Affordable Health Insurance
Affordable Health Insurance
Purchasing health insurance is about more than just protecting your health – it’s about protecting your finances. Medical bills even from a non-life threatening illness or injury can quickly push an individual into financial ruin. According to the National Coalition on Health Care, someone in the U.S. files bankruptcy after a serious health issue every 30 seconds.
Insurance also helps keep people healthy. The American College of Physicians states that uninsured men and women are more likely to suffer death or more severe diseases that could be prevented by regular check-ups, such as breast cancer and pancreatic cancer. Yet, because uninsured people are much less likely to receive preventive care, they have a 50 percent higher adjusted risk of death.
Last, having insurance may keep your costs down because most health care reimbursements are negotiated between insurance carriers and the service providers. These “network discounts” vary by provider and insurer, but the resulting “wholesale” or negotiated prices are often substantially lower than “retail” or cash-based prices paid directly by individuals.
You’ll be paying for health insurance premiums whether you use any medical services or not, so how are monthly premiums determined?
Insurance companies employ actuaries who calculate the framework for determining insurance premiums. Premiums are based on a variety of factors including your health status and history, lifestyle choices, where you live, your age and your height and weight. In addition to your profile, your premiums will also vary based on the benefit options you select:
In addition, your premium costs will vary based on several coverage variables:
— your health insurance deductible is a set amount that you must pay out-of-pocket before receiving any reimbursement of expenses from the insurance company. Many insurance companies offer high deductible plan options, which will likely lower your monthly premiums.
— your coinsurance amount is a percentage of costs that you pay for covered services. For example, if you choose an “80/20 plan,” then your insurance company pays 80 percent of the covered expenses and you are responsible for 20 percent of the covered costs.
— a co-payment (co-pay) is a dollar amount that is your responsibility and it is typically applied to items such as doctor office visits, emergency room visits and prescription drugs.
— An out-of-pocket maximum is the dollar limit that you will be responsible for during the course of the policy term. This amount typically includes deductibles, co-payments, and co-insurance but not premiums.
— this is the maximum amount your insurance company will pay in your lifetime for your policy.
To find out how you can match your budget with each of these health insurance coverage options, call 1-(866)-598-8186 and talk to a licensed agent today.