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Alternatives To Traditional Health Insurance

The costs of traditional health insurance are rising rapidly. In fact, they are going out of the reach of most Americans. These people are, therefore, diligently seeking alternatives that can provide them with some assistance. They are aware that medical bills have the potential to bankrupt them or bust their monthly budgets.

It is becoming increasingly difficult to manage healthcare costs by purchasing traditional health insurance plans. Fortunately, there are viable alternatives. You just need to identify an alternative that is best suited for your needs. We have listed for you some of the alternatives that you may decide to have instead of traditional health insurance.

“I grew up in a family that lost health insurance. So I was scarred at a young age with understanding what it was like to watch my parents lose access to the American dream.” — Howard Schultz

 Get A Primary Care Membership

An interesting alternative to medical practices and individual primary care physicians offers services for a flat fee. The fees are paid every month just like a membership fee to a club. The monthly fee gives individuals and their families an opportunity to receive unlimited routine medical care, which includes doctor visits, blood tests, and pediatric care. A primary care membership caters to the usual services provided by primary care physicians. People are not required to spend any money including the co-pay. However primary care membership does not provide for surgery, hospital stays or major treatment for injuries. In order to cover for such incidents, people can supplement the primary care membership they have with a relatively low premium and a high deductible insurance policy that is designed as a cover for catastrophes.

A primary care membership caters to the usual services provided by primary care physicians. You don’t ave to spend any money, including the co-pay. However, primary care membership does not provide for surgery, hospital stays, or major treatment. To cover for such incidents, you can supplement your primary care membership with a relatively low premium and a high deductible insurance policy that is designed as a cover for catastrophes.

 Join A Medical Cost Sharing Program

Another option that is becoming increasingly popular is in the form of medical cost-sharing programs. These programs are set up to ensure that members pay monthly fees just like insurance premiums, pool their resources, and share the costs as they arise. A medical cost sharing program will require you to pay an incident fee for every medical event, and is similar to a co-pay that you have to pay beforehand. The medical costs you incurr will thereafter be covered by the pooled fees that are paid by other members of the program. Medical cost-sharing programs are inexpensive compared to traditional health insurance yet they offer the same level of medical cost coverage .

 Open A Health Savings Account

A health savings account (HSA) offers a tax advantage and covers most of the usual medical expenses including doctor visits and over-the-counter medications. An HSA is combined with a high deductible insurance policy for dealing with illness or injury.

You can open an individual HSA, although many employers are also making them available. The payments made to an HSA is a pretax deduction and no tax penalties are levied for withdrawals from the HSA account if the money is used to cover for medical expenses. However, there are set limits for the amount that can be transferred to an HSA by the IRS.

 Get A High Deductible Policy

This is a good option for younger adults who are generally in good health and do not expect to incur a significant sum of money in the form of medical costs every year. A high deductible policy will offer you an opportunity to pay low premiums for unexpected injuries or illnesses. This policy is known as catastrophic health insurance and ensures coverage in the event of unexpected medical expenses while keeping your insurance costs to a minimum.

“Texas is a great place to be rich and a terrible place to be poor. It’s got the highest percentage of people without health insurance in the country. If you get injured on the job, good luck getting workers’ comp. And God help you if you’re poor and mentally ill.” — Gail Collins

If you are finding it difficult to invest in a health insurance policy, you can choose one of the options above to safeguard yourself from unforeseen incidents.

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