Choosing the right major medical insurance plan is a big deal. It's not something to be considered lightly. Health insurance is a necessity in life, but health insurance companies profit by NOT giving away their money. A key point for consumers who are getting major medical insurance to understand is that it's in the company's best interest to restrict your coverage. They don't want to give their money away on insurance claims.
Lifetime Payout Provision and Out-Of-Pocket Maximum
So, you don't want to pay them and they don't want to pay for you. Negotiating for a major medical insurance plan that suits both the carrier and provider is a give and take situation. Two factors you, as the consumer, should be aware of are the Lifetime Payout Provision and the Out-Of-Pocket Maximum.
The Lifetime Payout Provision is something that is included in most insurance policies to protect the company. It sets a limit for your entire lifetime; if your healthcare costs go over this limit, the insurance company no longer needs to cover it. That sounds harsh and underhanded, but Lifetime Payout Provisions are usually in the millions of dollars. Keep this in mind when you're comparing health insurance plans. The higher the better.
The Out-Of-Pocket Maximum is there to protect you. It is a set maximum amount of money each year that you have to pay yourself. If your healthcare expenses for the year are over this amount, the company has to pay 100% of what goes over.
The Least Your Major Medical Insurance Plan Should Have
The basics that every health insurance plan should have include doctor's visits, hospitalization costs, at-home care, preventative care, tests and exams, prescription drugs and emergencies. If the plan you're looking at lacks one of these coverages, it's probably not a very good overall plan.
If you want to have all these well-covered, you can expect your premiums to be up in the stratosphere somewhere. Before choosing a health insurance plan, carefully consider which of these you consider most important. Another way to look at it is to ask yourself which of these you will use the most. In this way, you can prioritize and find a plan that best suits your needs.
For example, if you're the type of person who never sees a doctor unless you are sick and have to, you can choose a plan that has a higher deductible for doctor's visits, but better coverage for emergency care. You may feel that at-home care is unnecessary for you. You may want good coverage for prescription drugs, since out-of-pocket costs can be so high.
There are lots of other coverage options available that are usually not included, but can be in some policies. These include dental, optical, baby care, chiropractic, family planning, mental health, physical therapy and just about anything else you can think of. If any of these options are important to you, you can look for a plan that offers coverage. You can also get basic coverage and add any of these on that you feel might be necessary.
Stiff Competition
Finally, remember that there are lots of health insurance providers out there. There used to be one or two insurance companies in each town, but nowadays you have thousands at your fingertips on the Internet.
If you don't like the deal you're getting from one company, you can always go to another. Shopping around really pays off when you are looking for a major medical insurance policy.
You can also find more info on Travel Medical Insurance and health insurance Medicalhealthinsuranceguide.org is a comprehensive resource to get help about health insurance.
