For business owners, iti s important for them to know that they can also buy disability overhead insurance to cover the expenses of their business while they were not able to work. A standard level of disability income protection is offered through the Social Security Disability Insurance (SSDI) plan for capable workers who are completely disabled or the worker is unqualified of engaging in any “substantial gainful work” and the disability is bound to last at least a year or result in death. This is usually enclosed as one of the benefits the company has to offer to their employees. Therefore, the company is relieved of some obligations for the unwanted work related incidents.

Disability income (DI) insurance pays benefits to individuals who lose their ability to work due to injury or illness. DI insurance replaces income lost while the policyholder is unable to work during a period of disability (in contrast to medical expense insurance, which pays for the cost of medical care).[54] For most working age adults, the risk of disability is greater than the risk of premature death, and the resulting reduction in lifetime earnings can be significant. Private disability insurance is sold on both a group and an individual basis. Policies may be designed to cover long-term disabilities (LTD coverage) or short-term disabilities (STD coverage).

Consumer-driver Health Care or CDHC is commonly used in very big companies and is expectedly be acquired by small companies in time. CDHC is based on a belief that people should be directly involved in managing the costs of their health care and in return would make them wiser in making decisions about the use of their health care system. This includes a variety of plans and the most common pairs a health savings account (HAS) with a high deductible insurance plan. The insurance covers high-cost events. Another CDHC plan design provides a broader list of options for health care choices with changeable payment levels that an employee can choose from.

Franklin Health Assurance Company was the first company ever to offer Accident insurance in the U.S. Founded in 1850, this firm offered insurance against injuries due to railroad and steamboat accidents. Sixty organizations had been offering accident insurance in the U.S. by 1866, but then these companies just went off. Then from early 1890, sickness insurance has been introduced in the United States. It was in 1911 when a employer sponsored a group disability policy. If health insurance covers medical expenditures, accident insurance covers unwanted injuries.

For those who have totally no idea what health insurance is all about, here’s a primer straight from Wikipedia:

Before the development of medical expense insurance, patients were expected to pay all other health care costs out of their own pockets, under what is known as the fee-for-service business model. During the middle to late 20th century, traditional disability insurance evolved into modern health insurance programs. Today, most comprehensive private health insurance programs cover the cost of routine, preventive, and emergency health care procedures, and also most prescription drugs, but this was not always the case. Hospital and medical expense policies were introduced during the first half of the 20th century. During the 1920s, individual hospitals began offering services to individuals on a pre-paid basis, eventually leading to the development of Blue Cross organizations.[4] The predecessors of today’s health maintenance organizations (HMOs) originated in 1929 .

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Here’s another 101 for those who need more info on insurance. Yes, also straight from ‘ol Wikipedia.

Hospital indemnity insurance provides a fixed daily, weekly or monthly benefit while the insured is confined in a hospital. The payment is not dependent on actual hospital charges, and is most commonly expressed as a flat dollar amount. Hospital indemnity benefits are paid in addition to any other benefits that may be available, and are typically used to pay out-of-pocket and non-covered expenses associated with the primary medical plan, and to help with additional expenses (e.g., child care) incurred while in the hospital

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The term health insurance is commonly used in the United States to describe any program that helps pay for medical expenses, whether through privately purchased insurance, social insurance or a non-insurance social welfare program funded by the government.[1] Synonyms for this usage include “health coverage,” “health care coverage” and “health benefits.”In a more technical sense, the term is used to describe any form of insurance that provides protection against injury or illness. This usage includes private insurance and social insurance programs such as Medicare, but excludes social welfare programs such as Medicaid. In addition to medical expense insurance, it also includes insurance covering disability or long-term nursing or custodial care needs.

Private-sponsored is one provided by a commercial private insurance company mostly purchased by the employer, union or the individual himself. Under this category falls:
1. Employment based health plans
2. Direct-purchase plans

Government-sponsored health insurance on the other hand is those which are primarily funded by the government. Types of health insurance under this category are:
1. Medicare
2. Medicaid
3. State Children’s Health Insurance Program (SCHIP)
4. Military Health Care Plans
a. TRICARE or CHAMPUS
b. CHAMPVA
c. VA
5. State Specific Plans

Like other kinds of insurance, health insurance protects you against unexpected expenses. In the long run, having health insurance coverage will save you money. Accidents or illnesses can happen any time and we all know that medical costs are very high, by getting yourself a premium, you might save yourself thousands of bucks for a medical treatment. With this kind of financial security, peace of mind follows. You would feel protected from unpredictable health misfortunes knowing that you are covered. Health insurance can definitely help you in a pre-existing condition situation. Health insurance is easy to be acquired so you might as well get one for yourself.