As you are experiencing changing events in your life and take on different and greater responsibilities, you might be planning to purchase an insurance plan. To prepare yourself for having health insurance 2020, there are a couple of insurance terminologies that you need to know:
- Health insurance terminology
Now the government has stepped in a made insurance much more affordable for a lot of people. With people getting access to affordable insurance, it is also better that we know our health insurance terminologies:
- Insured = the people that are covered by the insurance policy.
- Deductible = the minimum amount of money that you have to spend before your medical expenses start taking over the hospital care payments.
- Premiums = monthly or annual amount that you have to pay in order to have the insurance coverage.
- Co-payment = a flat free that you have to pay toward the cost of medical visits, and your medical insurance will pay the rest of the bill.
- Coinsurance = the percentage that you must pay to share responsibility for your medical claims after you meet your annual deductible.
- Automobile insurance terminology
Requirements regarding automatic insurance vary from state to state. But it is always is better to have one to cover your vehicles. To make you understand it better, underneath is the list of terminologies that often comes up in an automobile insurance terminology:
- Insured = the person that is covered by the insurance policy.
- Deductible = The amount of money that you have to pay on your own, such as in a collision before your insurance will start type of making payments
- Premiums = Monthly or annual amount that you have to pay in order to be subscribed to the insurance program.
- Collision coverage = The type of coverage that pays for the damages that your vehicles had as an impact of a collision
- Comprehensive coverage = the type of coverage that pays for the damage that your vehicle sustained in case of theft, vandalism, fire or various other stated causes.
- Bodily injury coverage = is a type of coverage that pays for the medical expenses or funeral cost of the other party that got injured or killed in an accident for which you are liable.
- Medical payment coverage = the type of coverage that pays for the medical and funeral covered for anyone that is listed under your insurance policy in the event of an accident, regardless of anyone’s fault.
- Life insurance terminology
There is much insurance that offers a program to help your family in case if you pass away. Here is the basic terminology:
- Face amount = the dollar amount that insurance policy would payout upon the death of the insured.
- Primary beneficiary = the person that is designated to receive the amount of money upon death.
- Contingent beneficiary = The person that is designed to receive the amount of money in case the primary beneficiary is no longer living.