Over the last six years, in the United States, health insurance rates have almost doubled. The good news though is that there are ways by which individuals can lower their health premiums.
Firstly, it is important for individuals to research and shop for various rates. An agent can help individuals to search the rates, which suit the budget of the buyer.
The other method by which individuals can lower their health insurance rates is by quitting smoking. Firms always charge more to smokers, as they are more prone to health problems and hence costs.
In addition, if individuals maintain good health or improve on their health, they can also cut down on their health insurance rates. With the help of few tips and precautions, individuals can get good health rates that can save them their hard earned money.
Age is the most important factor, which affects health insurance rates. Young people pay a lower premium on their health plans.
One more factor that affects the health insurance rate is gender. Women pay lower health premiums as compared to men. The reason is women are less likely to suffer from diseases such as high blood pressure, heart attacks, and other illness.
Some insurance companies in the U.S. offer discounts to individuals, if they pay their insurance premiums on time, since they are viewed as better customers.
Health insurance rates vary as per the variance in medical expense in different areas. The medical costs vary due to differences in medical practice, the degree of specialization in different fields of medicine, and the level of competition in that area. Most plans vary in their rates depending on the zip code. The address of the employer’s business determines the rate.
Some policies pay only limited amount of health expenses. The insurer has to pay the remaining amount. Some plans have maximum lifetime coverage. Here, the policy will pay individuals until the amount reaches benefit’s maximum. The remaining amount has to be paid by the policyholder.
Health insurance is an agreement between the company that provides the insurance and the insurer. It is possible to renew the contract annually or monthly.
HMOs use the term health plan, whereas insurance companies use the term health insurance. A health plan can also be a medical care arrangement offered by health organization. These plans are similar to pre-paid dental plans. HMO stands for Health Maintenance Organization. It is costlier than a PPO. The major disadvantage of HMO is that, it gives limited choice in doctors that too present in the network provided by the policy.
PPO stands for Preferred provider Organization. The only difference between a HMO and PPO is the possibility to seek medical attention from outside the network.
POS stands for Point of Service. It has the features of both PPO and HMO. POS is considered as the best health insurance, although not the cheapest.
According to a recent study, health insurance rates are on the rise due to increased demand and new treatments. Advancements in medical technology are also responsible for increase in health insurance rates. Factors related to lifestyle also contribute to increase in insurance prices.
With all this in mind the only way to be certain if you are paying the lowest rates is to get a quote online for free. The good news is that you can do just that by vising one of the sites listed below.