How Switching Health Insurance Can Save You Money

There are many reasons why people switch health insurance. Some of the reasons may include: 

• • Your current doctor stops accepting health insurance claims. 

• • Costs went up in association to the insurance you currently hold. 

• • You might not be receiving the right level of health care.

• Your prescriptions are no longer covered.  

You want to make sure you get the maximum health care benefits when you’re sick, need laboratory tests, need imaging studies, or getting the appropriate intervention or treatment for your medical condition. 

Whatever your reason is, one thing’s for sure, switching health insurance can save you money. Continue reading below to find out more. 

Higher Health Insurance Tier 

Switching your health insurance means taking advantage of a higher tier of healthcare services. It means you pay less for doctor’s visits. This can save you more money in the long run. If your doctor no longer accepts your health insurance, and you want to continue using the healthcare services offered, you can either pay for out-of-network visits or switch your insurance plan. 

Here are the details of these two options: 

• • Pay for Out-of-Network Visits: Your health insurance partially covers these visits. However, most of the time you’re left to pay in full. This can be very expensive. That’s why it’s essential to prepare and plan for future healthcare visits. It’s always advisable to avoid out-of-network visits since it contradicts having premium health insurance.

• Switch Health Insurance: Ask your doctor about available healthcare plans acceptable in their practice. You might find an option that best fits your healthcare needs and your budget when switching to a different one. 

Switching to a different health insurance plan in a higher tier will save you money by paying less per doctor’s visit.

Pay Less for Similar Options

Health insurance costs go up. It’s expected that the monthly prices for health care plans will rise to 36%. Your health insurance premiums and other related costs, such as your coinsurance, copay, and deductibles may change. This means your payments may change from year to year.

Luckily, you don’t have to stick with your current health insurance plan if you’re currently paying a lot of money. You can switch your health insurance plan to the most affordable plan in your tier, and spend less for the same coverage. 

Better Overall Coverage

Do you notice you’re not getting the right level of healthcare with your current health insurance? It’s time to assess your needs and your healthcare investment over the past year.  If you’ve paid several prescriptions and doctor visits at full price, try to switch to a new healthcare insurance plan with a higher tier, offering better coverage. On the other hand, if you’re rarely using an expensive plan, you may look into a health care plan that’s less expensive with higher deductible options. 

However, you need to take into consideration your future health care needs. For instance, if you or a loved one was recently diagnosed with a new medical condition or is pregnant, switching to a health insurance plan that provides you easy access to the right doctors, prescriptions, and hospitals is a good idea. 

Avoid Unexpected Pharmacy Charges 

If your current health insurance no longer covers your prescriptions, switching to new health insurance is your best move. By doing so, you avoid paying unexpected pharmacy charges. 

That’s why you have to talk to your insurance company to make sure your prescribed medications will still be covered next year. Otherwise, it’s best to switch to a health insurance plan that provides you with the pharmacy coverage you need. 

Ensure That You’re Covered 

There’s some situations where your health insurance plan may no longer be available. It happens when major insurance companies make changes that usually happens every year, which is common with health insurance plans that were purchased in a previous year. 

Insurance companies usually decide to make changes when participating in the federal exchange. When this event happens, your health insurance company will either prompt you to upgrade to a new plan or move you to a new similar plan.

However, the coverage, the cost, and the in-network providers can change. That’s why you have to call your insurance company before the automatic renewal to make sure you’re fully covered. Otherwise, switching your health insurance is a better decision you’ll have to make. 

Won’t Be Stuck With a Plan 

Unless there’s a qualifying event, you only have one time every year to switch to a new health insurance plan. Don’t allow an insurance company to automatically enroll you in the same health insurance plan without looking at your options prior to the roll over period. Take time to switch to a new and better option during the open enrollment period so you can choose the right plan that best fits your needs. 

Find a More Affordable Option 

Through health insurance subsidies, you can make your health insurance plan more affordable by reducing the cost of your monthly coinsurance health payment. If you have an existing subsidized plan, you might spend more money to pay taxes if you’re expecting a higher pay next year.

On the other hand, you’ll lose healthcare savings if you don’t switch when making less money next year. That’s why it is crucial to accurately estimate your expected income to get the right health insurance subsidy amount to secure your financial stability all year round while protecting your health. 

Conclusion

The final decision whether to switch or not to switch your health insurance all depends on your current medical condition, anticipated needs, your current location, and your annual income. While insurance companies automatically renew the health insurance plans of their members, you can always take advantage of the open enrollment period to study if switching health insurance is your best move.