How To Buy Individual Health Insurance Coverage Plan

Our Guide on How to Buy Individual Health Insurance

How To Buy Individual Health InsuranceToday, almost every American wants to buy an individual health insurance plan. This is a type of coverage that you identify and finance independently. According to surveys, only ten percent of Americans purchase this type of health insurance cover.

So who should buy individual health insurance cover?

Most people are reluctant to get any form of medical cover just because they believe they do not need to go to the doctor. However, insurance is not meant for things that you are certain will happen, but rather for those eventualities in life. Even if you feel healthy, it is important that you see your doctor at least once per year for an annual check up.

With a health insurance cover, you will certainly get a free check up. Better still, if there is any medical condition that is covered by your policy, you will have the peace of mind that you insurer will take care of your bills. An individual health insurance plan is ideal under the following circumstances.

  1. If you are employed by a firm that does not provide health cover
  2. If you work between jobs
  3. If you recently lost your job and COBRA is too costly for you
  4. If you are self employed
  5. If you recently graduated from college or high school, and you are not covered by your parent or guardian’ plan.

Benefits of an individual health insurance plan

One of the greatest benefits of individual health insurance coverage is the wide range of options that you can choose from and include in your plan. With the help of a licensed agent, you can determine you your needs and select the exact features that you need in your plan such as: regular doctor appointments, prenatal care, maternity care, baby care and prescription drugs among others.

In addition, you can also opt to pay a high deductible or low monthly premiums and vice versa based on your needs and income. This way, it is possible to get an affordable yet custom individual health insurance plan that suits all your needs. If you recently lost your job, getting this plan may be cost effective in comparison to the high premiums that come with continued employer coverage through COBRA.

Drawbacks to an individual health insurance plan

Individual health insurance cover can be more costly when compared to group insurance since you will have to pay all the premiums by yourself, rather than cost share with co-workers. In addition, the premium can be higher in some states as a result of various health care usage history and local legislative requirements.

Since the premiums are set by estimating your expected healthcare cost, you might end up paying more if you are older, if you smoke or if you are having a pre-existing medical condition.

Finally, since this policy’s premiums are underwritten, your insurer can opt to reject or apply rate-ups or exclusions to your policy if you are having a preexisting medical condition.

How to buy individual health insurance plan

How To Buy Individual Health Insurance Coverage PlanEvery health insurance plan is unique based on your condition and needs. Thus, there are certain things that you need to understand before buying any health cover. Here are five things that you need to consider when choosing your individual health insurance cover.

1. The cost
The cost of an individual health insurance plan varies from one person to the next. For instance, if you are female then you will pay slightly more than a male of the same age because men do not get pregnant. Age also determines the cost of the plan with younger people paying less than older folks do.

In addition, your lifestyle also matters; thus, if you smoke then it is certain that will pay more than a non-smoker. Finally, the condition of your health also counts. Healthy individuals pay less premiums that those will a pre-existing medical condition.

2. The finer details
The devil is always in the details as far as any insurance policy is concerned. Before making any commitment, it is important that you read and understand the finer details of the policy. This will enable you to make an informed choice. If there is anything that you do not understand, see to it that you seek clarification from your insurance agent.

3. Various plans
Individual life insurance policy comes with different plans ranging from a comprehensive coverage plan to a health savings account. Thus, it is necessary that you know what you need the most and seek to have it incorporated into to your plan. These days, just about every health plan comes with an optional vision and dental coverage that you should consider incorporating into your plan.

4. Insurance companies
There are several insurance companies that provide individual health insurance covers. It is important that you choose a company that has a good reputation. Take your time to shop around for different companies in order to find one that is suitable for your needs.

5. Quality of the overall package
When shopping for anything important, like a health insurance plan, it is always important that you look at the quality of the overall package. Just because you have found a company that can give you a plan at the cheapest price in the market does not always mean that you should rush for it. Look at the company’s reputation, the quality of customer service, years of practice, financial stability and the overall content of the package.

Most people never realize how costly medical care can be. A doctor’s appointment might cost you only a few hundred dollars. However, if you need something more specific, rare and critical like an anti-venom for a poisonous snake bite, then you might end up with a very fat bill.

This is not something you could plan and budget for; however, with an insurance cover, you will have nothing to worry about. As a thumb rule, ensure that you only work with a licensed insurance agent to help your find and buy the best individual health insurance plan that will suit all your needs.

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