Individual health insurance is a health insurance plan that you own rather than one purchased for you by your employer. An individual health insurance plan can be purchased for your entire family. Rates for individual plans vary based on the health history of the individuals for whom they are purchased. These rates are frequently higher than the rates for group plans. The major difference between individual and group insurance is insurability. People buying an individual health insurance policy must fill out forms and provide health records allowing the insurance company to assess their risk of illness. This is reflected in the cost of the insurance. Group insurance costs depend on the size of group that is insured. The cost of an individual who is ill will be offset by large numbers of healthy individuals.

When purchasing individual health insurance it is best to determine what benefits you want and then shop around. The cost can vary significantly depending on the company and the type of coverage you choose. Issues to consider include doctors and hospitals that you wish to use along with your current and anticipated future healthcare needs. Health Maintenance Organizations (HMOs) offer comprehensive coverage with few choices. If you are young and have no children you can save money purchasing a catastrophic policy where you pay for all the minor expenses. Most plans have a deductible or the amount that you pay before your insurance coverage begins. The price of the plan is larger the small the deductible.

People who are unemployed, self employed or work for companies who do not provide health insurance benefits can purchase individual healthcare coverage for themselves and their families. It is important to shop carefully with attention to your needs as well as the services that each individual health insurance plan provides.