Posted by Mary K. on Wed, Apr 21, 2010 @ 01:54 PM
We're quickly approaching graduation season. It's a time of transition usually marked by a change in residence, a change in employment, and a change in health insurance plans. You or someone you know might be losing dependent status on a parents' group health plan. Or, you may be starting your first job in the "real world" and have a waiting period before group coverage begins.
This is a great time to consider individual health insurance.
The type of individual health plan that most easily fits the needs of young adults is a basic benefit plan. It's budget-friendly and provides the essential major medical benefits many young adults are looking for. Plus, web-savvy twenty-somethings like how fast and easy it is to apply for coverage online!
Basic benefit plans are designed to be affordable while covering the "basics" - hospitalization, Rx drugs, PPO office visits, and preventive care. To keep monthly premiums low, these plans have higher annual deductibles as well as additional deductibles for certain medical services like emergency room, inpatient and outpatient hospital visits. Many young consumers appreciate their low monthly premiums and are willing to pay more out-of-pocket when the need for medical services arises.
Make sure your health insurance needs are met while you're in school, during your first few months after graduation, or if your first job doesn't offer health insurance coverage. Individual health insurance is a great way to protect your health and budget while you're taking your first steps in the "real world."
Posted by Corinne M. on Tue, Oct 06, 2009 @ 02:52 PM
I recently planned a vacation - a glorious road trip spanning northern California's wine country, San Francisco, Big Sur and Los Angeles. Most of my online "legwork" was spent researching and comparing prices for rental cars. I had to pay attention to drop-off fees and parking charges, not to mention the considerable number of miles we were putting on the car. The range of car types and price points were astounding!
As much as I wanted to rent a luxurious trail-ready SUV or a fun, sporty convertible, we really couldn't afford it. And did we need heated seats, a sunroof, or room for seven people? We certainly didn't want to pay for these extra features we really weren't going to use. If we had kids in tow or truly needed the amenities and conveniences of a more expensive rental, I'm sure we could have shuffled our budget around to accommodate it. So we made our way with a sensible car that got us from point A to point B to point C - and had a rate that left us some money for souvenirs!
Health insurance is similar. Many people set out, as I did with the rental car, thinking about the features of a "fully-loaded" product. But when it comes to making the purchase decision, they simply don't need the extensive benefits and higher price tags that usually come with the more comprehensive plans.
That's why basic benefit health plans are so popular - they're reasonably priced with just the right amount of major medical coverage for hospitalization, Rx drugs, PPO office visits, and even preventive care. While these plans lack many of the "bells and whistles" of more comprehensive health plans, they have the important benefits that consumers need and the prices they shop around for.
The thing to keep in mind is that basic benefit plans require policyholders to cost-share (to pay additional deductibles for hospital visits and Rx drugs, for example) in exchange for low monthly premiums and essential major medical coverage when they need it. That's kind of like paying out of pocket for gas and supplementary collision insurance on a rental car that comes standard with A/C, power windows and satellite radio, right?
I'm happy to report our road trip was a great success! We really were quite comfortable traversing the coastal highways and bustling city streets in our sensible car. (All of the natural beauty was outside the car, anyway!) Not only did we have fun, but I felt really good knowing we saved as much money as we did. If only health insurance plans came with satellite radio...