In these days of high cost insurance plans, there are real ways to reduce your health care costs without shaving needed coverage. There are some health insurance benefits that are an excellent value based on certain needs, and others that are overpriced for the benefits you receive. None of us have the same requirements, so a bit of legwork and research will be required to determine your own specific needs. But the benefit of saving potentially hundreds of dollars per year cannot be overlooked in this time of inflated health care costs. Here are some things you can do to craft the best plan for you:
You can increase your deductible, the amount you have to pay each year before your plan begins paying. If you are like many of us, you don't have many doctor visits per year. Increasing your deductible could easily save you hundreds per year. Insurance industry insiders have revealed that insurers have a rating system which, strangely enough, reduces premiums by the same amount of a deductible increase. That is, if you increase your deductible to $1000 from $500, your rates could possibly go down by $500 or more.
Add a doctor visit copayment with limited visits. The copayment is a fixed amount that you pay each time you go to the doctor. It usually is $15-$40. If you don't have this benefit, you'll have to pay the entire amount each time until you have reached your plan's deductible. If you are planning to visit a physician a few times a year, this can save you money, though having this benefit usually adds to your monthly premium. Get around this by setting a limit of yearly visits that are covered by the plan. That way, the plan will only cover what you need, while lowering your premiums.
Choosing a plan with a smaller network can also be an advantage. Most plans today, whether they are an HMO or a PPO, will offer coverage within a specific network of doctors and hospitals. Chances are you won't need to see the wide variety of specialists often available. PPO's allow you to choose physicians outside of your plan, but they charge a premium as an incentive to stay within the plan. HMO's however, will require you to choose a primary care doctor who is in the system, and won't allow you to see specialists unless they have been recommended by your doctor. Choosing an HMO will reduce your coverage, but your premiums will be less.
The best kept secret in the industry is getting re-underwritten. Underwriting is a process by which insurers base your charges on a series of factors such as your present health, your age and future risk. Riskier people cost more, so they pay more. Most insurers also put you into "pools", which may include several plans with a preset number of insured. They then base the premiums on the overall health performance of the pool. That is, if many in your pool get sick, then your rates go up even if you haven't seen a doctor. So asking for a different policy may often put you in another pool. Or changing carriers will certainly do it. Before changing carriers, ask your current policyholder if they can match or beat the rate. Insurance industry insiders state that you can almost always find a lower rate by changing plans every year. If you have questions regarding this, contact your local insurance agent. Getting the best rates for you and your family doesn't have to be complicated, but it will take some thought and research on your part.
You can increase your deductible, the amount you have to pay each year before your plan begins paying. If you are like many of us, you don't have many doctor visits per year. Increasing your deductible could easily save you hundreds per year. Insurance industry insiders have revealed that insurers have a rating system which, strangely enough, reduces premiums by the same amount of a deductible increase. That is, if you increase your deductible to $1000 from $500, your rates could possibly go down by $500 or more.
Add a doctor visit copayment with limited visits. The copayment is a fixed amount that you pay each time you go to the doctor. It usually is $15-$40. If you don't have this benefit, you'll have to pay the entire amount each time until you have reached your plan's deductible. If you are planning to visit a physician a few times a year, this can save you money, though having this benefit usually adds to your monthly premium. Get around this by setting a limit of yearly visits that are covered by the plan. That way, the plan will only cover what you need, while lowering your premiums.
Choosing a plan with a smaller network can also be an advantage. Most plans today, whether they are an HMO or a PPO, will offer coverage within a specific network of doctors and hospitals. Chances are you won't need to see the wide variety of specialists often available. PPO's allow you to choose physicians outside of your plan, but they charge a premium as an incentive to stay within the plan. HMO's however, will require you to choose a primary care doctor who is in the system, and won't allow you to see specialists unless they have been recommended by your doctor. Choosing an HMO will reduce your coverage, but your premiums will be less.
The best kept secret in the industry is getting re-underwritten. Underwriting is a process by which insurers base your charges on a series of factors such as your present health, your age and future risk. Riskier people cost more, so they pay more. Most insurers also put you into "pools", which may include several plans with a preset number of insured. They then base the premiums on the overall health performance of the pool. That is, if many in your pool get sick, then your rates go up even if you haven't seen a doctor. So asking for a different policy may often put you in another pool. Or changing carriers will certainly do it. Before changing carriers, ask your current policyholder if they can match or beat the rate. Insurance industry insiders state that you can almost always find a lower rate by changing plans every year. If you have questions regarding this, contact your local insurance agent. Getting the best rates for you and your family doesn't have to be complicated, but it will take some thought and research on your part.
About the Author:
For many of us today, finding the best health insurance plan is a challenge. The industry is so intricate it is difficult to know where to turn without a roadmap. The professionals at www.GoHealthInsurance.com provide an excellent platform to maneuver as you seek answers to your needs for health insurance quotes.
No comments:
Post a Comment