If you are reading this, it only means that by now you have understood the importance of getting an individual health insurance plan. With the rising medical costs and discovery of new ailments, premiums of health insurance plans are on the rise always. These premiums are bound to increase, when you opt for additional riders or floater policies to get additional coverage for particular ailments for you or your dependents.
In this scenario, you might be interested to know about some smart tips to follow so that you can save considerable costs on your individual health insurance plan and get a good deal from the insurance company. Here are a few such tips for you:
- See if your employer can help you
When you want to buy an individual health insurance plan, the first place you have to look for one is at your workplace. In the USA and most other countries, almost 50% of the population is covered by health insurance plans provided by their employers. The reasons this should be your first step to saving costs on your insurance are:
- Even if you are opting for a plan that offers exhaustive coverage, you will not be affected by the heat of the enormous premium amounts, because your employer will also contribute to a part of this premium payment
- You become eligible for quite a few tax benefits when you pay your premiums on time, thereby resulting in considerable savings.
- Since the plan and coverage are chosen by your employer, you don’t have to spend time and effort in selecting the one that is right for you.
If you are not working or are self-employed, you can still save a good amount of money on your individual health insurance plan, when you compare the different plans and their coverage before making the final decision.
- Opt for hospitals in the network only
When you want to save some money on your individual health insurance plan, the best way to do is it choose the doctors, clinics, physicians, druggist and other related service providers, who are part of the network of your insurance service provider. When you choose a caregiver outside of this network, you will not get fully reimbursed for the medical costs you incur.
Some health insurance plans do cover you fully for choosing a hospital outside of the network, but only in the case of an emergency. So, be informed of the hospitals and doctors that are part of your insurer’s network in your respective locality. Have this list with you at all times, so that you know where you should go, to save costs on medical expenses.
- Make the most of Health Savings Account plans
A Health Savings Account is a scheme that is available for high-deductible health plans (HDHPs). It is an investment-cum-insurance plan that provides coverage for the treatments & ailments that aren’t covered by these high deductible plans. Here, you or your employer will contribute to the HAS, and the amount is used for paying off medical costs that are covered as per the plan.
When you have already opted for a high-deductible insurance plan, it is only natural that you make the most of it by contributing to HSAs as well. In these accounts, you only have to pay a very low premium every month, and your contribution keeps rolling over every year, so that you can invest in the account and monetize it to the maximum possible extent in the long run.
Contributions to the HSA are 100% tax-deductible. If you have earned any interest on the investment made in the HSA, you don’t have to pay any tax on that as well. So, what are you waiting for? Check with your employer right now to know if you qualify for contributing to an HSA.
If you are new to the health insurance sector, you might feel confused about choosing the right plan for your needs and medical condition. Therefore, it is highly recommended that you speak to an insurance expert right now. Yes, he will charge a nominal fee for his consultation service, but the amount you pay him will prevent you from choosing the wrong plan and spending huge amounts on it in the long run. Always compare plans and review your plans frequently to get a good deal on your individual health insurance plan.