Going without health insurance can be a costly gamble with your finances and health. Here are three myths about health insurance that will help you protect your most valuable asset and save money:
Myth #1:
It is always better to have employer-sponsored health insurance
The cost of employer-sponsored coverage has been steadilty increasing and many employees have seen copayments and prescription drug costs increase while they contribute more and more for coverage. Often, the true cost of an employer-sponsored plan only becomes real when you leave the employer and see the high COBRA premiums required to continue coverage under the group. It can definitely feel like a waste of money if you have a healthy and active lifestyle and don't often need medical attention, so why not look for a health insurance plan that meets your specific needs, rather than over-paying for coverage under a group policy designed by someone else?
Myth #2:
Health insurance is too expensive to buy on your own
For most people, it has become routine to periodically check on car insurance rates. Health insurance should be viewed the same way. Why spend more than you need to for coverage that does not fit? The insurance company will not send you a refund at the end of the year for coverage you don't use. If you want your auto insurance to pay for every little ding and scratch, get and low deductible and pay a high premium. Or, you can "self-insure" the little stuff and lower your premium by raising your deductible.
Likewise, health insurance design features--such as low deductibles and low copays for prescriptions and doctor office visits--simply hide from you the true cost of these health care services and give the insurance company a free pass to charge a higher premium. By identifying your medical needs and considering a higher deductible, you can decide if a more affordable health insurance plan is right for you. You can take your "refund" in advance and protect your health and finances from major health risks of emergencies, serious illnesses and hospitalizations.
Myth #3:
Health insurance is a waste of money for young and healthy people
Emergency room care is extremely expensive and if you are in a serious car accident or injured while hiking, running or snowboarding, you are going to want immediate medical attention. Don't let an unexpected injury from your favorite activities cost you your financial security because of large uncovered hospital and medical bills. Get an affordable health insurance plan that protects you from major medical and health risks.
