If you think you’re paying too much for health insurance or if you’re currently uninsured, it might be time to shop around. Most major health insurance plans cost a lot. Then you end up paying for benefits you don’t use, and high deductibles and copays make it hard for your plan to pay you any benefits. Something has to change. Maybe you should try fixed indemnity hospital insurance or minimum essential coverage.
A fixed-indemnity hospital insurance plan pays pre-set dollar amounts for specific health care services. The benefits you receive for the health care service are the same regardless of where you receive your care or how much your provider charges. This makes you a consumer because you will have to shop around to find providers that offer the best prices. Some plans are more robust than others, but they are not intended for people who need to see the doctor regularly. In fact, these plans generally do not accept pre-existing conditions.
These plans can also be used to increase your primary health insurance. Every policy will have gaps in coverage, even if that gap is just a very high deductible. A hospital indemnity plan could actually fill that gap with additional coverage at an affordable price. Also note that these benefits are generally paid directly to the insured and do not have a coordination of benefits agreement. This means that you may be reimbursed for a service that your primary health insurance plan already paid for.
The minimum essential coverage plan is based on the individual mandate of the Affordable Care Act. Federal law made it mandatory for everyone to have health insurance, but only at a level that covered what they called minimum essential coverage. This coverage basically consists of annual check-ups, specific exams and counseling for certain people. Essentially, if you have one of these plans, the IRS would not be able to penalize you for not having adequate medical care. These plans are ridiculously cheap, but they are really only for people who are fit and healthy. This is a brand new plan developed especially because of the Affordable Care Act and the realization that not everyone can afford a major health insurance policy.
Healthy people may be paying too much for health insurance. This is because they have been misled into thinking that a major health insurance plan is their only option. Fixed indemnity hospital insurance and minimum essential coverage plans offer an alternative solution at great prices. It cannot be stressed enough that these plans are not for people who are not fit and healthy. Any insurance plan is an agreement to assume a certain risk with an insurance company. Talk to a professional before deciding if any of these plans is right for you.
