Studies show that the majority of private bankruptcy filings in this country are an outcome of unpredicted medical-related bills. Sadly, this dilemma does not only have an effect on people that are without insurance, but households who do not have enough insurance to cover costs. A lot of people today that are insured have coverage due to their job. However with a lethargic financial state, several companies have reduced coverage, or simply pass the cost of health care to the workers. The consequence is that many of us have to spend more money on inadequate insurance protection that won’t protect us in cases of moderate-severe injury or illness.
When Consumer Reports scanned the details of insurance policies classified as “cheap” packages they found that many will fail to cover the majority of expenses incurred. Consequently a good deal of customers that select their own insurance policies, or attain affordable health insurance by using an company, might discover that this insurance policy could leave them unprotected, and eventually saddled with a great deal of medical debt once they try to submit a claim. Thus, it’s important for anybody that is now uninsured or inadequately insured to choose health insurance coverage that suits both temporary and long-range cost/coverage goals. Here’s what to think about:
Rank your overall health care requirements
Usually, the majority of cheap insurance plans should be avoided since they are simply not effective in terms of costs, in the event that you suffer an illness or injury. To find the most effective insurance policy think back to a recent time when you had health coverage: Now, during that time when you were insured, how often did you actually go to the doctor? If you only went a few times, or less, a year, and mostly for preventative care, you’re at the “least risky” end of the spectrum and can likely find a policy that is relatively inexpensive while providing decent coverage. Currently, the Affordable Care Act makes precautionary visits and tests free to all Americans, so these will be included in any plan you purchase. Thus, choosing a midrange insurance plan that has a small (ten to twenty-five dollar) copayment for the first couple of appointments should probably suit your needs, while keeping you from shelling out a lot out of your own cash on top of your own premium ranges.
What’s your health like now?
Among the first details you should look at in advance of paying for any personal medical care insurance coverage package is the existing condition of your health and wellbeing. This is relevant for a couple of reasons: Primarily, even though the Affordable Care Act keeps insurance firms from canceling a policy as a result of a pre-existing illness/injury, this doesn’t go into effective for until 2014. Also, you need to be honest about your health with any potential insurer, so you might as well start by being honest with yourself. Lastly, it is crucial that you review your overall health and take steps to improve it, if you can, before applying for insurance, in order to save money. If you happen to smoke cigarettes, try to stop. If you’re even slightly overweight, think about getting a few extra minutes of exercise per day to demonstrate you’ve got a healthy lifestyle. Insurers look at the details of your current health, but the policies the policies that are the most cost-effective are reserved for people with healthy lifestyles.
Don’t choose your health coverage based solely on the cost of the premium
There are alternatives to purchasing health insurance. For those living at or below poverty-level, most states, counties and large cities offer no-cost health care. To find out whether you qualify, or to find what options are available in your area, visit your state’s official website.
If you’re not eligible for free coverage, you’ll have to decide what type of insurance you want to purchase. Most insurance company websites offer standard policies that range in price from $90-$500 per month. But don’t be enticed to automatically purchase the cheapest plan you see. That is because low premiums lead to higher prices for visits, tests, medications, and other procedures-in other words, things you can’t avoid paying. This is how your, “Wow! What a deal!” low-cost insurance can end up costing you hundreds, if not thousands, of dollars a year.
Find coverage that suits your needs
The very best health coverage will be the one that: (1) matches your current healthcare needs, and (2) allows room for changes to your health status (particularly in case of unexpected illness or injury). Consider what your needs are now, as well as some more predictable medical needs? For example, do you require access to prescribed medication? Are you pregnant, or soon plan to be?
Healthcare policy options that tend to be most effective include packages that offer a little of everything. This includes visits to the doctor, out-of-area treatments, a hospital stay, emergency situations, medications, maternal treatment, and testing.
Consider a Health Savings Account (HSA) to help you afford insurance
More and more employers as well as health insurers are offering plans that have low premiums but high deductibles. For some who make too much money to qualify for free state and local health care, a low-cost premium may be your only option. Plans that have low premiums (usually less than $90/month), come with large deductibles. If you choose a plan with a deductible of $1,200 or higher, you’re eligible to get an accompanying Health Savings Account. By choosing a plan with an accompanying savings plan, you’re essentially putting money aside to pay for your own future care, should the need arise. The good news is that HSA’s are tax deductible. That’s because most people with HAS’s have money deducted directly from their pretax income, and placed into the account. Thus, in the event that you must choose a low-premium insurance option, finding one with a connected savings account is an excellent solution.