Things to Consider When Reviewing Your Health Plan Options
In choosing a plan, you will need to choose the plan benefits that are most important to you. There are so many different plan choices, so you might want to ask yourself some of the following questions:
How comprehensive do I want coverage of health care services to be?
Deciding what percentage of health care costs will be shared by you will greatly effect the monthly premium charged by the insurance company. The greater share you are willing to pay, the less risk their is to the insurance company. The deductible selection also effects the monthly premium. An insurance company will not typical begin paying benefits until your deductible has been met. The higher the annual deductible, the less chance the insurance company takes in paying claims. Premiums are determined by considering the risk factor in paying claims. The lower the risk to the insurance company, the lower the monthly premium will be to you.
How do I feel about limits on my choice of doctors or hospitals?
Your geographical location will play a big part in answering this question. If you live in a rural area your availability of hospitals and physicians may be limited. Even if you live in a rural area, your physicians and nearest hospital may only contract with certain health insurance companies. The type of health plan you choose will also effect the limits placed on you as to what facilities you may use for medical treatment.
How do I feel about a primary care doctor referring me to specialists for additional care?
This would apply to an HMO plan, if available in your area. The key to an HMO plan is the confidence that you place in your primary care physician and the staff that works with his medical group or affiliating hospital. Make sure that the primary care physician uses the hospital where you prefer to receive treatment in the event of a major illness.
How important is the cost of services?
Less costly medical expenses, such as routine office visits, may be something that you are willing to pay for yourself. If you need to pay an extra $60 per month for a health plan that covers office visits, it might not make sense to include this benefit if you typically go to the doctor only a couple of times per year. Talk to your physician and ask the cost of a standard office visit in order to get an accurate assessment of the value of this added health insurance benefit.
How much am I willing to spend on premiums and other health care costs?
What is considered "affordable health insurance" will vary greatly when asked to multiple people. This is why a far greater percentage of low income or middle income families are without health insurance in the U.S. The rising costs of health insurance across the country have made it an expense that many families just simply can't afford. They have no choice but to take the risk of not being insured. Those families in a position to pay for their own health insurance must consider the cost of the premium in relation to the money they would be saving on medical treatment as a result of being insured.
Am I expecting and life changes, such as starting a family or retiring?
The type of health insurance policy you choose may be one that you need to live with for a long time. Changing health plans as your needs change may not always be possible. For instance, if you intend on having children in the future, you might want to consider a health plan now that offers maternity benefits. Remember, applying for a new individual health insurance policy requires a medical review to determine your eligibility. Any change in your current health may prevent you from switching to a different type of health plan in the future.
Am I at risk for chronic health conditions or disabilities?
If you have a family history of certain diseases, or your lifestyle places you at greater risk for injury or illness, you might want to consider the benefits of a more comprehensive health plan.
Will I possibly be relocating to a different state?
If this is a possible scenario, you might want to choose a health plan that is portable to a different state. Some insurance companies are more lenient than others when it comes to relocating outside of the state. An HMO plan is not typically portable, so you might want to only consider PPO or indemnity type coverage that contracts with a nationwide network of physicians and hospitals.