Health insurance premiums, or the amount you pay to have a family health insurance plan, can be a pricey investment. There are ways to cut costs on Family Health Insurance Plans. Here are just 3 ways in which you can pay less for your coverage.
A co-pay is a set rate you pay to see a doctor. Some plans make only have a $25 co-pay to see a regular doctor. Most plans with co-pays require high co-pays to see a specialist or emergency room visits. The higher the co-pay, the lower the premium will be. Most major medical services are not covered by just paying a co-pay. Most insurance plans will require a member to pay more than a co-pay for anything other than office and emergency room visits.
A deductible is the amount you pay out of pocket before your insurance kicks in a cent. The higher your deductible, the lower your premium will be. In other words, you will pay considerably more if you have a $200 deductible instead of a $1000 deductible. Most health insurance plans do not charge a deductible for office visits. Deductibles typically apply to labs, x-rays, scans, hospitalizations and surgeries.
Coinsurance is the percentage of the bill you pay for after a deductible is met. For insurance, if you have an 80/20 plan, you are responsible for 20% after the deductible. Like the deductible, the higher the coinsurance that you are responsible for, the lower the premium. Coinsurance comes into effect the same way a deductible does. Labs, x-rays, scans, hospitalizations and surgeries are susceptible to coinsurance.
There are many ways to cut the cost of premiums for family health insurance plans. Your premium is driven by how much your insurance pays versus how much you pay for services. The key is to find how much you can afford to pay out of pocket for co-pays, deductibles, coinsurance and premiums. Work with your insurance agent to ensure you receive the best coverage for the best price. Also, ask your agent if they know of any ways to reduce your premium. Also, don’t be afraid to shop around and tell the agent you are doing so. Competition enables you to get the best price, after all.