• Also known as fee-for-service or traditional health insurance.
• Usually indemnity plans offer more flexibility in choosing doctors and hospitals.
• Typically, there is a deductible, the amount of money you must pay before the medical plan starts paying a portion of the bill.
• Indemnity insurance usually pays a portion of the bill usually 80%. The policy holder will then be responsible for the other 20%. This is known as co-insurance.
America's Health Insurance Plans (AHIP)
AHIP is a national association of health insurers which provides consumer information on a number of different health insurance plans. The AHIP website also offers resource guides on health insurance and managed care.