Have you been scouring the ends of the earth, on the hunt for a reasonable health insurance price quote lately? If you have, then you no doubt have discovered that health insurance can be best described with two words: necessary evil.
Health insurance premiums have skyrocketed in recent times. But so has the cost of health care in general. If you think health insurance premiums are unreasonable, just imagine how through-the-roof health care is without it!
Nobody in their right mind wants to pay for health insurance It’s just one of those things in life that you have to have, unless you are either in the top earning income brackets and can afford to pay for health care in cash, or if you are one of the rare breed of people who rarely ever gets sick.
When shopping around for the best health insurance price quote, there is one very import thing to keep in mind:
A lower monthly premium isn’t always the best deal. If budgetary constraints prevent you from paying a higher monthly premium, you should consider the hidden costs associated with a lower monthly premium, such as higher deductibles, less maternity coverage, and less prescription drug coverage.
Lower monthly premiums work best for those people who rarely ever go to the doctor. You pay less for your health coverage. But the trade off is that you have a higher deductible, which you only pay only if you need medical care.
Higher monthly premiums work best for those who take prescription drugs or who require frequent medical attention. You pay a higher monthly premium as a fixed cost, which actually helps you to budget your medical expenses better. And your annual deductible is lower, or in some cases, nonexistent.
What should you look for when shopping around for health insurance quotes online? Is it enough to just look for the lowest monthly premium? Sure, who doesn’t want to save money every month?
But that is a deceptively simplistic approach to choosing the best health insurance plan. You may be saving money on your monthly premiums, but a lower premium usually equates with higher deductibles. Why is that a problem? Deductibles are a variable expense. If your annual deductible is, let’s say $2,000, that means that you need to be prepared to pay that much directly to your medical provider or your pharmacy over the course of one year. This usually works best for people who don’t require regular medication or medical attention.
Higher monthly premiums work best for people who need to visit the doctor frequently or who may be taking prescription drugs on a regular basis. You can avoid the variable costs of deductibles by just paying a flat monthly rate to your health insurance provider.
But no matter which way you go, the sad reality is that somebody is going to take your money, whether it is the health insurance company or whether it is your medical providers.