Private Insurance

Private health insurance is by and large the predominant form of medical coverage in the United States. Within the private sector, there is generally considered two forms of health insurance coverage: group and non-group (individual) insurance.  

Group Coverage

  • Coverage of a collection of people by a single provider, usually employees of a common employer or professionals associated in a common group
  • Approximately 59% of Americans under the age of 65 have this type of insurance
  • Employees that receive group coverage all pay the same premium for the same coverage, regardless of age or other health factors
  • Employers cover nearly all the cost of premiums
  • Tied to employment status, which means losing your job can put your coverage at risk
Non-Group (“Individual”) Insurance
  • Coverage purchased by an individual directly from an insurance company
  • Coverage can be extended to the purchaser’s immediate family
  • Approximately 9% of Americans under the age of 65 have this type of insurance
  • Generally more expensive than group coverage, because consumer must pay entire premium without the help of an employer
  • Potential for policy non-renewal by insurance company
  • Benefits in insurance plans can be customized to the consumer’s individual health needs