Nowadays, health is one of the most essential values in the lives of people and their families, especially with the speed at which life is moving. At one point in our life we are likely to be admitted in a hospital and currently the costs are on the increase than ever before. The best possible strategy that anyone or their family can employ to be shielded from outrageous medical expenses is by acquiring a health insurance policy. This article also focuses on the need to purchase the health insurance cover, the process of the same and why it is essential to protect health as well as our pockets.
What Is Health Insurance?
Health insurance is an arrangement between a person and a insurance company in which the insurer undertakes to bear some or all of the costs of the person’s medical bills in return for a payment, monthly or yearly. Health care plan which is also known as Health insurance pays for the costs of medical treatment this may include; hospitalization, surgeries, visits to the doctor, prescription, and sometimes preventive treatment depending on the kind of insurance policy.
There are various types of health insurance plans available, including:
– Individual health insurance plans: These plans are individual and allow customization based on certain healthcare needs that a person may have.
– Family health insurance plans: These plans cover an entire family, or all members in a given household under one policy.
– Group health insurance plans: Employer provided, these plans are for the employee, and because of bulk purchasing power, may cost less than a non-employer plan.
Here are the four reasons why this is crucial to understand why buying health insurance is important.
1.Medical expenses are one of the primary barriers to accessing quality healthcare according to the World Health Organization; means proprietor financial protection against medical expenses.
The best-known reason for purchasing health insurance is most likely to secure oneself against the financial burden triggered by the health care expenses. Healthcare is often so costly that it might take a lifetime to save the amount that a minor surgery or an ongoing hospitalization requires. Health insurance helps to keep such burdens away by taking most of the burden of costs, while the patient has to cater for a small amount for the insurance cover which is referred to as the deductible or co-pay.
Let us take an example of some unanticipated incident like an accident that leads to hospitalization. Imagine going to the hospital and finding yourself dealing with thousands, if not tens of thousands of dollars bill paying out of pocket. However, with the right health insurance, a good part of these costs will be borne, giving you the chance to concentrate on healing without worrying too much about the bills.
2.Access to Quality Healthcare
These reforms provide assurance of a number of hospitals, clinics and health care providers in its operation. Many insurance policies include contracts that give policyholders a marked down price for their treatment at certain institutions. This prevents many people from being forced to access low standards of healthcare because they are broke.
Also organizes offer health insurance benefits that come with generous coverage for preventive care including medical check-up, immunization and other tests. It enables the identification of certain illnesses at a very early stage which would help in improving the result of the test or even save lives.
3.Tax Benefits
Some countries create conditions that, when buying health insurance, one is eligible for a tax deduction. For an example as in the case of the United States, the amount of money that a citizen pays as premium for health insurance can be exempted from tax. For instance, health insurance premiums can attract concessions or deductions in the income tax bill as affirmed by the Indian government under Section 80D of the Income Tax Act. This not only convinces people to take up health insurance but also makes health insurance cheaper as it decreases the amount of tax paid.
4.Peace of Mind
That story alone, of knowing you are safeguarded in the event of such eventualities, will bring so much comfort. It wasn’t necessary to keep wondering what would become of them or any of your family members, in the event that you or they came down with an illness or had an accident. Health insurance helps to avoid stress about financial consequences of disease and gives you shield for the appropriate medical treatment in the moments of crisis.
5.Why Lifestyle Diseases Need to Be Stopped
Sedentary work, poor diet, and high amounts of stress in the typical developed society have caused noncommunicable diseases like diabetes, heart disease, and hypertension. M & M chronic illnesses are often costly to manage, they demand constant doctor’s appointments, prescriptions, and sometimes even a hospital admission. These diseases are usually catered for in our health insurance policies so you get to basically deal with such in a comfortable financial constraint.
6.Safeguarding Family Health
These health insurance plans have special significance for those who have dependent family members including their children or parents. These are policies that the different family members are put under one policy, which is convenient when it comes to managing medical requirements of all the family members. You could take your family for medical check-ups or even emergency and not have to worry about being charged an arm and a leg.
Selecting an Appropriate Health insurance Policy
It becomes very confusing when one is distinguishing on the plan to use in his or her health insurance plan due to the many varieties existing now. However, by considering the following factors, you can find a plan that best suits your needs:
1.Coverage and Benefits
Some of the areas reviewed include inpatient coverage, outpatient coverage, prescription drugs, and preventive care. Make sure that the policy will allow you to access the kind of services that will benefit you and your family most of the times.
2.Healthcare provider organizations
Ensure that insurance company has many hospitals and doctors’ sections that can be easily accessed by policy holders. Exploring what hospitals or doctors you prefer are in the insurer’s panel or network is very important.
3. Premiums and Deductibles
As much as one might wish to select the one that has the lowest premium, cost should not be the only determining factor. They also pay attention to the deductible amount which is the money that has to be paid in cash before the insurer distribute a certain amount.his is why it is recommended that one subscribe to a plan that has deductibles which are affordable.
4. Co-payments and Co-insurance
Others offer a co-payment system whereby you have to pay a given proportion of the price of the treatment. For instant the 10% co-payment means that if the hospital bill has reached $10000 you will be charged $1000 while the insurer part is $9000. You should therefore ensure that you comprehend the co-payment terms of your policy.
5. Pre-existing Conditions
In case a member of the family has a disease, it is advisable to check if the policy has an inclusion to the ailment’s treatment. Some plans can restrict an individual from accessing certain treatments if one has had the symptoms in the past, thus, the waiting period is vital to consider.
6. Claim Process
Select an insurer who has a policy of fast, effective and unworrying claims processes. Simplicity of the claim procedure is desirable during emergency times that could otherwise cost the life of the patient.
The Consequence of Being Uninsured
In the short run, health insurance might seem like a thing you can do without, but the repercussions that come with this decision might just cost you an arm and a leg. In times of a major disease or an accident, a lot can go to costly treatments, and one can easily be overwhelmed by bills, ending up in debts or bankrupt.
Also, many facilities, including hospitals, will not accept you or will ask for a huge down payment if you do not have insurance. This may keep you from getting needed medical care, which can make your condition even worse.
Conclusion
Purchasing health insurance is not just making an economic decision, but you are investing in the kind of life that you want in the years to come. Due to the effects of heath and the unpredictability of one’s life, health insurance is something that one cannot do without. They not only give one a shield of financial security but also heath care, tax advantages and a sound sleep.
Before choosing the particular health insurance plan, always check on your healthcare requirements, your money, and the insurance that is provided. That is why with the right plan in place between you and your family, you wouldn’t have to worry about the financial side of medical emergencies but instead focus on getting better and free from worry.
Where diseases can knock anytime, having health insurances is not only wise but inevitable.