What are potential problems with high-deductible health plan?

More people are seeking ways to reduce the expenses associated with their personal health insurance. The low premiums of high-deductible health plans can be very attractive for this very reason. Unfortunately, while high-deductible health plans, or HDHPs, can be a great option for some people, they are not appropriate for everyone or every family.

An HDHP only covers health care expenses once the deductible has been met. The deductible may be $1,200 for an individual or $2,400 for a family for 2012. Out-of-pocket maximums range between $6,050 for an individual and $12,100 for a family. Your medical care will essentially be paid for out of pocket until you reach your deductible. Because these costs may be prohibitive for some, they may be dissuaded from seeking timely help. If you do not have the means to pay for your medical care out of pocket, this may not be the plan for you.

Some plans can also be extremely restrictive, placing limits on doctor’s visits, routine care, or requiring subscribers to stick to a network of providers. If you prefer more flexibility from your health insurance, carefully read the plan to determine its limits and requirements. If it is inflexible, it may not be the right health insurance plan for you.

Finally, if you are a regular consumer of health services, have a pre-existing condition, regularly use prescription medications, or intend to become pregnant or already are pregnant, a high-deductible health plan may not be right for you. Add the costs of the deductible and any other out-of-pocket costs as well as any lifetime limits that may apply to determine the total potential costs associated with the plan.

To learn more about your options for personal or employee health insurance, contact one of our knowledgeable insurance agents today.

 

 

Source: Los Angeles Health Care

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