Health Insurance Essentials

Health Insurance Matters

There is a lot of discussion about healthcare system in the United States, but one thing is certain: you need health insurance. Whether you’re a young person just entering the workforce after leaving your parent’s plan, or your children are already out of the house, health insurance is vital to protect you against medical and financial catastrophe.

Young people may think, “I’m healthy and fit, why do I need to pay some company every month when I’m in good shape?” But even the healthiest of people is not immune to being hit by a drunk driver, or suffering from a crippling hereditary disorder. If you don’t have health insurance and suffer a serious injury, or even something relatively minor, it can cost thousands of dollars.

Choose A Plan Based On Your Needs

Different people have different expenses. If you are frequently visiting the doctor you want a plan that will cover you for those frequent visits despite the higher premium that you know will be worth the money. If you are healthy and don’t have a lot of money to spend on a plan, you’d instead prefer to select a plan with a higher deductible but a low monthly premium, since you want to be prepared for the worst but are unlikely to take advantage of your insurance in significant measure.

If you are committed to a particular doctor in your area, perhaps with whom you or your family has history, you’ll want to make sure he’s in your insurer’s network when buying a Point of Service (POS) plan, or find a plan that does not require a doctor within the network, such a PPO.

Understand Your Plan

This cannot be emphasized enough. If you do not know what your plan will likely cost you every month, or in the event of a serious medical injury, you should find out immediately—preferably before you purchase it.

For example, if you are seriously injured and require medical attention, but you have a deductible that you don’t have the money to pay, what will you do?