6 Important Factors To Consider Before Choosing A Health Insurance Plan

Searching for a suitable health insurance plan can be very hectic especially with the ever-changing prices, information, and policies, it can be very confusing. We have listed 6 important factors to consider before choosing a health insurance plan.

1.      Discover the range of drugs covered for each insurance plan.

Good knowledge of the drug prescription coverage of each health insurance plan will help in selecting a suitable plan. You can get this information by requesting the list of covered drugs from the insurers. For someone who is on any drug prescription, you may have to search deeper into each new insurance plan just to see the range of drugs covered.

Most insurers arrange the list of drug prescriptions into tiers for easy access.

2.      Check out the operational mode of the health insurance providers (Are they in a network?)

It is not always easy to switch sides when you are fond of a particular program. get every bit of information you can about your present doctors. Find out if they are in networks, will they remain in a network? These are some information you need to get about your doctors. If you are not certain about these information, you can explore the network provider. Reach out to the new doctor, confirm how he operates, when he gets to see patients and their qualifications. With this knowledge, you can easily come to a conclusion about whether to switch sides or not. If for any reason you have a specific condition that requires a specialist, make sure the specialist is in the network.

3.      Do you want to save in HSA (Health Savings Account)?

Owning a health savings account is not bad at all, it could come in handy someday. HSA is like a personal health savings account that can be used to offset medical expenses. One important thing about HSA is that it is ideal for anyone. You can also withdraw money from your HSA to offset non-medical bills before the age of 65.

If you ever decide to own an HSA, ensure your plan qualifies you as only specific plans provide their users with such opportunities.

NB: HSA do come with certain restrictions.

4.      Tax Credit

It is one thing to find a suitable health insurance plan and another to pay for it. Health insurance plans can be very expensive most times, but the government may be able to help you take care of the expenses depending on your income. The IRS presents what is known as “Premium Tax Credit,” it is a refundable tax credit designed to help eligible individuals and families with low or moderate income afford health insurance, purchased through the HealthInsurance Market Place  also known as Exchange

The amount of tax credit received depends on one’s income. Those with lower income receive higher tax credit while those with higher income receive a lower tax credit to help cover their insurance.

5.      Study the deductibles while selecting Premiums

It is quite simple to navigate through monthly premiums (price paid on monthly basis to maintain your health insurance), but it is also necessary to thoroughly study the deductibles (the price you pay before your insurance company will pay a claim).

It is advisable to consider the premiums one is going to pay over a whole year and look at your total out-of-pocket costs. Then, calculate a worst-case scenario, and then consider your total out-of-pocket costs in a medium-range scenario. Then decide on a plan from here.

6.      Check for incentives

Many health insurance plan providers offer certain programs to help keep their members healthy and free from constantly visiting the doctor.

Some of these incentives can include gym membership, free counseling sessions, video conferences with doctors at any time, and even legal consultations.

Hope these factors were of great help to you. If you have further questions or suggestions, you can drop them below in the comment box or send us a direct message to our email.