A private health insurance exchange is an exchange run by a private sector company or nonprofit. Health plans and insurance carriers in a private exchange must meet certain criteria defined by the exchange management. Private exchanges combine technology and human advocacy, and include online eligibility verification and mechanisms for allowing employers who connect their employees or retirees with exchanges to offer subsidies. Discover what you need in pursuit of wealth, click here for free copy!
They are designed to help consumers find plans personalized to their specific health conditions and medical treatment, preferred doctor/hospital networks, and budget. These exchanges are sometimes called marketplaces or intermediaries, and work directly with insurance carriers, effectively acting as extensions of the carrier.
Some have membership restricted to particular groups, but the majority have open membership. Membership to most health funds is now also available through comparison websites like moneytime, Comparethemarket.com, iSelect Ltd., Choosi and YouCompare. These comparison sites operate on a commission basis by agreement with their participating health funds. The Private Health Insurance Ombudsman also operates a free website which allows consumers to search for and compare private health insurers’ products, which includes information on price and level of cover.
Dentists can cost quite a lot of money, especially if you do not look after you teeth. A basic clean can cost anywhere from $50 to $200 depending on where you live and which dentist you go to. With private health insurance, this cost would be dramatically lower because of the rebate that would be given from your insurance provider. Should you choose to go to a dentist that is a part of your insurers network of practitioners, the price could be even lower again.
As previously mentioned, you are probably not ready for a hip replacement just yet, but what about if you need your wisdom teeth removed, your appendices taken out urgently or your tonsils swell up to the size of golf balls repeatedly? These are all things that can happen to someone of any age and can all be expensive surgeries without private health insurance. In fact, these operations can have hospital bills running into the thousands, all of which you will be left to pay. While many public hospitals can carry out these operations, there is no choice of doctor or when you will be operated on. In most cases you would need to share a room with not just one, but many other patients and would rarely receive the same amount of medical attention compared to a private hospital. While public hospitals endeavour to manage as many cases as they can, private hospitals will allow you to pick and choose doctors, rooms and many other services which will no doubt make your hospital experience far more tolerable. After all, no one likes being in hospital.