When it comes to monthly expenses, there are a number of costs to account for – mortgages, utilities, food! Wouldn’t it be nice if you could cut each of those costs in half? Unfortunately, most expenses are a challenge to lower – banks typically aren’t open to receiving half of the mortgage payment you owe. But what about health insurance costs?
In good health
Many people perceive health insurance premiums to work similar to car insurance premiums. If you haven’t been in an accident, there’s an opportunity to reduce your monthly auto insurance payment.
This policy, unfortunately, does not apply to all health plans. For many health care policies, individual and small group premiums are “community rated”, which means the monthly premium for a particular plan is determined based on the overall claims history of the whole group (everyone that is enrolled in the same type of plan).
Other factors may also be considered when calculating your monthly premium including age and whether or not you meet certain health criteria. Additionally, you should take into account the reverse relationship between premium rates and deductibles. As a general rule, the higher your deductible is, the lower your health insurance premium will be.
Research your insurer’s website to learn about their premium standards and consider speaking with an insurance representative to evaluate if you are enrolled in the plan that is most effective for your budget. Most insurance companies offer lower premium options that allow you to lower your deductible when you meet certain healthy standards such as our own Keep Fit plan.
Have more questions about health insurance premiums? To ask questions and see answers, visit Health Insurance Central.