A health insurance is not just anything that puts your hard-earned money to waste. Yes, you pay for it, but it is a necessity that saves you from unexpected and uncontrollable circumstances you wish you would never have to encounter. You may think that a health insurance is not important, but once you get into emergency situations, that paid service is going to rescue you from paying a large sum of bills.
Health Insurance Prices
Since this is a commodity that you need to pay for, it is helpful to know the health insurance cost. Apparently, one of the major factors affecting the costs is the state where you currently reside. Based on the simplified data by ValuePenguin, the average health insurance premium or monthly contribution in terms of state for a 21-year-old consumer ranges from $196 to $426, while the annual contributions can run from $2,352 to $5,112.
But prior to the selection of your insurance plan, it is helpful to determine your family’s healthcare needs, as well as the household income for the insurance budget. It is also important to know the out-of-pocket expenses included in the health insurance service. If possible, choose the most suitable insurance plan for you and your family.
HealthCare.gov, a health insurance website managed by the US federal government, has provided some tools in evaluating the appropriate insurance plans for the consumers. The costs will be based on the following factors:
– premiums or monthly contributions; Take note that you have to pay this every month even if you’re not taking advantage of any healthcare services.
– out-of-pocket costs
– deductibles or the amount you pay before they are covered by insurance plans
– your network provider
– drug prescriptions
– customer services
If You Can’t Afford a Health Insurance Plan…
For consumers who can’t afford health insurance plans, they can avail of the financial assistance to reduce their monthly and out-of-pocket costs. They can qualify for these lower expenses based on the income and size of the household.
“Consumers may be eligible for financial assistance to help pay for the cost of premiums. In fact, 84 percent of consumers receive financial assistance…” as stated on the recent research brief of the Assistant Secretary for Planning and Evaluation (ASPE), under the management of the U.S. Department of Health and Human Services.
Knowing the importance of a health insurance encourages you to avail one. But the problem is that many consumers could not afford to get the service. It costs a lot. And the sad reality is, the cost has become one of the primary reasons why a lot of people don’t have a health insurance, resulting in so many cases of debts – big debts to be precise.
“Before private insurance market rules in the Affordable Care Act (ACA) took effect in 2014, health insurance sold in the individual market in most states was medically underwritten,” according to a report of Kaiser Family Foundation.
“That means insurers evaluated the health status, health history, and other risk factors of applicants to determine whether and under what terms to issue coverage.” In effect, the consumers could not avail of the insurance plans they can afford because of pre-medical conditions that have shut them out from the health insurance marketplace.