4 Important Considerations When Buying Health Insurance

Health insurance is supposed to secure your financial well-being and peace of mind in case of a covered illness or injury. However, it’s important to note that since not all health insurance policies are created equal, choosing a plan that adequately meets your medical needs is vital. For instance, being underinsured means, you would need to pay a portion of your medical expenses out of pocket whenever you seek treatment. Depending on the amount of money spent, you may end up struggling financially, something that insurance is supposed to shield you from in the first place. With that in mind, here are four things to consider when buying health insurance.

Table of Contents

• Type of Health Insurance Plan
• The Cost of Coverage
• Your Health Status
• Level of Coverage
• How to Get the Right Health Insurance Plan?

Type of Health Insurance Plan

Health insurance plans include Health Maintenance Organizations (HMOs), Exclusive Provider Organizations (EPOs), High-Deductible Health Plans (HDHP), Preferred Provider Organizations (PPOs), and Point of Service (POS) plans. Each type of plan comes with regulations that the policyholder must follow. For instance, having a Health Maintenance Organization (HMO) plan means seeking healthcare services within a network of healthcare providers. If you choose a provider out of network, you must pay the full bill out of pocket. Therefore, ensure you understand the terms for each type of plan to choose the most appropriate.

The Cost of Coverage

The average annual cost of health insurance for a single person in the U.S. is $7,911. The cost is higher for family coverage. You should go for a policy whose costs you can afford. At the same time, the policy you choose should provide adequate coverage. While most low-cost policies may not cover much, you can always find an affordable policy that covers you adequately.

Your Health Status

It is essential to consider your health status when buying health insurance. This is because some policies offer extra coverage benefits, which may not be available in other plans. For instance, if you have a disability, you should consider a policy that covers palliative care at no extra cost. You should also choose a policy allowing you to see a specialist anytime.

Level of Coverage

Health insurance plans come in different levels – Bronze, Silver, Gold, and Platinum. Each level has specific terms of payment, the cost of the policy notwithstanding. While the insurance provider aims at paying for your medical costs whenever you seek healthcare services, there are some costs you have to pay by yourself. Such include the deductible, copay, and premiums. How much you pay depends on your coverage level. For instance, if you choose a bronze plan, you will pay low monthly premium on your policy. However, the size of the deductible and copay will be high. On the other hand, paying high monthly premiums means that you will pay lower deductibles and copay. So, determine the payment terms for each level and choose one that suits your coverage needs and financial ability.

How to Get the Right Health Insurance Plan?

Before buying health insurance, you should talk to Advanced Insurance Group. This way, you can make an informed decision when choosing a health insurance policy. Do you have additional questions about your health insurance or other personal coverages?  If so, then contact the experts at Advanced Insurance Group today.