With the rising costs of virtually every aspect of your monthly expenses its important to cut back wherever you can. One obvious place to slash your monthly expenses is with health insurance. With so many cheap health insurance plans available these days its easy to get seduced into switching to a new plan. Unfortunately many of these plans are not what they seem to be and only when you look really closely will you discover the real differences.
One of the real dangers of a cheap health insurance plan is that it can leave you old in the cold when you need it most. Medical costs are sky-rocketing and with the national Medicare in virtual bankruptcy, its highly unlikely that the state will easy these costs any time soon. If you get diagnosed with a terminal illness or if you are in a serious accident, the medical expenses can cripple you and your family financially.
So, the first thing you need to analyse in a lot of detail is the amount of cover you will get. Look very closely at the exclusions and make sure that even if it’s a cheap health insurance plan that it still provides adequate cover for you and your family. The fine print is often where the real difference in price comes in. If you are unclear about anything in your policy, phone your insurer and ask before you buy it.
One of the next areas of saving is one that health insurance providers often gravitate to in order to make their policies sound more attractive. It’s the deductible on the policy and by massaging this number they can bring down the monthly payments significantly. Since most people are only trying to save on their monthly expenses they never fully consider the implications of their payments. A low deductible may save you on your monthly premiums but it may cost you much more annually. Its important to look at any cheap health insurance plan from an annually point of view and look at how much it will cost you per year instead of how much it will cost you per month.
Often you get what you pay for, but if you are very diligent and do your research you can pick up some really good health insurance policies without blowing your budget completely.
