Health Insurance Review - How Well Are You Really Covered?
Most people think once you have health insurance your health and financial security is covered.
Of course it is very important to have health insurance, but how well are you really covered? Let's take a look at one of the best coverage's you can get and one of the least expensive.
We will compare them see just how well you are covered.
Before we can, I need to make sure you understand what is a deductible for health insurance.
Medical insurance deductible is the dollar amount of covered services that you pay before insurance starts to cover your covered medical expenses.
Our first health insurance policy is one of the best you can get.
The monthly cost for a family of four, husband and wife age 45 non-smoker and two kids, is $1991 per month.
That's nearly $24,000 per year.
That is clearly out of reach for most Americans.
This is what you get for $24,000 per year.
The individual deductible is $500 and $1500 for the family.
This means in the case of minor medical needs for your family you would pay $1500 before receiving insurance benefits.
After satisfying the deductible you start dealing with the 20% co-pay.
At this point the insurance would start paying 80% and you would pay the remaining 20% of all cost.
Once you have paid the deductible next comes the out of pocket maximum.
In this example it is $7500 for the family.
Once you have paid the deductible ($1500) and the additional out of pocket ($7500) the insurance starts paying 100% of your needs for that policy year.
Let's add up your cost for one year.
The cost of the insurance was $24,000.
Your deductible and out of pocket was $9000 for a total of $33,000.
This can happen every year.
Now let's examine the low cost option.
The same family could get a low cost option for $369 per month.
Of course the coverage will not be nearly as generous.
The individual deductible is $7500 with a family deductible of $15,000.
Remember that means until you pay those amounts you don't receive any benefits.
Next is the out of pocket maximum of another $15,000.
So if you have some family medical emergencies you will pay at least $30,000 out of your pocket for that policy year.
If you add in the cost of insurance your total costs are nearly $34,000.
If you noticed I used the term policy year.
The costs we just talked about are for each year.
If you experience two bad years in a row your out of pocket could be $66,000.
If you have that in the bank don't worry until next year.
The point being don't just assume having health insurance guarantees you against catastrophe.
Review your policy clearly.
Talk to your doctor and know your health condition and make the proper adjustments.
Of course it is very important to have health insurance, but how well are you really covered? Let's take a look at one of the best coverage's you can get and one of the least expensive.
We will compare them see just how well you are covered.
Before we can, I need to make sure you understand what is a deductible for health insurance.
Medical insurance deductible is the dollar amount of covered services that you pay before insurance starts to cover your covered medical expenses.
Our first health insurance policy is one of the best you can get.
The monthly cost for a family of four, husband and wife age 45 non-smoker and two kids, is $1991 per month.
That's nearly $24,000 per year.
That is clearly out of reach for most Americans.
This is what you get for $24,000 per year.
The individual deductible is $500 and $1500 for the family.
This means in the case of minor medical needs for your family you would pay $1500 before receiving insurance benefits.
After satisfying the deductible you start dealing with the 20% co-pay.
At this point the insurance would start paying 80% and you would pay the remaining 20% of all cost.
Once you have paid the deductible next comes the out of pocket maximum.
In this example it is $7500 for the family.
Once you have paid the deductible ($1500) and the additional out of pocket ($7500) the insurance starts paying 100% of your needs for that policy year.
Let's add up your cost for one year.
The cost of the insurance was $24,000.
Your deductible and out of pocket was $9000 for a total of $33,000.
This can happen every year.
Now let's examine the low cost option.
The same family could get a low cost option for $369 per month.
Of course the coverage will not be nearly as generous.
The individual deductible is $7500 with a family deductible of $15,000.
Remember that means until you pay those amounts you don't receive any benefits.
Next is the out of pocket maximum of another $15,000.
So if you have some family medical emergencies you will pay at least $30,000 out of your pocket for that policy year.
If you add in the cost of insurance your total costs are nearly $34,000.
If you noticed I used the term policy year.
The costs we just talked about are for each year.
If you experience two bad years in a row your out of pocket could be $66,000.
If you have that in the bank don't worry until next year.
The point being don't just assume having health insurance guarantees you against catastrophe.
Review your policy clearly.
Talk to your doctor and know your health condition and make the proper adjustments.
Source...