Reduce Health Insurance Premiums

Category : Insurance

It's no secret that health insurance premiums are on the rise. Whether its insurance that is offered through an employer, or health insurance obtained privately, premiums are increasingly substantially each year. There are ways, however, that individuals can take some control.

Raise your deductible and copays.
With health insurance, the more of the costs that you assume yourself, the lower your premiums will be. The easiest way to do this is to raise your deductible and, if possible, copays. In most cases, when you take on more of these costs yourself, a health insurance carrier will reward you with lower premiums.

Open an HSA.
If you choose to raise your deductible significantly, you can, in some cases, qualify to open a Health Savings Account (HSA) which will provide you with a tax savings as well. Depending on with whom you are insured, check with your company's human resource department or your insurance agent to see if your plan qualifies.

Check out your spouse's plan.
If you are married, and your spouse is offered health insurance through his or her employer, make sure you check out both plans to see which is more advantageous for you. It may make sense to have you both on one plan or the other, or it may be financially advantageous for you each to be covered under your own employer's plan.

Check out other plans your employer offers.
If you obtain health insurance through your employer, make sure you understand and evaluate all the options that are offered. Depending on your health and how you use insurance, you may be able to switch to a plan that makes sense for you and reduces your premium.

Shop around.
If you are covered by private insurance, or even if you are on an employer's plan, it pays to shop around with private carriers to see if you can save money. This is especially advantageous if you are healthy.

Consider options.
Employer insurance and a private plan are not the only options on the table. Consider any of the following that might apply to you: insurance offered through an organization or association that you are a part of; insurance offered through school if you or a member of your family is a student; insurance offered through a state pool if you find it difficult to get insurance due to pre-existing conditions or some other reason.

Get healthy.
If you are trying to obtain insurance through the private sector, you will find that your premiums are lower the healthier you are. Things like losing weight or stopping smoking will affect your premiums and maybe even your ability to get insurance altogether. If you are insured through your employer, you may still be able to benefit from adopting healthy activities. Increasingly employers are rewarding their employers for paying attention to their health.