It is perhaps known to all what a health insurance plan is. Still for the sake of our discussion it can be said that a health insurance plan is a helping aid for your unexpected medical costs. It is a contract between an individual and an insurance company in which the type and amount of health care costs that would be covered by the plan are specified and for which the individual agrees to pay premiums. These contracts are renewed either monthly or annually.

However, the origin of the health care insurance plans can be traced back in 1694 when it was first proposed by Hugh the Elder Chamberlen from the Peter Chamberlen family. The first form of health insurance plans was available in the market as the accidental insurance plans during the late 19th century. The first accidental insurance plans were somewhat like the modern day disability insurance plans. And until the start of the 20th century there were no other health care insurance plans other than these accidental insurance available in the market. Therefore the accident insurance plans can easily be considered as the first form of health care insurance available in the market. However after the regulation of the law during the beginning of the 20th century this type of insurance was categorized under the disability insurance.

However, with the signing of the contract the individual needs to pay his premiums either monthly, quarterly or annually as mentioned in the contract and on behalf of which the insurance company is bound to pay for the medical costs, co payments and deductibles as mentioned in the contract for the specified plan. However, the fact is that no payments would be made on behalf of the company more than what is written in the contract paper. And along with this it should be mentioned that the Original Medicare plans does not cover all of your Medical costs. Therefore there remains always a gap between the Medicare policy coverage and the actual medical bill payable by you. Thus in this case if you need total coverage then you must be needing a Medicare Supplement Plan along with your Original Medicare policy so that you can pay off all your medical bills.