The relentless health insurance can be stressful, and those high deductibles keep on rising. Do you taste the bullet and pay up for insurance or tempt fate and go without it? It is absolutely true that life is a seal of endless unpredictability; you never know what may happen. Traditionally health insurances are the life jacket; however, do you know there are health insurance alternatives?
Stick with us as we provide some alternatives that you can think over.
Point of Service (POS) Health Insurance Plans
The Point of Service group instance policy comes with Health Maintenance Organization and Preferred Provider Organization. However, you may require to choose a Primary Care Physician from the plans network provider. Also, the services rendered by the PCP aren’t subject to the policy’s deductible.
Additionally, if you utilize coerced services rendered or referred by PCP, you may receive a higher level of coverage. On the other side, if you use services by a non-network provider, they may be subject to a deductible and lower level of coverage. Besides, the pay shall be up-front, and you need to submit a claim of reimbursement.
Indemnity Health Insurance Plans
These are known as fee-for-service plans due to predetermined amounts of percentages of costs paid to the member of covered services. Meanwhile, the member may be responsible for coinsurance and deductibles.
In most cases, the member shall pay first out of the pocket and file a reimbursement claim. An indemnity plan can be beneficial if you:
- Can accept the burden of potentially increased administration for claims and referral paperwork
- Are with the balance of higher rates in exchanges for more service control
- Include employees who have high levels of flexibility for doctors and hospitals
Health Savings Account Health Insurance Plan
Another alternative to traditional health insurance is the Health Savings Account. It is a tax-favored savings account that is used in conjunction with HSA compatible high deductible health plans. This helps pay qualifying medical expenses.
HSA can be attached to group health insurance. The contribution to the HSA may be pre-tax, up to certain limits as set by the IRS. Also, unused funds in an HSA account roll over each year and accrue interest tax-free.
Likewise, funds can be used for other life events but may incur penalties. HSA can be a good option if
- Can’t afford a group health insurance policy
- Need greater control over how much you contribute to health benefits
- Have a large number of employees who have HSA
There are numerous options available for individuals and businesses looking to offer health benefits. These are both inside and outside of the traditional group health insurance sphere. Make sure you research and get the best scheme. Remember, having suitable health insurance alternatives benefits you immensely. Knowing these alternatives will prepare you for evaluating options each year as part of you or your business.