We all know how expensive it is to be hospitalized these days. Even a visit to the clinic and purchasing your medication can cost up to thousands of dollars today.
The good thing is that you can lower the costs of your medical expenses through health insurance. Health insurance both covers your medical bills and even helps prevent you from getting sick.
Check out how health insurance can help you with your medical bills with the guide below.
How Does Health Insurance Work?
Your health insurance works by providing you with financial capabilities, especially for medical expenses.
These include hospitalizations, surgeries, and many other medical procedures and checkups.
The way this goes is that you pay a certain amount or premiums either monthly or yearly, and the insurance company pays or covers most if not all of your medical expenses in case you need it.
You will need to check the policy to learn about which medical expenses are covered and which ones are not.
What Does It Cover?
Many health insurance covers almost all of the medical expenses that you may incur. These can include ambulatory services such as outpatient care and emergency services.
You are also covered during your entire hospitalization, which includes surgeries and overnight stays.
For women, pregnancy, maternity, and newborn care are also covered by health insurance.
Why You Need Health Insurance
There are a lot of reasons why many individuals and families want to have health insurance.
Apart from the medical coverage, here are some of the reasons why you would want to have health insurance.
Financial Protection
A health insurance policy can protect you from financial setbacks.
Whether it is a planned or unplanned hospitalization, health insurance can cover all of your medical expenses.
You don't need to worry about anything, or you worry less about your expenses when you have health insurance.
Access to Medical Care
Health insurance also gives you access to a wide array of medical care and services that you may not be able to access if you do not have the funds.
You get to choose the best hospitals in your area and have access to specialists that you might not normally have.
Taxes
Many people also opt for health insurance as it can help them with their taxes.
Health insurance premiums are tax deductibles that can help reduce your taxable income.
Preventive Care and Annual Checkups
There are a lot of plans that offer preventive care, such as vaccinations and screenings.
These plans also include wellness programs that promote your lifestyle.
Most health insurance companies today even offer annual checkups for free for all of their customers.
Peace of Mind
The best thing about having health insurance is the peace of mind that you get.
You don't have to worry about any medical costs or hospital bills when you check out of the hospital or clinic.
Almost, if not, everything is covered by health insurance nowadays.
Different Types of Health Insurance Plans
There are also different types of health insurance plans that you can apply for.
If you already qualify for any government-issued health insurance, you may still be able to apply for some of these.
Check them out below.
Health Maintenance Organization
A Health Maintenance Organization or HMO is usually a plan limited to the healthcare providers that are under the company.
You will need to be referred to them in case you are admitted to a medical facility or transferred to one that has an authorized healthcare provider.
Preferred Provider Organization
Preferred Provider Organization or PPO is far less restrictive than HMOs when it comes to healthcare providers and services.
You have the option to choose from a list of providers and services within the facility, but that may have to be checked by the insurance company before you're able to avail their services.
Employer-Sponsored Insurance
This type of insurance is usually given by the employer, and you need to follow the protocol whenever you need their services.
Most employer-sponsored insurance covers a lot of healthcare services and is much more affordable than many other insurance policies.
Employers provide it to their employees as part of their benefit, while some make the employers cover just a portion of the premium.
Steps in Choosing the Best Health Insurance
When it comes to choosing the best health insurance policy, it takes a lot of time.
Rushing can only result in choosing an expensive policy which you certainly do not want to do.
Patience and effort are key to getting the perfect health insurance policy for you and your family.
List Down Health Insurance Companies
The first thing that you need to do is to list down all the health insurance companies that you know.
Research if you want to add more to that list.
Check out the reviews from their websites and identify the benefits and features of every health insurance policy that they have.
Compare First
Once you have it all down, it is time to compare everything. Make a table out of the things that you want for your health insurance policy and compare all the features that you have gathered.
Narrow down your list to at least five health insurance and start nitpicking them.
Remember to include your budget when considering which one is the best.
Check the Benefits
Always check the benefits of each health insurance policy.
A lot of these policies have similar benefits, but some offer more.
Many of these policies have a summary of benefits that you can check which includes the costs and the coverage.
Consider Your Medical Needs
You should also consider your medical needs when looking for the most suitable health insurance policy.
Some companies do not cover certain illnesses or procedures, so be sure to consider them as well.
Talk to Your Advisor
Once you have made the decision, it is always recommended that you check it with your financial advisor.
They will know how much this can affect your entire budget and can even help you determine which health insurance is best for you.
Conclusion
Health insurance can protect you from a lot of medical expenses, especially during an emergency or accident. When looking for a plan that fits your needs, be sure that you take all considerations first before making the decision. This can help prevent any unnecessary expenses and hassles on your part.
