What is the difference between Indemnity plans and Managed health care plans?
A. Managed health care plans are cheaper as they provide the medical care through a network of doctors/hospitals who provide treatment at a concessional rate. However if you visit a doctor outside the network you have to pay the deductibles and co-insurance. There is less paperwork in managed health care plans and you don’t have to pay the bill upfront. The doctor claims the costs from the insurance company. Indemnity plans are comparatively costlier but provide the flexibility of visiting any doctor or hospital you desire. You have to pay the bill yourself and then claim the costs from the insurance company.
