HOW TO PICK A HEALTH INSURANCE PLAN
We both know that healthcare is complicated and can as well be very expensive. If you’re a woman, you’ll agree to the fact that having a baby can cost you about $35,000. The average cost of a three-day hospital stay is about the same figure while managing a broken leg from bicycling or skiing could cost you about $8,000 on average.
Signing up for health insurance coverage can help you manage your medical bills. It is the best way to reduce your medical costs to a manageable amount by sharing the risks with other people. Most people across the country are healthy most times which means the premiums they’ve paid helps to pay for medical bills of the few people who are injured or unwell.
Ask yourself these three questions when picking a health insurance plan:
- How Much Does the Health Insurance Plan Cost?
There are two ways through which you can pay for your health insurance coverage-out-of-pocket expenses when receiving medical care and monthly premiums when purchasing the plan. The out-of-pocket expenses usually comprise of copays, coinsurance and deductibles. Those who choose to higher premiums upfront end up paying very little when they are receiving medical care. There are different plans and you can purchase the one that fits your financial situation as well as your health condition.
Individuals who are already suffering from a costly medical condition can choose a plan with higher premium that will cover most of their medical costs while those who are generally healthy can pay a lower premium since their medical costs are most likely to be lower.
- What does it cover?
One of the things you need to ask from your employer is a summary of Benefits and Coverage. The form contains what is covered in the plan and what isn’t covered. Any health insurance plan you purchase will pays for hospitalization, preventive services, prescription of drugs, laboratory tests, emergency services, maternity and newborn care, outpatient care, pediatric services, mental health and substance-abuse treatment, and rehabilitation services. Note that some older health insurance plans might not provider coverage for everything mentioned above.
- Which Hospitals and Doctors are in it?
You must understand that insurance companies usually enter into a contract with a network of health care providers all who agree to provider their services to health insurance plan members at a certain cost. These providers include pharmacies, health professionals and doctors, imaging centers, and laboratories.
What happens is that if your insurance company might not agree to cover your medical bill when you work with a doctor or healthcare professional that is not in your plan’s network. That means that you should ensure the doctor you’re seeing is within the plan’s network. Check with your doctor’s billing office as well as the health plan to be sure all the providers you plan to work with are in your plan’s network or the one you’re considering.