How to Save Money on Health Insurance-Tips

Finding ways to save on health insurance is critical for keeping this expense from being too costly. Health insurance can be reduced if you use certain tips and track down the right information for how to do this.

Use these 8 best tips including:

Shop Around for Best Provider

Read the Fine Print for What Your Current Policy Covers

Double Check Your Insurance Statement for Errors

Use Free Check Up Opportunities

Check with Your Work for Coverage Options

Understand How Different Network Types Operate

Consider Using a Health Savings Account(HSA)

Practice Living a Healthier Life

Practice these tips more and you should find yourself being able to save more money consistently.

Through this post I will show you valuable tips and information for how to save money on health insurance.

Shop Around for Best Provider

Shopping around for the best provider is going to likely save you the most money. Each insurance plan can be different and have a big range for how expensive each plan will be.

Researching all the options is going to help you save more money. Certain resources detail how to pick the best coverage plan for you, including this step-by-step guide.

5 Key Factors can determine your monthly health insurance expense including:

  • Age
  • Family or Individual Plan
  • Physical Location
  • Specific Plan Coverage
  • Tobacco Use

These 5 factors often influence how much your monthly bill will be the most. Some of these are more changeable factors, such as choosing to not smoke or chew tobacco.

The specific plan coverage can be different prices depending on whether you have the highest coverage such as Catastrophic or the lowest coverage. The range here for each plan can be quite significant. It can be important to choose a plan with coverage that makes sense for you if this is an option.

Catastrophic would be very comprehensive coverage whereas the lowest coverage might only cover a few basic medical expenses.

If possible, choosing a family plan is always going to be cheaper than doing your own plan. This is true for health insurance, car insurance and phone plans too. An individual plan might give you more options to choose from but it will likely cost you much more to do so.

Man Reading Fine Print
Read the Fine Print for What Your Current Policy Covers

Read the Fine Print for What Your Current Policy Covers

Reading the fine print can be important for knowing what your policy covers. Doing this can be important for determining how comprehensive your plan is and whether emergency room visits are covered completely or not.

Your rights and the details for what is covered should be clearly spelled out. The packages that spell out your rights can be quite large but it can be very valuable for you to take some time and review the main points spelled out.

You want to get the most out of your policy especially if you are paying for a comprehensive coverage plan.

Double Check Your Insurance Statement for Errors

Double checking your insurance statements can be very helpful for catching errors. You never know when you could discover a mistake by the insurance provider. If you do find an error, it is important to work quickly so that you can get it fixed as quickly as possible.

I once found out about an error that was going to cost me $400. Fortunately, I was able to catch it and immediately called up my provider to get it all sorted out. It took some time to correct this error but it ended up being a big money saving correction.

If you have specific questions, you can always go to the website for your specific insurance provider and get answers. You can also call your provider up and they usually will be able to give you all kinds of answers.

Use Free Check Up Opportunities

There are sometimes free check ups or free flu shots that come up in an area and taking advantage of these opportunities can be helpful. These free opportunities may not come up that often but it can be beneficial to take advantage of these opportunities.

Consider how often you or your family might become sick in a year and then imagine if you could reduce how often this happened. Getting a flu shot could prevent you and your family from getting sick as much.

CVS offers free flu shots at certain times of the year. Going here to get flu shots could help keep you from spending as much if you got these shots at your normal clinic.

Check with Your Work for Coverage Options

Checking with your work for coverage options can be critical for possible finding a plan that could work for you. It never hurts to go over the details of what is offered for employees, whether part-time or full time.

At my work there is some solid health insurance options that make it easier to stay covered. Most employers offer some kind of benefits package for their employees but there is going to be a range for what exactly is offered.

There probably will be multiple options offered through your employer and it can be a good idea to review each option to see which one is the best one for you.

Understand How Different Network Types Operate

There are 4 different plan options usually and each can vary significantly from the other. Understanding the difference here is key for choosing a plan that will work for you in the long run.

The 4 network types include:

  1. Health Maintenance Organizations (HMO)
  2. Preferred Provider Organizations (PPO)
  3. Point-of-Service (POS)
  4. Exclusive Provider Organization (EPO)

An HMO will provide some benefits to doctors, clinics and hospitals as long as you live in a certain area. You must live in this area to be eligible for the plan and you will only be covered in this plan if you stay within the network.

A PPO and a POS are both going to give you the option to get care outside of your network but it will be at a higher out-of-pocket price. A PPO will need you to choose a specific doctor who can then refer you to specialists if you need care for something outside of their scope of practice.

The EPO plan will only cover you for services and care if you stay within the network.

The key here is to research effectively and take your time finding the best option out there. Each person or family is going to have different coverage options for their specific area.

Consider Using a Health Savings Account (HSA)

A health savings account, or HSA, is an account which you can put money into to that is tax-free. The money in this account will have to go directly towards paying off medical expenses.

This account can be available through your work and can be a great way to put money away for expected medical expenses.

The expenses that this account can help pay for include dentist care, prescription drugs, physical therapy, glasses and flu shots. There can be many expenses covered through this HSA. It can be worth it to review whether your specific medical expense could be covered through this account.

The most that you can put into an HSA is $3,550 per year for an individual or $7,100 for a family. These are the 2020 numbers and likely these numbers will only be going up.

Whether this is $500 or $2,000 per year, this account could be quite helpful if you know that you are going to experience health costs this year. An important fact is that if there is an amount in your HSA account at the end of the year, then it will roll over to the next year.

Whatever amount you put into this HSA account will not be taxed. The fact that the money in this account will roll over to the next year is especially great so that you can use it for the next year’s health expenses.

2 Bicyclists Riding Bikes
Practice Living a Healthier Life

Practice Living a Healthier Life

Practice living a healthier life because this will likely lead to you not needing to pay as much for medical bills. Eating right, sleeping enough and doing all the little things to take care of yourself is going to be key for saving you money and making your body feel better.

Getting enough exercise is also important for keeping yourself healthy. Doing the little things to maintain a healthy life is going to help keep your medical costs lower. The more you practice living a healthier life, the more likely you are to save money on health care expenses.

If you want to learn more about how to save money better, read How to Save Money Better.

Conclusion

Understanding how to save money on health insurance can have a big money saving effect on your life. Take your time to find the best insurance option for you and it will be worth it in the short run and long run.

I hope that you liked this post and found helpful tips for how to save money on health insurance.

If you have any questions, please leave them below and I will answer them to the best of my ability.

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