The Guide to Buying Health Insurance


Here are the top steps to take to ensure that you get the plan that suits both your budget and health care needs:

1. Learning the language of health insurance

Just about each health insurance strategy comprises a couple of basic components. In order to make an informed decision, you want to make sure you know the definitions of these terms:

Premiums

A regularly scheduled payment you make to the health insurance for China insurance company in exchange for medical coverage. Ex) If under group health insurance coverage, the premium is paid in whole or partially by the employer on behalf of the employee or the employee’s dependants.

Co-pay

A decent expense paid by the policyholder for office visits, trauma center visits and prescriptions due at the hour of service. Ex) Your health insurance plan requires a $15 co-pay for an office visit or brand-name prescription drug, after which the insurance company often pays the remainder of the charges. Instantly browse different plan options and health insurance quotes, to learn more.

Deductibles

An amount of money that you are required to spend on your own medical expenses before the insurer coverage begins. Note, month to month premiums and co-pays typically don’t count towards your deductible. Ex) Choosing a plan with a higher deductible can keep your month to month premiums lower.

Co-insurance

A percentage of medical expenses for which the insured is responsible up to his or her out-of-pocket maximum. Ex) If your insurance benefits cover 80% of x-ray charges, you would have to pay the remaining 20% (co-insurance), regardless of whether your yearly deductible has already been met.

Out-of-Pocket Max

AKA a stop-loss limit, this is the maximum amount of money the insured will pay before the insurance company begins paying 100% of expenses. Ex) If annual OOPM is met through payment of deductibles, co-pays, and co-insurance, the insurance carrier will pay the remaining costs for that year.

Lifetime Max

This is the maximum amount an insurance company will spend on a patient in his or her lifetime. Ex) This term may be in the fine print of the plan you’re considering, but make sure the plan’s lifetime max is at least 2 million dollars.

Health Saving Accounts

To take more command over your own medical spending, you can set up a Health Savings Account (HSA) in which you can invest pretax income. As lengthy as you use the money for health care expenses it won’t be taxed. These accounts are accompanied by high-deductible health insurance plans, which ensure that you are covered for medical expenses that surpass the money in your account.Ex)

2. Evaluate your situation

Knowing your priorities will assist you with narrowing down your choices and gauge the pros and cons of each plan. Here are some questions you should answer before you begin shopping for a strategy:

What month to month premium can I afford?

Do I want coverage for preventive care or just in case of a major illness or accident?

Who has the largest or most helpful supplier network for my lifestyle?

Do I want greater command over my medical resources?