Health insurance 

How to get an affordable health insurance plan?

The United States Government has been coming up with various schemes and plans to help US residents enjoy the benefits of health insurance to the fullest. “Obamacare” is one such plan that offers health insurance services for both high income and low income groups in the United States. However, a report from a Washington DC company, called Avalere Health, reveals that the price of one of the Obamacare plans, called the silver plan, will increase to about 34% in 2018. The silver plan provides a decent coverage policy and it is a little high on the monthly premiums. For those who cannot afford to pay such high premiums; they should not worry, as there are policies on top of this and a subsidy plan, which will provide health insurance in low cost.

while shopping cheap health insurance plans, One must have a solid knowledge about health insurance policies. Shelby George, senior vice president of advisory services at Manning & Napier, advises buyers to always look at how much coverage is provided for the costs a company is offering. In other words, one should not get carried away with cheap rates, but rather focus on how much coverage insurance companies offer for the cheap rates they advertise.

To get the best cheap health insurance, Here’s an explanation of the different policies available and a description of whether you can get “free” insurance.

Subsidies and other Health Insurance Plans:

With the goal of providing all Americans with health insurance coverage, one of the many useful plans proposed by the government is “subsidies.” A subsidy, in simple words, is the amount paid by the Government to insurance companies to provide health insurance services to those with low incomes. This means that people belonging to the low income group will be able to enjoy health insurance benefits through the use of subsidies, which would otherwise be denied by insurance companies on any other short-term policy claims.

An individual earning around $48,000 and a family of 4 earning less than $98,000 are eligible for subsidy benefits. Therefore, people with low income can enjoy good cheap health insurance with the help of grants. However, these subsidy schemes proposed by the Obamacare plan are more likely to be altered or eliminated entirely by the Trump administration.

Speaking of other health insurance plans, a silver plan will cover up to 70% of a person’s healthcare charges, while a bronze plan will cover up to 60% of the costs and the remaining percentage of the charges will have to be paid out of pocket. to the person. pockets. Now, when comparing these two plans, if one wants to spend absolutely NO money out of pocket, then choosing a bronze plan along with a subsidy will go a long way. For those who cannot afford to pay out of pocket, the bronze plan’s 60% coverage along with the remaining 40% covered by subsidies will help to enjoy cheap health insurance

What kind of policy can you choose?

The first step to get the best cheap health insurance is to be aware of which policy suits your needs. Here is a list of two options explained briefly, so that one can choose the one that fits the best.

1. Short Term Policy: A short term policy is for those people who do not qualify to take advantage of the subsidies. In other words, people who find it “unaffordable” to get health insurance are advised to choose this policy. Here the term “unaffordable” is described as the cost that exceeds more than 8% of the annual income of an individual or a family. According to Nate Purpura, vice president of Consumer Affairs (ehealth.com), people earning between $49,000 and $69,000 and families earning between $99,000 and $129,000 are supposed to opt for short-term policies.

Therefore, if one finds it difficult to pay expensive premiums and take advantage of health insurance, it is highly recommended to go for the short term policy. However, there are no penalties if one does not wish to have any health insurance. But, on a positive note, it is beneficial for the individuals themselves to have some financial protection that is beneficial to them in hostile circumstances.

Here are some notable details about short-term policies:

  • These policies usually have a duration of up to 3 months and can be extended up to 9 months (renewal for a period of 3 months).

  • Under the new rules proposed by President Trump, having a short-term policy will be mandatory for all individuals. However, this rule has not yet been approved, but it will soon come into force.

  • These policies do not provide coverage for pre-existing conditions, that is, conditions that one suffered from before applying for the policy.

  • If one wishes to include such pre-existing conditions in the coverage plan, the premiums will increase substantially.

  • Unlike Obamacare plans, short-term policies won’t cover the costs of maternity care, abusive injuries, and mental health treatment.

  • By having a short term policy, one can avail decent healthcare facilities at a premium of about $100 a month.

In general terms, despite the low coverage options it offers, those seeking cheap health insurance for individuals either cheap health insurance for families You can avail great benefits from this policy.

2. Combined Policy or Combo of Policies:

Traditional policies or, in other words, plans with higher premiums will provide coverage for all the expensive hospital bills in case of dangerous illnesses or accidents. While choosing short-term plans will simply cover normal doctor visits. But if one wishes to take advantage of the benefits of both policies, that is, to obtain coverage for risk diseases as well as normal or routine diseases (such as cough, cold, fever), insurance companies now offer combined packages.

In the recent past, people used to apply for both policies separately so that they could take advantage of coverage in both cases. Insurers found it difficult to calculate different percentages and amounts; Hence the combined policy plan, which allows people to take advantage of both benefits within a single policy. However, as obvious as it may seem, opting for these policies will definitely result in one paying higher premiums than usual.

So, the gist of all the points discussed above is that one should not always be attracted to offers that simply advertise that they offer services. cheap health insurance for individuals instead, one should look for the quality of coverage they provide for cheap insurance rates. Buying health insurance also requires extensive research and study, just like any other insurance policy. Since this is a health issue; It is not worth worrying only about money. Quality service always comes at a cost, so one must be smart enough to search for policies that provide quality and affordable health insurance plans.

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