There are so many insurance companies clamoring for your business. You need to be clear on what to consider when you pick health insurance so that it gives you peace of mind in the future rather than more anxiety. There are many possible plans to choose from with different variables like deductibles, expenses and other factors. So, what are the pieces of information you must have to be able to pick health insurance that suits your specific needs?
There are the monthly premiums to be paid. It does not matter whether you use your insurance or not. You still pay the premiums and this is a cost that you definitely will incur.
Just because you pay the premiums does not mean that you will not incur any further costs. There will be other claims related costs that you will incur if there are any claims to be made. You need to be clear on these as you need to be prepared for it if unfortunately you incur some medical expense. The kind of costs that can be incurred must be clearly stated in the quote given to you so that you will be aware of these and be prepared.
Take note that when you actually get medical treatment, you might still incur additional cost. This can be a fixed amount per hospital visit or doctor. It could even be a percentage of the total bill. These kind of costs depend very much on the kind of medical problem, the policy, whether the doctor or hospital are in your network and a number more possible variables.
Deductible costs is another item to be clear about. There is a certain amount that you need to pay first before the health insurance plans will pay any benefits. This amount is deducted first from your incurred expense before payment is made. Hence, its called deductibles. Plans with lower deductibles will typically have higher premiums and vice versa. Even after the deductible is paid, you may still have to pay a percentage of the post-deductible expenses. This varies between 20 to 30 percent, depending on your policy.
The other instance that you might incur extra cost is if in your chosen insurance plan, benefits are paid when you visit doctors who are recommended in the plan. These are the doctors who make up the network. It is better therefore to visit doctors within the network from a cost perspective. However, if you are traveling outside your network area, this may not be possible. For such possible instances, make sure the quote clearly states how you will be charged.