Health insurance: type of insurance that protects against the risk of individuals' health-related circumstances. It includes the expense of check-ups, diagnosis, and treatment, given that the insurance is a group insurance. The health insurance philosophy is based on the principle of risk pooling, which means adding up the potential risks of illness of a certain group and dividing the sum equally among the number of individuals. This is done through collecting the necessary funds to hedge against this risk equally, and then distributing it amongst individuals based on their need for medical treatment. This reduces an insured individual's burden and cost of illness treatment, while ensuring the availability of health care for those who need it at a convenient and fixed cost, paid by all the individuals who are part of the insurance.
Health insurance consists of three elements:
- First party: The insurance company.
- Second Party: The insured individual.
- Contract, terms and conditions, and coverage.
Nat Health Company:
A company that specializes in managing health insurance claims. It utilizes the idea of a smart card for each member, as smart cards save the inconvenience of filing paper claims and constantly update a health network with a system of medical approvals 24/7.
Types of Coverage:
- Basic Coverage.
- Special Coverage.
- Elite Coverage.
Health Insurance Agreement: An agreement, signed by both parties, in which both pledge to abide by the commitments indicated in the agreement. There are two copies which are usually sent with the policy.
The insurance company: The company commits to managing and settling insurance claims by cooperating with Nat Health, paying them off, and committing to insurance coverage.
The insured: The insured commits to paying their installments on time, as well as handing in the required receipts and medical reports.
Both parties hold the right to cancel the contract by giving a 30 day notice for clearing the policy.
Health Insurance Document:
Annual contract that consists of the sum of yearly installments, the names of the insured members, the validity and expiry date of the policy, the general conditions, coverage, and exceptions. This is in order to assign a method of claim filing for the insured, method of payment, deductibles and contribution.
The appropriate annual fees depend on:
- The number of employees and their ages.
- The type of insurance requested.