During elections and public policy discussions, the topic of health insurance will always crop up in the discussions. This is true because an affordable health insurance has always been the dream of most people. Having their own insurance allows them to be prepared for any eventuality and health emergencies in the near future. And a large market is dedicated to the insurance and many players and stakeholders all wants to have a say on the direction of the market.

The biggest stakeholder in this market is of course the consumers who want to have a health insurance with the best benefits and coverage without the sting of the sticker price. Individuals are always on the lookout for the best deals in order for them to get the type of coverage they needs at the right price. For those shopping for a health insurance especially to the one not covered by their organization's insurance plan, shopping should be done with caution and a lot of work should come into play. These kinds of work come in the form of research and a little background check on the targeted health insurance provider.

It is imperative as well for the shopper to get a basic and a rough understanding of what this contract is and how it works. In its simplest sense this health insurance plan allows the person to have an access to health care. Think of the medical insurance as a contract a person buys that can cover the future expenses of his medical needs. If a person is not backed by a medical insurance plan, then the cost of hospitalization can be overwhelming. But with the presence of a plan, the health care can be made affordable and manageable. This is made possible since the responsibility and the risk of an expensive healthcare is pooled across a large group of people.

Health insurance can be provided by many entities. Health insurance can be offered by the licensed insurance providers or can be given by the self-funded employee health plans. The larger share of the market is occupied by the private entities. The licensed health insurance providers may include the publicly traded companies and the mutual health insurance companies that are owned by the policy holders. For example the Blue Cross and the Blue Shield are examples of companies that are also known as state licensed insurers. Blue Cross and the Blue Shield started as normal and non-profit organizations that are covered by state hospitals. But right now, the Blue Cross Blue Shield organizations with a few exceptions are now considered as commercial insurance companies.

Health insurance plans can be self-funded employee plans. Companies may administer its own plans and some companies can also contract third party providers to get the coverage. This set-up works similarly to the state licensed insurers. Right now, around 84 percent of Americans have their own medical plans and of this big chunk, 60 percent get their plan thru their employers. Only around 9 percent purchase their plans directly.