Although important, choosing health insurance can be very confusing, especially with so many options available. It might get tempting to purchase the first plan you may come across. But this is the wrong approach to follow.
You will have to put in some amount of time and effort while shopping for health insurance, no matter how busy you may be. You cannot make these 4 common mistakes that most people end up making while buying health insurance:
Not Comparing Health Insurance Plans
Although most health insurance plans might seem the same to you, there are many things to be compared, such as benefits, prices, coverage, and provider networks too. Also what might suit your friend or relative, may not exactly be best for you, since your coverage needs and financial situation may be different. Hence it is very important that you get in touch with health insurance providers through health insurance leads, get their quotes, and compare their plans thoroughly.
Go through the reviews written by people who have bought health insurance plans and make a note of the positives and negatives of buying each and every health insurance plan on your list.
Having Only the Premium as the Choosing Factor
Unlike other things, health insurance is a complicated product to buy. Most don’t understand what they need to check for when choosing health insurance, as all plans might seem identical to them. So they take the easiest way to choose a plan based on the premium that they have to pay.
Price does play a very big role in health insurance. But it is not just the premium. There are a lot of costs you need to consider while choosing a health insurance plan. These include your copays, coinsurance on various healthcare services (such as medications, procedures, and doctor’s visits), and most importantly deductibles. If you make your decision without considering these, you may have to pay for most of your healthcare expenses from your own pocket.
Not Assessing Your Coverage Requirements
The main point of buying health insurance is to be free of any financial worries when you or any of your loved ones are in need of healthcare treatments. You have to make sure the plan you select offers all the coverage that you need. Your medications need to be covered. The network should include the doctors you are currently visiting. In case you find any missing pieces you may benefit by taking an additional supplemental plan. Even if you do have to pay a little extra you can rest assured that you have everything you need.
Not Consulting a Professional
As mentioned before, health insurance is complicated. With all the coverage levels, costs, provider networks, and subsidy applications, it is natural to get confused. The good news is that you don’t have to do this all by yourself. If you consult a licensed insurance agent, he can help you in assessing your coverage needs, compare the various available plans and shortlist a few excellent plans that fit into your budget. This consultation is usually a no-cost service that most licensed insurance agents offer. In return, you get to buy a policy that offers comprehensive coverage.
The Bottom Line
Although most don’t realize it, health insurance is very important for everybody, irrespective of how old or how healthy they are. To make a well-informed choice and save money in the long run, it is important that you take the total cost of your health insurance plan into consideration. Assess your specific healthcare needs, review your coverage options, take a look at your out-of-pocket expenses, and check out the various costs associated with your health insurance plan.