Choosing Your Best Health Insurance Plan
Most people welcome the freedom of choice. Yet, when it comes to health insurance making the right choice is no simple task. That statement is most true for American seniors. Issues like Medicare coverage, prescription drugs, and pre-existing health conditions make it even more difficult to navigate the murky waters of health care.
The following tips will help you take your individual needs into consideration so you can find a plan that works best for your situation. Take these steps one at a time and soon you will be on the path to affordable health.
Learn the lingo. Understanding the difference between an HMO, PPO, and POS is your first lesson of the day. A health maintenance organization (HMO) limits you to a narrow network of doctors. If your preferred physicians already work within the same network then you can save money and hassles by choosing an HMO that carries that network. Seniors dealing with a chronic disease or anyone with specialists out of the realm of a network may require a point-of-service (POS) or preferred provider organization (PPO). These two options are more expensive than an HMO, but they also provide more freedoms when choosing physicians and specialists.
Know your prescriptions. Just because your current health insurance covers your prescription doesn’t mean the new one will. Before switching plans take a look at the prescription copay portion of the health insurance. Look to see if there are generic drug options as well as any experimental drug restrictions that could affect you.
Check for yearly deductibles. Some health insurance plans carry large yearly deductibles that must be met before your benefits will kick in. While a large deductible should equal lower monthly rates that may not be the best option for someone on a fixed income.
Look for Caps. Most insurances will cover it’s members up to a certain limit. That limit may vary based on the medical issue. Hospital stays may have one monetary cap while physical therapy sessions have a different limitation. There may be an all encompassing yearly ceiling for a plan so be certain to look for that as well.
Consider a health savings account. Budgeting for your health care is one way to help you manage the cost. With an HSA plan you can set aside a lump sum of money, in a tax deductible account, for medical use like co-pays, prescriptions, even some over the counter medications. Any money not used by the end of the year is simply rolled over for use the following year. Seniors with regular, predictable medical expenses may want to look into health insurance plans with this option.
Research disease-management programs. If you have a chronic ailment that requires regular medical attention it is worth taking the time to see if there is a disease management program for your condition. Some insurance providers create programs to help customers with a specific illness. Significant savings can be achieved if you find a program that fits your needs.
