About 50 years ago, health insurance began to be an attractive incentive offered by employers to attract and retain good employees. Overall, group plans tended to be inexpensive for employers, with employees paying a small amount of money or nothing at all to secure health insurance for themselves and their families.
It was more expensive for individuals to pay for non-group policies, but coverage was quite affordable. Then medical costs began to rise, people began to live longer, and the medical profession became adept at curing various illnesses and saving and prolonging the lives of people who were seriously injured and had life-threatening illnesses. Health care and insurance prices began to rise much faster than annual earnings, and premiums began to tax both employers, who paid the lion's share of premiums, and employees, to whom companies often passed on costs through higher deductibles, larger out-of-pocket payments and higher premiums.
According to a recent MSNBC News Service report, 41% of moderate-to-middle income Americans did not have health insurance for at least part of 2005. In 2001, that figure was much lower: 28%. Additionally, more than 50% of uninsured Americans in 2005 struggled to pay their medical bills. Another alarming statistic: 28% of Americans in 2005 had no health insurance, compared to 24% in 2001.
So what should a person do if they don't have health insurance or have a choice between a cheap discount plan that doesn't cover basic expenses and an affordable plan that may cost a little more but offers also much better coverage? According to data from the United States Centers for Disease Control and Prevention, the majority of people who are not covered for important screening tests, such as a mammogram, colon cancer screening or PSA test, will not undergo not these exams. In addition, nearly 60% of people without health insurance have missed treatment or failed to purchase needed medication for a chronic condition.
All of these numbers point to one thing: people who lack medical coverage for essential services are often unable to afford those services, putting them at increased risk of developing new or worsening health conditions. existing health.
What should you look for in a health insurance plan, especially when cost is an issue? It is important that you get the best coverage possible. Skimping on premiums can save you money initially, but the result can turn out to be an insane penny and pound. Sometimes people can't afford coverage and sometimes they believe because they are healthy that they just don't need it. However, healthy people get sick or are involved in serious accidents all the time. You never know when you'll need coverage.
Some people opt for “catastrophic” insurance, which generally only covers major medical and hospital expenses beyond a specific deductible. Under such a plan, the insured person pays for routine doctor visits and prescription drugs. With this type of plan, you'll pay a low monthly premium, but you'll also get a high deductible and limited coverage. Deductibles start at $500 per year, but can be significantly higher.
Following. If you buy a cheap policy with a deductible of $10,000 and you have surgery that costs $8,000, you have to pay that $8,000. If your surgery costs $12,000, you owe $10,000.
An insurance company offers a plan that costs $29 per month for a 21-year-old non-smoking woman. There is an annual deductible of $250 and $2,500 of out-of-pocket costs that the insured must pay before the policy takes effect. Hospitalization, surgery and x-ray costs are covered, but other costs, such as doctor's visits, prescription drugs, maternity care and mental health care are not included. There is a lifetime maximum of $1 million.
It's definitely a good deal, if you don't plan on going to the doctor very often. Signing up for a plan that will cover doctor visits, prescriptions, maternity costs and more could easily cost $400 per month, jumping to $371 every 30 days for a total cost of $4,800. per year !
Group health insurance plans, which you can usually sign up for through your employer, union, or guild, are the best buy. Individual plans, especially those that offer comprehensive coverage, can cripple many people's wallets. When buying health insurance, it is important to shop around. Your choice of the type of plan you buy will be determined by what you can afford and what you need in terms of insurance. There is no right or wrong choice when it comes to health insurance, but you should at least have catastrophic insurance.
There are basically three types of plans: paid services, health maintenance organizations (HMOs), and preferred provider organizations (PPOs). Fee-for-service plans offer the most choice when it comes to doctors and hospitals, but they often involve a lot of paperwork and are the most expensive. If you're ready to give up some or a lot of choice, do less paperwork, and save money on premiums, an HMO or PPO is for you.
An HMO offers the fewest choices, involves co-payment, has the least paperwork, and is the cheapest of the three types of insurance. A PPO combines some elements of fee-for-service and an HMO. You'll have more choices than with an HMO, but less than with a fee-for-service plan. It tends to be more expensive than an HMO but cheaper than fee-for-service. All three types of insurance have some aspect of Managed Care – which determines how much healthcare you can use – attached to them, with fee-for-service having the fewest restrictions and an HMO having the most restrictions. .
When shopping for health insurance, ask the following questions:
* How much does the premium cost?
* What services are covered?
* What is the total deductible and disbursed expenses per year?
* How much are the co-payments?
* What is the maximum lifetime benefit?
* How much freedom will you have in choosing doctors and hospitals?
* What are the pre-approval procedures to see specialists, have a procedure or undergo a test?
* What prescription drugs are covered and to what extent?
* Is mental health covered and to what extent?
* Is dental treatment covered and to what extent?
As you begin to narrow down your choices, you can take a closer look at the specific plans that seem to meet your needs and determine which offer you the best value?
America has one of the best healthcare systems in the world and one of the most complex health insurance systems in the world. Often they seem to be at odds with each other, unable to communicate and work together. This can be one of the most frustrating parts of anyone's foray into the world of medical professionals, hospitals, and health insurance companies. For this reason alone, it is important that you choose your healthcare benefit provider carefully and wisely.
