How To Save On Medical Insurance

With heathcare expenses  soaring through the roof, the cost of health care insurance premiums are raising as well. Medical Insurance is a necessity, however, when you consider the expenses  of one visit to the emergency room, surgery to set a broken bone, scans, lab and other expenses . When your budget is limited, how can you keep the expenses  of your health care insurance premiums down? There are several steps you can take to reduce your health care insurance expenses  and still maintain adequate health coverage when you need it.

First step is to consider what health care insurance options you’ve. Does your employer offer a group medical benefit? Many businesses (and/or labor unions) offer health benefits to full-time employees. Group health care insurance is generally the cheapest way to get medical coverage; an employer can negotiate with health care insurance businesses to get a group medical policy at discounted prices. Additionally, numerous businesses will pay part of the premium, reducing your health care insurance cost even further. Another consideration is whether your spouse has health coverage available through their employer? If so, compare your health benefits plan to that of your spouse, and determinewhich health insurance plan is the better buy. It may be possible to have one spouse carry family health care insurance coverage and the other drop their health benefits. Many businesses have multiple health care insurance options, so review these programs as well. Select the health insurance plan that best meets your needs at the cheapest rate.

If no health care insurance coverage is available through your employer, there are other ways to obtain health care insurance coverage. Individual and family private health care insurance programs are available. Shop and compare benefits and premiums from each health care insurance plan. If you and your family are generally healthy, the new Health Savings Account (HSA) may be worth consideration. The HSA is an account that allows you to save tax-free dollars for your medical/health expenses. Similar to an Individual Retirement Account (IRA), you are limited in the amount that you are allowed to contribute each year; however, with the HSA, withdrawals for health expenses are not penalized, and no tax is paid on the withdrawal. When paired with a health care insurance policy that has high deductibles and low prices, the HSA may be ideal for you. Save money in the HSA for deductibles and co-payments, and you are set.

For those over 65 or permanently disabled, Medicare is available through the federal government. The original Medicare is an 80/20 plan (they pay 80% of eligible expenses and the insured pays 20%) with an annual deductible and a monthly premium. Supplemental health plans are available to cover this deductible and co-pay. These supplemental health plans are generally private and the insured pays a premium. Additionally to the original Medicare plan, there are Medicare HMOs. In these Medicare Health Maintenance Organization (HMO) health plans, the Medicare premium is paid to an Health Maintenance Organization (HMO) to provide benefits to the insured. Health Maintenance Organization (HMO) programs are more restrictive in that patients must get care through a network provider, but often these programs cover more prescription drugs and routinecare than original Medicare does.

Recently some businesses have offered reduce premiums to employees who do not smoke cigarettes. That is currently a controversial topic for some, but it certainly may begin a trend. In the future, businesses and their health care insurance providers could offer reduced premiums for employees who maintain normal weight, exercise regularly, and receive certain wellness benefits. Maintaining a healthy lifestyle lowers the risk to the health care insurance company that they will be paying big bucks in heathcare down the road. And health care insurance, as any other insurance, is all about risk.

Bottom line: going without health care insurance coverage is a big risk for you. Obtain health insurance that you can afford just in case Murphy comes knocking at your door!