Save Money On Your Health Care Insurance Costs

June 8, 2010

We are all too well aware that health care insurance costs are continuing to rise. Most of the new health care reform bill will not go into effect for many years, so don’t expect any relief from that bill in the near term. The new health care bill does a lot to ensure that health care coverage will be available to many more consumers, however it doesn’t address the cost side of the equation. Here is some advice about your health care insurance.

If you are lucky enough to have health care insurance provided by your employer you can expect premiums to continue to rise, deductibles and co-payments continue to rise; while some of your coverage options are reduced.

All this means is that it’s still largely up to you to make informed and smart decisions about your health care insurance. How do you save on health coverage? The truth is, it’s not that hard. Here some advice on how to save some money:

Only Get the Coverage You Need

  • A lot of people end up spending more than they have to simply because they did not read the small
    print before signing. The truth is, you should get as high as deductible as you can safely afford. This is one of the best ways to lower your monthly premiums.
  • How much can you afford for the deductible? To know this, just evaluate how much you have in savings for emergencies. Use that amount. For instance, if you have $1,000 saved up, that should be your
    deductible. The higher the deductible, the less you will pay per month.
  • However, make sure it’s not too high, or getting insurance might not be worth it at all. Some people just get the highest deductible possible without thinking about whether they can really afford it. Then when it comes time to file their claim, they realize they cannot cover the up-front costs, and can’t get the money they need. This is how bankruptcies get started.

  • Use Third-Party Broker Sites

  • This is probably the most effective strategy of all. If you go to individual company websites, you will end up filing out the same exact form five to ten times. Then you will only get the same number of quotes as the number of forms you filled out.
  • However, if you use quote sites, you just fill out one form and then get all the quotes for the companies in your area. This helps you narrow down the companies much faster. You might want to use at least two or three of these broker sites, just to make sure all the companies in your area have quoted. If you miss one or two companies, you might miss out on the best prices.
  • Cut Out Unhealthy Habits

  • It’s no secret that companies charge more for smokers and drinkers. Therefore, giving up these habits means you will pay less.
  • How do you pick the best company? Once you’ve narrowed it down to the cheapest three companies after getting a quote, then read reviews. There are tons of consumer reviews online, so finding them is not hard. Also make sure the company is on solid ground financially. If they are not, they will not be able to pay your bills.

    Once you’ve made your selection, then get the highest deductible possible. Also, be sure the policy does not include more coverage than you really need. Sometimes unnecessary coverage is included that raises the price, and most people do not catch it because they failed to read the small print.

    Use this health insurance advice, and you could save a lot of money on your next policy.

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