Traditionally, the company you worked for provided high quality Health Insurance at a very affordable price. It was one of the Employee Benefits you received for working there. Fast forward to today’s world and finding quality health insurance has become a difficult task.
Pre-existing conditions are now required to be accepted in all health insurance plans. Here’s what the Department of Health and Human Services has to say:
Under the Affordable Care Act, health insurance companies can’t refuse to cover you or charge you more just because you have a “pre-existing condition” — that is, a health problem you had before the date that new health coverage starts. They also can’t charge women more than men.
Why are there so many moving parts to a Health Insurance plan?
Let’s keep it simple, a Health Insurance plan will have the list of coverages, any co-payments, the deductible, Health Savings Accounts and the ‘Out-Of-Pocket’ Minimum.
Deductibles: Typically a deductible is the amount you will need to pay before your insurance starts. This is subject to the specifics of your health plan, (ex: If you have a Family Deductible of $3,000, you will pay the first $3,000 of covered health expenses).
Co-Payments: Once your deductible is met, you will have 100% coverage or a co-payment system, such as 80/20 where the insurance pays 80% and you would pay 20%.
Health Savings Accounts: If your plan is deemed a ‘High Deductible Plan’ by the government, you will then qualify to open and contribute to a Health Savings Accounts. NOTE: For 2016, to be considered a ‘High Deductible Plan,’ the amount of your deductible must be at least $1,300 for an individual and $2,600 for a family. If your deductibles are at least this high you will be allowed to open a Health Savings Account.
Basics of a Health Savings Account include tax-deductible contributions and tax-free distributions on any withdrawal used to pay a ‘qualified’ healthcare cost. For more info on the specifics of using a Health Savings Account with your ‘High Deductible Plan’ check out Healthcare.gov.
Out-Of-Pocket Maximum: Just as it sounds, the Out-Of-Pocket Maximum will be the maximum your family will pay each year. When this amount is reached, your health insurance will cover the remainder of your healthcare costs for that year.
Many of these rulings are ever-changing, therefore we highly recommend using Key City as your reference for a health care plan that will fit you and your family.
At Key City, we work to help you and your family secure the proper coverages that are available in today’s marketplace. Call us today at (563) 583-0108 to set up a consultation.