Does Your Health Insurance Actually Save You Money?

Health insurance open enrollment starts tomorrow, which means you’re probably weighing your options when it comes to purchasing coverage for yourself and your family.

While there are definitely cases where health insurance is a necessity — pregnant women, diabetics, and others suffering from chronic conditions requiring extensive medication or treatments probably shouldn’t go without — if you’re a relatively healthy adult questioning whether it’s worth the paycheck deduction, you need to think about whether health insurance is right for you. An important question to consider is does your health insurance actually save you money?

Here are some facts to consider as you approach this year’s open enrollment period.

Is My Health Insurance Worth It?

Sky-High Deductibles or Limited Plans

Although the Affordable Care Act, aka Obamacare, aims to make health insurance more affordable for Americans, many people know that insurance companies have found a way to cope with cost-cutting measures. In order to offer more “affordable” plans, now health insurance providers attach sky-high deductibles to the options, or offer low-deductible plans with many limitations.

This means you could be paying for health insurance each month, but if you never reach your deductible, you’ll end up paying out of pocket for most of your medical expenses, anyway. Alternatively, you could be paying for a low-deductible plan that still comes with plenty of co-pays or fine print, so even if you do reach your deductible amount, you’ll feel stress and a strain on your wallet. In these cases, opting to pay out of pocket for routine medical expenses, like health lab testing, makes financial sense.

Flex Spending: Do I Need It?Overland Park | Does Your Health Insurance Actually Save You Money?

Does your health insurance plan offer a Flex Spending Account (FSA) or Health Savings Account (HSA)? On the surface, these options may seem like a good way to save money and plan ahead for medical costs, as they allow you to put away a certain amount of your paycheck pre-taxes to cover costs of prescriptions, co-pays, and other medical expenses. But keep in mind that once you put money in your FSA or HSA, it’s use it or lose it — so you might actually be wasting your funds. Or you might be tempted to visit the doctor and pay for services you don’t even really need just to use up the money you’ve set aside. If you opt not to purchase health insurance, you will only be paying for the services that are medically necessary, and none of your hard-earned money will go to waste.

Network Issues

Another problem with shopping for health insurance? Switching to a less-costly plan might mean that your favorite doctors are now out-of-network, so you’ll have to switch to new healthcare providers or pay the fee for out-of-network services. You’ll also potentially have to deal with higher co-pays you hadn’t budgeted for. Moving to a new doctor can have costs, too — you might find the providers have higher rates, and they’ll be a cost in time as you have to search for a provider and then go through the new patient process (so many forms, and perhaps some associated fees!)

Alternatives to Costly Health Insurance

Test Smartly Labs of Overland Park is proud to offer a cost-effective alternative to health insurance. We provide affordable elective testing, the same lab tests that are done in your doctor’s office, for a fraction of the price and no insurance needed. If you want to save money on health insurance premiums, call Test Smartly Labs of Overland Park today at (913) 815-0988.

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