How Much Does Your Health Insurance Cost?
The cost of health care in America seems to be rising every year, making this one of the hottest issues for America’s working population. With such controversy surrounding the issue, you maybe wondering if you are paying too much for your health insurance?
When evaluating the cost of your health care, it is helpful to know what the average individual or family pays for comparable coverage. Once you possess this valuable information, you can easily determine whether or not you are paying too much for your own healthcare.
Health Insurance Cost for an Individual and a Family
The Kaiser Family Foundation has recently released the results of a survey asking respondents about their health insurance cost. In 2005, the average family in the United States paid just under $11,000 per year for coverage. Those respondents looking for individual health insurance coverage, paid slightly over $4,000 per year.
Saving Money on Health Insurance Costs
Saving money on health insurance is appealing to everyone. The less you pay for health insurance premiums, co-pays, and deductibles, the further you can stretch each paycheck.
If keeping the cost of your health insurance at a minimum is a priority for you or your family, you might wish to consider an HMO (Health Maintenance Organization) plan rather than a PPO (Preferred Provider Organization). On average, the premium for an HMO is one-third less than that of a PPO. This will certainly make a difference to the family budget, and is well worth considering if the increased flexibility of a PPO is worth the excess premium rates you are required to pay.
HMO or PPO?
Choosing to sign with an HMO plan means you must also deal with co-payments for expenses such as seeing a doctor, prescriptions, hospital stays, and other medical expenses. Choosing a PPO may mean you will also need to deal with co-payments if you opt to consult with a doctor outside of the member/provider network. Co-payments will also come into play if you need prescription medications or a scheduled office visit.
It is possible to find a health insurance policy with low monthly premiums, but these plans always carry far higher deductibles. Not only are you responsible for the agreed upon monthly premium, but you must also incur several thousand dollars worth of expenses before the insurance company will pay any of your claims.
Yes, the cost of health insurance is significant, but it is a bargain compared to the responsibilities associated with a hospital stay after a serious illness or accident. Considering that level of expense, it easily places the cost of essential health insurance coverage into the proper perspective.
Finding affordable health insurance can be a challenge, but the majority of Americans have several healthcare options to choose from in order to select an affordable health insurance plan that meets their healthcare needs.