Health Insurance Companies Act, Will Continue To Work The Old Way Health insurance is at the center of one of the most persistent controversies and social role in recent history. With the rising costs year after year to an unprecedented rate, and the list of uninsured continues to grow so the dilemma of health insurance at the forefront of social and political dialogue. For those who are trying to understand the controversial nature is difficult to know even where to start looking. Discussion of medical insurance covers many aspects of society, customers, suppliers, hospitals, and malpractice lawyers, and operation of private markets, the role of government in health care. However, if someone tries to increase the multiple facets of the issue, then the understanding of health insurance is a logical starting point. It was more than three hundred years since the concept of health insurance has its genesis. The original model of health insurance was one where attention is focused exclusively on disability. Only injuries that could leave patients with disabilities have been covered, the rest was paid by the patient. Surprisingly, this basic agreement remained in effect for the next 200 years. It was not until the 20th century model of disability insurance has been replaced by the more familiar current health insurance, therefore, modern insurance companies are born. The basic philosophy on which insurance companies operate is to enter into a contractual relationship with its customers. Customers pay insurance premiums, and instead the insurance companies cover the cost of certain medical conditions such as most routine medical conditions, preventive and emergency services. In many cases, some or all costs of prescription drugs are covered as well. The obvious reason for people to buy insurance, that despite the high costs of insurance, the high cost of medical care can be much greater if they are unlucky enough to be sick or injured. And this scenario does not apply to reality, and health insurance companies often pay more for coverage than they collect insurance premiums for some individuals. Understand how they can do it and remain profitable, then you need to understand the basic assumptions on which insurance companies operate. The first thing that health insurance companies are not monitoring the demand for coverage is to examine the state of health. The company knows that the high-risk individuals are more likely to suffer a huge medical expenses, and people tend to be rejected or offered coverage increased by an additional cost. Among those who have the medical history, which belong to the normal parameters, they are offered coverage and become customers. Health insurance companies know that some of the statistical calculations, can determine the percentage of insured customers who become ill during the year, and they charge a premium sufficient to cover not only the costs but allow income-generating activities as well. Another way that health insurance companies control costs and maintain profits is to make customers pay part of their service, when it was completed. This payment is in the form of collaboration - the payment, which is an out-of-pocket expenses for which the customer is responsible. The purpose of co-financing of multi-functional. It is not only directly remove certain costs, will prevent people from abusing the coverage by seeking treatment unnecessary. If out-of-pocket expenses were very low or nonexistent, people tend to consult their own doctor or pharmacist is any doubt or problem, things that in many cases, do not require medical treatment. At the same time, the insurance companies know that if the proportion of costs are too high, people will remember the attention, and ultimately could lead to even greater problems for the customer and the cost of insurance companies health. Finally, insurance companies seek a balance in everything they do. They try to find the right balance of price co-payments and premiums, and who seek the ideal balance of patients requiring foreseeable needs and consistent premium payments. They use flattery as incentives to exercise or stop smoking, which could cost them a little 'now, but it can save you a lot in the long term. This is a business model that has evolved over the centuries and still evolving to this day, but the basics of the business of health insurance remains relatively constant.