Health care can be very costly in the US. A single visit to a doctor's office may cost hundreds of dollars, and a four-day visit can cost tens of thousands in terms of dollars depending on the care provided. Several people are, therefore, not able to foot the massive health care expenses when they are sick. Since a considerable subset of the population do not know when they will become sick or the extent of care they might need, a vast portion of the United States’ populace does not have enough money saved up to pay for their health care ( Sommers, Gawande & Baicker, 2017) . Health insurance, therefore, provides a way of reducing the health care costs to more reasonable and affordable amounts.
Health insurance works in such a way that the health consumer pays an advance premium to a health insurance company, and the subsequent payments enable the consumer to share risks with other enrollees making similar insurance payments ( Sommers, Gawande & Baicker, 2017) . Most people do not fall sick most of the time; therefore, the dollars paid to the insurance company cover for the health care expenses of the small number of enrollees who get sick or injured. There are various health insurance plans across the US, and several rules and arrangements apply.
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Health care consumers can receive care from physicians, pharmacies, laboratories, and other entities by contacting particular providers who have agreed to offer them health care services at favorable prices. The Affordable Care Act sought to introduce standardized insurance plan benefits for the consumers ( Sommers, Gawande & Baicker, 2017) . The services offered by insurance plans include hospitalization, rehabilitation services, outpatient care, laboratory care, pediatric services, and rehabilitation services. Apart from the upfront cost paid when enrolling for an insurance plan, there are other costs such as copays, deductibles, coinsurance, which represent the share the enrollee pays out of his or her pocket when they receive care ( Sommers, Gawande & Baicker, 2017) . It is critical to note that the more amounts paid in the premium up-front, the less amount one will pay when they access care. The less premium paid, the more one will pay when they obtain care.
Reference
Sommers, B. D., Gawande, A. A., & Baicker, K. (2017). Health insurance coverage and health—what the recent evidence tells us. England J. Med . 10;377(6):586-593.
