Is Health Insurance Making Healthcare More Expensive Than It Should Be?

The outgoing year was a tough one for Americans. While inflation and cost of living were on the rise, expensive healthcare continued to add salt to the injuries of Americans. The problem could be deep down in the plan that you have opted for. Experts argue that healthcare in itself is not that expensive.

What makes it costly is the third-party insurer who is paying your medical expenses in chunks. So, are Americans better off without medical insurance? Not really. According to a survey by Kaiser Family Foundation, at least 40% of Americans holistically rely on medical insurance plans to pay their medical expenses. The source argues that since average Americans can not pay their medical bills in cash, opting for health insurance is the only option for them.

Pran / Pexels / According to a survey by Kaiser Family Foundation, at least 40% of Americans holistically rely on health insurance plans – which is a problem in and of itself.

However, it is essential to note here that Americans can not simply say no to medical insurance plans. Especially when there is a looming recession and a soaring inflation rate. At this point, average Americans can not keep up with their living expenses. Let alone costly medical bills. Apparently, the only option for an insurance plan is the only ray of hope for them.

So, what is the problem here, you may wonder? Well, the issue is that the third party who pays your medical bill in chunks is charging way more than the original healthcare bill. In other words, every insurance plan gets its cut prior to paying for your medical expenses. So, as your insurer pays your medical bills in chunks, it charges you for the expanses. Thus, these “additional” charges are on top of your original healthcare bills. As a result, you end up paying more than the actual price of your healthcare bills.

Pixabay / Pexels / Third-party insurer charge “additional” charges as they pay your medical bills in chunks. In turn, you end up paying higher medical expenses.

Therefore, it is essential to choose the right insurance plan. Every patient should be cautious about the “premium” and “additional” charges that come with an insurance plan. In an ideal case scenario, you should not go for an insurance plan – in the first place. As a result, you will be paying fewer medical expenses.

Of course, this means that you should have enough cash handy to pay your medical bills on your own. Otherwise, going back to a third-party insurer is the only option.

Lee / Pexels / It would be ideal if you do not opt for a medical insurance plan in the first place.

Now, the question is: How you can avoid insurance plans? Apparently, you need to have enough cash in hand to pay off your medical bills without the help of any third-party insurer.

An easy way to avoid insurance plans could be saving a decent amount of money in your emergency funds. Every day, keep a fair amount of money aside for emergencies. And when you need to see a doctor, head over to your emergency funds and use them. Viola! You are better off without an insurance plan.