What is a Limited Medical Insurance Policy?
Limited medical insurance policies are health insurance plans that put limits on specific coverages. They are often what is called “first dollar benefit”, which means there is no deductible or copay that you have to pay to receive coverage. Some refer to these plans as indemnity health insurance, since they are part of the fixed indemnity category of insurance plans. Because of the limitations on coverage, limited health insurance plans are often the lowest priced option.
What’s Different with a Limited Medical Plan?
The two biggest differences with a limited medical plan compared to other types of health insurance policies, is that the price is often lower and there is no deductible. How these plans get a lower price with no deductible is they put limits on coverages. They pay out specific dollar amounts for various medical services. Limited medical plans are often (not always) underwritten, they are designed for fairly healthy people. Pre-existing conditions are excluded from coverage, if you have any. If you have any major pre-existing conditions you may not qualify for this type of policy. Because of the lower price of these plans, a lot of people like them, however they are not the best health insurance option for everyone. Make sure to talk with one of our experts to go over your options and to get the best health coverage for you.
What Does Limited Medical Insurance Cover?
Limited medical indemnity health insurance policies usually provide coverage for the most common healthcare services. These include:
- Doctor Visits
- Urgent Care
Limited medical insurance policies will not cover maternity, mental & behavioral health, or pre-existing conditions.
How Much Do Limited Medical Plans Cost?
Typical costs of a limited medical indemnity health insurance policy can range from $70/month to $600/month, depending on age and coverage level.