Shopping for private health insurance can become very tiresome for some people. Increasing costs reflect rising premiums. However, this is one dilemma, which you cannot afford to ignore. Public or employer based plans are subsidized and do not show full costs of various services. Without subsidies, private health insurance becomes a costly affair at the very least. Government and employer contributions also play a significant part. So, considering that unsubsidized health care does not come cheap, here are a few things you can do.
1. Transaction costs
Companies providing health care through government and employers, engage thousands to get benefits of scale. This makes it cheaper individually. In case of private, it is each individual case or a very small number of person with unique requirements. There is no corporate or government scale benefit working here to save customers their money. Locking-in a private health care policy may itself cost a few hundred dollars.
2. Informational asymmetry
Knowing more about all the options available in the market place as well as those open to you gives you an advantage. Shopping for best rates is possible if you look for margin deals. You can achieve this by making full use of online comparison sites where you get to see prices and services of similar services. Shopping around online is possible to get competitive rates. In fact, you can do online chat and phone calls to close a deal in minutes by having competitive insurers better a deal. If your health care needs are individual, shop for private health care. Negotiate for lowest prices with different service providers.
3. Knowing your risk profile
Healthy people rarely forego buying health insurance policy. These people benefit by opting for high deductibles, which keeps premiums down. People who give health higher priority in life spend on healthy habits because prevention is better than cure for them. Insurance companies rely on general lifestyle statistics that may not fit you fairly. Such people do not have to visit doctors as much as others do. Lower incidences of needing medical services allows one to options for higher deductibles.
Expensive Health Care
Health insurance is a high price part of living expenses because we cannot get on without it. As medicinal science, progresses and finer services become available, health insurance with keep on getting expensive. However, customers are independent to decide which coverage they would like to have and which services they are not likely to need. Shopping for health insurance will need more understanding for the average person exposed to larger health care risks. Personal health insurance market place reflect expensive private care.
Health insurance is a matter of two-sided debate. One whether you need it or not and second do you need to spend on it or not. High costs may deter you from making a purchase. When you do not have it and something happens, you rue the fact. On the other hand, if you have it and nothing happens, you keep worrying about high premium money you seem to be losing. This is a classic dilemma case of Can’t Live with it, Can’t Live without It. This scenario is more to do with your psychological mindset rather than your lifestyle or what you can afford. So set your mind straight, and get on with it. Protect yourself, protect your family members.
Rudds james writing professionally since 2010, james has covered the health and car finance industry widely, writing about the latest health related trends, makes and models the trade has to offer.