Understanding Interest and APR

When you're seeking out money to get into business for yourself, you're going to enter a whole new world of numbers. Your loans, mortgages, lines of credit, and credit cards will come with various interest rates and APRs attached, and you'll need to know what all of those numbers mean, or you'll be caught by surprise when you have to start making the payments. It's a good idea to sit down with a financial adviser before you start taking out loans and signing up for credit for your business. You need someone who speaks the language of finance on your side.

Understanding The Terms Commonly Used In The Health Insurance Industry


If you are looking into getting health insurance, you will have a lot of information to go through. Understanding what you are reading can be a bit of a challenge if you aren't familiar with the commonly used terms and phrases used in the health insurance industry. This article can prove to be a valuable source for you by providing you with the meanings of a lot of the terms you'll see when reading up on health insurance related information.

Benefit: The term benefit refers to the amount the health insurance company is going to cover you for. The benefit level refers to the maximum amount covered and the benefit year refers to the twelve month period you are going to continue to be covered.

Claim: A claim is the request for payment that your doctor will send to the insurance company for services they provided to you.

Copay: The copay, or copayment, is the amount of money you are responsible to pay for out of your own pocket. The percentage of this payment will depend on several factors including the plan you have chosen to go with and the type of procedure you had done.

Deductible: The deductible is the amount of money you will need to pay out of pocket to a health care provider before your insurance company will start to pay. The higher the amount of your deductible is, the lower your health insurance premium will be.

Exclusion: An exclusion is any condition or procedure that your insurance policy isn't going to cover. An exclusion often includes preexisting conditions that you have already been seeking treatment for before your insurance policy was established.

Pre-existing condition: A pre-existing condition is a condition you already have when you apply for health insurance. Having a pre-existing condition can raise the amount of your rates or cause there to be an exclusion clause in your policy.

Underwriting: When you apply for a new health insurance policy, you will be asked some questions on an application. This application will then be sent to the underwriting department. Underwriting is the process of reviewing your application in order to determine the cost of your policy and any exemptions your policy should have in it.

Now that you have a better understanding of some of the more commonly used terms used in health insurance, you will have an easier time understanding what you are reading.

To learn more about health insurance, contact a company like Culbertson Financial Services. 


21 August 2015