As fewer companies offer employer coverage and individuals shop for health insurance for the first time, some common mistakes are made that can result in additional costs. Before settling on a current or new plan, consider the following:
1. Picking the plan with the highest deductible, lowest monthly costs. Plans with a large deductible always seem like an attractive option due to the low monthly premiums. However, if someone cannot meet the deductible in case of an emergency or illness then they will be stuck with a large bill. When choosing a plan, ask yourself if you would be able to cover the deductible immediately in case of an emergency – if you can’t cover it then consider a lower deductible.
2. Not purchasing maternity coverage when pregnancy is a possibility. Maternity coverage isn’t covered in every health insurance plan. If couples are considering pregnancy in the near future or could possibly get pregnant, then maternity coverage is a must.
3. Choosing a plan with high copayments, co-insurance rates for health care services and prescriptions. Almost every health insurance plan requires a copayment at the time of a health care visit so find a plan with an affordable copayment. Copayments vary for physician visits, prescriptions and hospital services but there is always a set amount of payment that is required. Co-insurance rates get really expensive for surgeries and hospital visits since you are required to pay a percentage of the rendered services and the rate varies.
4. Sticking with COBRA coverage when individual health insurance is more affordable. Many people who are unemployed know that COBRA coverage is extremely expensive. Instead of keeping COBRA, consumers should compare individual and family plans to see if they can find something more affordable. Individuals can get more customized coverage which gets rid of any unnecessary benefits.
5. Picking a health insurance plan without ensuring your doctor is included in the network. Many individuals may not realize that their doctor is no-longer covered under a new plan before switching. But if you have a family doctor or a preference then either choose a plan that includes the doctor in the network or find a plan with flexible coverage.
