Tag Archives: Deductible

Is it better for young people to take a high deductible health insurance?

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Question by Wildtrent: Is it better for young people to take a high deductible health insurance?
I ask b/c i’m 23 pretty healthy occasional seasonal allergies, no chronic issues, so is there any reason to take a plan that cost more monthly, my company’s high deductible would only be 10dollars ever 2 weeks out of check.

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Answer by someone
The lower the deductible the higher the premiums. You want to shell out 800 a month or take the high deductible. Majority of plans do NOT cover annual check ups and only a small portion of doctor visits.

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What should I know so that I can choose between a high deductible or a low deductible in pet health insurance?

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Question by .: What should I know so that I can choose between a high deductible or a low deductible in pet health insurance?
What should I know so that I can choose between a high deductible or a low deductible in pet health insurance?

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Answer by Tom Z
You need to know the difference in cost between the two plans to determine if the cost savings by going to a higher deductible are worthwhile. You need to know what exactly is a high deductible. Some people might consider $ 50 a “high” deductible. And, finally does your pet have a history of frequent trips to the vet. If so, you probably want the lower deductible.

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Medicare Supplement plan F High Deductible Explanation

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Medicare Supplement plan F full explanation of a Medicare supplement High deductible option that will save thousands of premium dollars. This Medicare supplement insurance plan is one of the best values available today. It offers the best Medicare supplement rates, and one of the lowest premiums.
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What is a Health Insurance Deductible? | HDHP, High Deductible Health Plan, Affordable Insurance

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This video explains the basics of what a health insurance deductible is. It goes over two different types of deductibles, High Deductible Health Plans (HDHP) and Deductible+ Plans. Deductibles are one of the most confusing aspects of Health Insurance in part because they are so different from the deductibles in car insurance. Also, each health care provider uses the term deductible in their own way. This video gives a definition of health insurance deductible that can be used with various providers, but applies best to Kaiser Permanente. Health insurance providers use deductibles, because they are then able to offer medical insurance at lower rates and it becomes more affordable for the average person. For the most part, the lower a deductible is the more coverage you have and the more expensive that coverage will be. Conversely, a higher deductible means you have less coverage and the price will be less. This is where we get the term High Deductible Health Plan or HDHP. These plans usually come with the option of opening a Health Savings account (HSA). An HSA is a special type of bank account where the money that you put into the account is tax deductible. The down side is that you can then only use that money for health related expenses. This is a good way of lowering your taxable income, building an emergency fund for your health, and saving money of health insurance all at the same time. The opposite of a Deductible Health Insurance Plan would be a Copayment plan. A …

How has a high deductible insurance affected your medical care?

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Question by 4532: How has a high deductible insurance affected your medical care?
We only have one choice for health insurance this year through my husband’s work. It’s a 6,000/year deductible tied to an HSA. We attempted to get our own policy but found out we are uninsurable because my daughter has a lazy eye so we have to take this plan. The premiums are actually more than the HMO we used to have.

I am already thinking seriously about having to cut the number of visits my daughter has to the optomologist because they will now cost $ 250.00 each instead of $ 20.00. She was supposed to have surgery to correct it this year but I don’t know how we will pay for it. Having the HSA in theory is a good idea, but we don’t have any extra money to deposit into it.

What has been your personal experiences with a high deductible plan? Have you had to cut back on your healthcare because of the out of pocket expenses?
My husband’s employer is not contributing anything to the HSA. All they are doing is picking up the admin cost. They said that it was either offer this plan or no plan this year.

Best answer:

Answer by skahhh
Makes you think twice. That is for sure. Many plans don’t even cover eyeglasses or dental. Mine doesn’t. Gotta pay it out of pocket. Basically, insurance is for catastrophic mostly. You could pay and get covered for small stuff, but you would not be covered for catastrophic. When your life is going down tubes, you need that coverage, by law in many areas now. Instead of buying TVs and nice things, save some for these minor expenses. If you have been buying stuff you or your loved one did not need, I am sorry about that. You might seek help from the town or medicaid if you qualify. But I hear ya. It ain’t easy in this life.

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High Deductible Health Insurance Plans

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When most people learn that their family’s health insurance coverage is going to cost more, they shop for a more affordable policy. Often the solution is a combination of an insurance plan and a tax-sheltered Health Savings Account.

More than 1 million Americans have made a similar choice, signing up for high-deductible health insurance policies and associated HSAs since the program was introduced in late 2003 according to the Washington-based industry group, America’s Health Insurance Plans.

The new plans are a bit complex, but a growing number of insurers offer them.

Under federal law, the policy must have a minimum deductible of $ 1000 a year for an individual and $ 2000 for a family; maximum out of pocket expenses; for example, copayments required for surgical procedures, cannot exceed $ 5100 for individuals and $ 10,200 for families.

People Help With Their Own Health Insurance

Policyholders, meanwhile, can set up HSAs that they fund with their own money. Employers also can contribute to their workers’ HSAs. HSA contributions, generally set an amount equal to the policy’s deductible, can best be used to cover health care costs, and unused money can be carried over at year’s end. This differs from company sponsored Flexible Spending Accounts, health care savings plans in which unused money is forfeited after Dec 31 of each year.

Some companies are replacing existing catastrophic health coverage plans with the new plans because they see HSAs as a good way for workers to handle the higher deductibles. Others see them as a way of making workers more mindful of health care spending.

Health Insurance For The Young And Uninsured

The new policies are especially attractive to young singles, people in relatively good health and higher income people who can afford to cover higher out of pocket costs.

The new policies also are attractive to small businesses and the uninsured. Of the new policies purchased through eHealthInsurance, more than 40% were purchased by people with annual incomes below $ 50,000, almost half were families and more than one-third had been uninsured.

Affordable Health Insurance

It’s the affordability. Participants get a lower cost premium and the money they probably would have been spending can be run through a savings account to buy day to day medical services.

More companies will adopt the plans because the trend is that more of the burden for health benefits is going to be moved to the employee.

On the other hand, people who can afford to fund the HSAs and don’t need to draw them down entirely to cover annual medical expenses will be able to let them grow tax-free. In retirement, the excess savings can be used to purchase long-term care insurance and to pay for other qualified medical expenses.

That means that they’re more popular for those approaching retirement age, especially if they don’t have company plans available to them. There are many health insurance alternatives, so it’s important that people asses their individual needs.

Jayden Briggs writes about HIPAA, Affordable Health Care and other health related sites.