Health insurance choices can be dizzying. There are so many options available, it can often be hard to choose. To make the task easier for yourself, it’s important to zero in on what you want from a plan. This involves learning a bit about health insurance first. To make your health coverage choice easier, we suggest:
1. Learning important insurance terms.
You’ll need to understand what you are looking at to make an informed choice. A few of the most important terms you’ll see:
- Copay: This is a flat amount that you’ll pay each time you see a healthcare provider for a covered service. For instance, if you have a copay of $25, you’ll be charged that when you go to see your primary care physician.
- Deductible: This is the amount that you need to pay before your health insurance kicks in for covered services. Typically, the lower your deductible, the higher your monthly premiums.
- Coinsurance: This is the percentage you can be charged for covered services after your deductible. For instance, if you have insurance that covers 65% of charges for a hospital stay, you’ll be responsible for the other 35%.
- Out of pocket limit: This is the maximum amount you can be expected to pay for services in a year. An out of pocket maximum of $5000 means that you will not have to pay out of pocket for any coinsurance or copays that exceed that.
2. Learn about premium tax credits.
You may be entitled to tax credits to help you afford premiums for insurance from a state or the Federal Marketplace. These are based on income and family size and can make insurance far more affordable.
3. Learn about tiers of coverage.
Put simply, this governs how much you pay per month and how much coverage your receive. People who are young with few medical issues may choose a lower, less expensive tier. Those with chronic health problems may save money choosing a higher tier.
Once you understand more about what is available, the choices become far simpler. Fill out our simple form today to learn more about the best insurance option for you.