While we can’t control the cost of health care, we can take steps to minimize our financial risk with health insurance. Many of us are guilty of spending money on unnecessary doctor visits, but with the right plan, this can be avoided. If one’s health insurance has a high deductible, they’re likely to see an even bigger bill when it’s time to pay. But there are a few ways to ensure affordable and fair health insurance coverage. Keep reading for the best money-saving tips.
Take Advantage of Free Preventative Care
The Affordable Care Act mandates insurers to cover a wide range of preventative services with no copayment or coinsurance. This includes blood pressure and cholesterol tests for adults, immunizations for children, mammograms for women over 40, and more. Taking advantage of these free services is a great way to potentially catch health problems before they become serious—and expensive.
Use the Insurance Company’s Network
If one has an HMO, EPO, or POS plan, it’s important to stay within their network when seeking care. These insurance plans might not cover out-of-network care (or will only cover a set percentage of costs). On the other hand, if the policyholder has a PPO plan, they might be able to see out-of-network providers without losing coverage entirely (although, in many cases, people will still pay more to see out-of-network doctors).
Use a Health Savings Account
A health savings account (HSA) is a tax-advantaged medical savings account available to those who have a high-deductible health plan (HDHP). People can put pre-tax dollars into their HSA and can withdraw them tax-free if they’re used for qualified medical expenses. One can use the funds in their HSA to pay for medical expenses and save money on taxes. In addition, the money in an HSA rolls over year after year; it doesn’t expire like flexible spending accounts (FSAs) do.
Choose Generic Drugs
When one gets a prescription from their doctor, it’s important to ask whether there’s a generic version of the drug. Generic drugs have the same active ingredients as branded drugs but are often much cheaper than their branded counterparts—sometimes by more than 80 percent. If one doesn’t want to ask the doctor about generics, they should check with a pharmacist instead.
Bundle Policies
Most insurance companies offer discounts if people bundle insurance plans. Bundling health insurance with other types of policies can lead to substantial savings over time.