What to Look For When Shopping for Health Insurance
Shopping for health insurance can be confusing and overwhelming, but the process is simpler if you keep some key questions in mind while shopping: “What are my health insurance needs?” “How much do I want my deductibles and co-insurance to be?” “How much can I afford to pay in premiums?” “Do I have to stay in a network of providers, or can I see anyone I want?”
First, you need to determine your health insurance needs. What is your health like in general? Everyone needs health insurance, but someone who has a lengthy history of medical problems will need more coverage than a young person who almost never gets sick. Consider your specific needs and find policies which will meet those needs. For example, if you have chronic insomnia, you may want to find an insurance policy which will cover a stay in a sleep center to diagnose the cause. If you are pregnant or planning to become pregnant soon, you will want a policy with good coverage for expectant mothers. If you are young and healthy, you may be able to find a policy with low premiums wherein you pay for most expenses out of pocket, but are covered in case of emergencies.
Second, ask how much you want your deductibles and co-insurance to cost. A deductible is the amount you pay up-front when you are seen by a doctor or when you fill a prescription. Co-insurance is the percentage you are responsible for paying when you have a medical procedure done. If you need lower premiums, you may have to accept higher deductibles and co-insurance; conversely, if you can afford to pay a bit more on an ongoing basis for premiums, you will likely find you need to pay less out of pocket on deductibles and co-insurance.
Third, ask yourself how much you can afford to pay in premiums. Get insurance quotes from several companies to compare insurance policies. Consider how and when the premiums are paid – will your employer deduct the premiums directly from each check, or will you pay on a weekly, biweekly, monthly, quarterly, or annual basis? Ideally you will choose a policy offering the most affordable premiums, lowest deductibles, and the least amount of co-insurance, while still giving you all the coverage you need.
A final consideration is whether or not the policy you choose will require you to stay within a network of providers or whether it will allow you to see anyone you choose. You can often save money by agreeing to stay within a network, but you should ask about what coverage you will receive if you are travelling or otherwise need to see someone outside your network.
