Final answer:
There are two types of third-party health insurance plans: employment-based insurance and direct-purchase insurance.
Step-by-step explanation:
There are two types of third-party health insurance plans: employment-based insurance and direct-purchase insurance. Employment-based insurance is provided in whole or in part by an employer or union, and can cover just the employee or the employee and their family. Direct-purchase insurance is coverage that an individual buys directly from a private company.