Health insurance costs have risen steadily over the past several years and by all accounts, they will continue to rise. Resources for health insurance include plans available at group rates through an employer or some other group like a chamber of commerce, or directly from a health insurance company.
Employers are not required to provide health care coverage to their workers, let alone pay for the cost. Some employers will offer at least some payment toward health care insurance, but many simply offer a discounted rate to their employees.
If your employer does not have a health insurance plan, you will be forced to shop for a plan through a private insurance company. This will generally cost much more than a group plan so it makes sense to seek out a group rate. You may be able to find group rates through your existing membership with a club or organization. If not, you may be able to find a club or organization that you can join that has a health insurance group plan. Students may often find health insurance plans available through their college.
Regardless of how you procure insurance coverage, there are some ways to keep costs down. First, choose a higher deductible. This may mean that you will have to pay more cash for medical treatment but if you are relatively healthy, this may be a good option. Second, sign up for a plan with larger co-pays. Again, this means that you will have to spend more of your own money directly while at the doctor’s office but in the end it should save you money.
Increasingly there are government sponsored health insurance plans available to those who qualify and cannot afford any health insurance. There are typically age and income requirements for these plans.
Among the available plans through private insurers, there are several varieties. Traditional indemnity fee-for-service plans offer flexibility but typically have higher costs associated with them. Health maintenance organizations or HMO’s may offer the least expensive plans but they are also the least flexible. Typically, these plans will have incentives to maintain the customer’s good health through non-smoking and exercise plans. When insured through an HMO you will have to choose a primary care physician that is part of the HMO’s network in order to obtain any cost savings. In most cases, this is not an issue but some customers may find that their favorite physician is not part of the network for their new HMO, forcing them to find a new doctor.
A Point Of Sale or POS health insurance plan is more flexible than an HMO, but maintains the requirement to choose a primary care physician. With a POS plan, you may seek medical care outside of the insurer’s network but it may simply cost more.