What does High-Deductible Health Plan mean?

The high deductible health plan involves having health insurance for which one will pay less expensive premiums, but a definitely more expensive deductible than usual. The insurance company will offer coverage only after the deductible has been paid by the policyholder, and the minimum required deductible is subject to change from year to year. As of 2009, the minimum required deductible for a single person is $1,150 and for a family is $2,300, while the maximum out of pocket for a single person is $5,800 and per family is $11,600.

High Deductible Health Plan- HDHP explained

These types of plans gained popularity ever since 2003, when actually the legislation of HSA entered into force. A high deductible health plan is a must if an individual wishes to open a health savings account, otherwise it is not possible. The plan basically has more positive sides, among which two are the most prominent: firstly, individuals will not make hazardous use of their life insurances by turning to medical care even for the most minor health problems, and secondly by having such a payment structure, it definitely becomes a more reasonable solution for many people.