Fully Insured Plan

An insurance plan in which smaller employers and individuals contract with a state-licensed insurer to administer benefits and take on financial risk. Regulated by state-specific requirements and often do not cross state lines for this reason.

Gap Coverage

Limited medical insurance with a specific purpose. Common gap plans include critical illness insurance (for specific diseases), disability income protection, accident-only insurance, and fixed-benefit indemnity medical insurance (which assists with out-of-pocket costs). Is commonly purchased by a patient in addition to their Major Medical Insurance.

Grace Period

A specified period immediately following the premium due date during which a payment can be made to continue a policy without interruption. Check your policy to be sure that a grace period is offered and how many days, if any, are allowed.

Grandfathered Plan

An insurance plan in place before the passage of the Affordable Care Act (ACA) in 2010 which has not undergone substantial changes. These plans are exempt from most ACA requirements.

Group Insurance

A type of insurance in which more than one individual pays a premium to a health insurance provider or employer. These premiums are pooled together and used to pay out coverage for medical expenses.

Group Market

An insurance marketplace that sells insurance plans to employers.

Guaranteed Issue

A requirement under the Affordable Care Act that insurers must offer insurance coverage to anyone who applies.

Guaranteed Renewability

A requirement under the Affordable Care Act that insurers must offer to renew a health insurance policy each year to anyone who continues to pay their premiums.

Health Insurance

A policy that pays a medical bill in part or in whole in exchange for smaller payments over time.

Health Insurance Literacy (HIL)

The knowledge, ability, and confidence to effectively choose and use health insurance

Health Maintenance Organization (HMO)

A type of insurance plan where patients are encouraged to use hospitals and see practitioners that are owned by or directly contract within the network. Out of network services are partially covered or not covered at all. Generally allow patients to see a restrictive range of providers at a lower cost than a PPO. Ex: Kaiser Permanente.

Health Savings Account (HSA)

An account which allows individuals to pay for current expenses while saving for future qualified medical expenses. HSAs are nontaxable accounts and are owned by the patient (so if a person changes jobs, their HSA follows them from one job to another).