The most common type of health insurance for all people under the age of 65 is through an employer. Many individuals may feel “stuck” in their health insurance plan offered by their job, or they may simply accept the plan as part of their employment package, never giving it another thought. For some, it’s a good idea to at least branch out and examine what is out there in the health insurance world. Shopping health insurance plans, and ultimately switching, could save you a lot of money in the long run.
Is Your Employer’s Health Insurance the Best Deal?
This is a tough question to answer, and perhaps the most important of all. There are several things to take into account when deciding whether your employer’s insurance is the best. Are you supporting a family who is also on your plan? Are you, for the most part, in good health? Group plans through employers are priced based on the average health of the employees. If you’re seeing your doctor on average once a year for a common cold, for example, securing your own policy is a much-more cost effective idea.
Medical Coverage and Nothing Else
Does your employer cover your medical bills with no other types of insurance included? If you don’t have dental insurance and vision insurance in your employer’s plan, it might be worth reconsidering and getting a plan of your own. Everyone still requires dental services and vision exams. Paying for these out of pocket can get quite expensive, especially if you need any type of dental work beyond cleaning. It’s best to choose a plan with all of your medical needs in mind, not just doctor bills.
No Physician Coverage
Many company insurance plans have very limited provider options, and your doctor may not even be covered under your employer’s insurance plan. To go out of network is fundamentally like having no insurance at all, so if your employer’s insurance doesn’t cover your primary care provider, it’s time to make a change.
Inadequate Prescription Coverage
Similarly to doctors being out of network, many insurance plans have a limited prescription plan. If you’re on a necessary medication that isn’t covered, this could cost hundreds of dollars a month. Make sure most, if not all, prescriptions are covered for all members of your family, or consider switching.
Look at the Premium Fine Print
Just because a plan has low premiums doesn’t mean it’s the least expensive overall. If you do get sick, most likely your deductibles under a low-premium plan will be higher. Similarly, co-pays are often higher with low premium plans. If you continue to use health insurance from your employer, it might be a better choice to switch to a higher premium plan, or to buy your own insurance altogether.
Closing Thoughts
As with shopping for anything, it’s best to always read the fine print when it comes to health plans. The least expensive may not be the least costly in the long run, and sometimes it’s better to pay more upfront to receive coverage for all of the services you need.