pressure and diabetes.
State Run High Risk Insurance Pools
The States of Minnesota and Connecticut are the earliest state to have set-up the very first type of state-run-high risk insurance pools. The program began in the year 1976 based on the Kaiser Foundation which soon spread to over 34 states.
The State of California offers what is referred to as Major Risk Medical Insurance Program side by side with its newest program called Pre-Existing Condition Insurance Plan. In this program, the government of California offers lifetime and annual caps with minimum monthly premium costs. Nevertheless, citizens who belongs to the high-risk pool has the option to choose from one of the above mentioned high risk insurance pool program and does not have the liberty to own both.
Pre-Exiting Condition Plans
This type of health care plan provides several types of medical benefits like specialty and primary care, prescription drug and hospital care as well as treatment of these pre-existing conditions. With this type of health insurance plan, you need not worry about the medical expenses or the high premium rates which will be charged to you by your insurance company.
For those who are interested to take advantage of the medical benefit, here are the following requirements:
1. legal or US resident
2. Uninsured for at least six months
3. Lack of financial resources to purchase your own health insurance coverage because of a pre-existing condition
4. Submission of medical certificates that will prove your pre-existing condition
The process of denying or accepting this request for Pre-Existing Condition Plan may vary from one state to another. If you have any further inquiries with regards to the proper way of applying for this federally funded medical plan, you may go to the Department of Health and Human Services and download application forms for this type of medical service.