Health insurance pays a fixed amount of money (the premium) to an organization (insurance company) every month and, in return, the insurance company pays doctors, hospitals and pharmacies if it gets sick.
The law of the insurance company that pays for your medical care is called “coverage” of your benefits.
The way it works is that you will lose money if you pay money every month and never get sick, never check and never take prescription medications.
The insurance company keeps the money and does nothing for you. But if you get sick, the insurance company pays for these things, so you don’t have to do this (in general).
If you charge enough, the insurance company loses money for you because the amount you spent on it is greater than the amount you paid for it.
It is a bit more complicated, since you have to pay 100% of your pocket for your first services within a year, up to a certain limit (the so-called deductible). As soon as this limit is exceeded, the insurance company begins to pay. But even then, every time you seek medical attention, you must pay part of your expenses (this is called coinsurance or coinsurance). A typical value is 20%, but it varies.
The benefit to you is that if you become seriously ill or need to do something more expensive, you will not be affected by a huge bill. You are covered the disadvantage is that you are constantly paying monthly premiums, and for low use, you are still paying 100% of the cost. Insurance is a way to avoid bankruptcy due to a serious injury or illness.
There are many types of plans with different premiums and coverage, deductibles and late payments. It is important to compare your options; how much you can afford and how likely you are to get sick. At the age of 19, he is very unlikely to become seriously ill, but he is likely to also have low incomes.
My advice to you, therefore, is to find a health insurance plan with low premiums, high deductibles and no coverage limit. Basically, you pay for all your medical care, but you will probably only consume very little, except for checkups anyway.
Your monthly costs are low and, if something bad happens, they will assist you.
This will change if you know you have an expensive chronic illness, take medication or take out insurance for your entire family. In this case, you must pay higher premiums and get more coverage.