Question

This should be 200-300 words in length. 1. Discuss the differences and similarities of the various third party insurance plans in the United States. Please make sure that you include in your essay the different managed care plans.

Answer 1

Third party insurance plans:

Last few decades onwards the health care costs are highly increased and these increasing share of health care costs like medical bills are paid by third-party payers (insurance companies and governments) and the disastrous consequences are documented. Third party insurance plans are policies that protects against the actions of another party

A. Differences of the various types of third party insurance plans:

1. At fault drivers:

This is when you file an accident claim, you are the first party protected by the second party, that is the insurance company. The third party would be another motorist. When the other driver is at fault, you deal with the third party's insurance company.

2. Injuries at home:

This is when you get renters insurance to protect damaged or stolen possessions in your rental unit. The property owner has insurance for structural damage, not necessarily for your belongings. If somebody gets an injury in your rental, his medical bills are paid if he files a lawsuit against you for the injury.

3. Business Liability:

This protects the business owners when accidents occur on their property or if someone sues them for certain practices. Insurance policies protect their employees, and also people outside their company.

4. Health insurance procedures:

When you get health insurance as the first party,the second party becomes your hospital when claims are made while the insurance company becomes the third party when it pays the medical expenses to the doctor. This depends on your insurance policy. In self-insurance plans your employer pays your medical costs from the company fund while with supplemental health coverage that protects you from accidents, the insurance company pays you directly so that you can pay for medical treatment.

B. Similarities:

Third party insurance plans always protects against the actions of another party.

They are purchased by the insured, the first party, and issued by an insurer, the second party, for protection against the claims of another, the third party.

The first party is responsible for its own damages or losses, no matter how they were caused.