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Most Important Terms to Understand

You can't make an informed decision on your plan unless you're familiar with a few key terms. Here are the definitions of the most important terms.

Additional Insured

Anyone who is covered by your health plan but not named as the "insured" party in your documentation.


The amount your insurer will pay when you file a claim for a covered loss.


A request for benefits that you submit to your insurer.


This stands for the Consolidated Omnibus Budget Reconciliation Act. This law requires employer-subsidized medical plans to offer participants whose group coverage has been canceled the option to continue coverage for up to 18 months. Of course, the cost of COBRA coverage will be higher than they were with group coverage.


The amount for which you are financially responsible when you make a claim on your policy.


How much you will have to pay before your policy will reimburse you. Higher deductibles usually mean you will receive lower premiums.


Health Maintenance Organization, which is the most popular form of prepaid managed care. You will pay monthly premiums, or insurance rates, in exchange for the coverage of checkups, preventive care, surgery, hospital stays, etc.

Managed Care

A system that manages healthcare usage and costs. It has three primary forms: HMOs, PPOs, and POS (point of service) plans.


Preferred Provider Organization, which has slightly higher rates than HMO but offers more flexibility. This plan offers financial incentives for using in-network providers, but generally still covers out-of-network care as well.

Travel Considerations

This type of policy is designed to provide you with a policy while you are traveling abroad. If you have any questions, please check out our Frequently Asked Questions page.