Average Cost of Medical Insurance – Can I Afford It?
Depending on which plan you choose, the average cost of medical insurance can differ greatly. The insurance that you purchase will depend on whether or not you need to have a high deductible in order to be covered. It will also depend on what plan you choose and how much out of pocket expenses you can afford to pay. Here is a brief breakdown of how medical insurance plans work.
Health insurance companies are required by law to provide medical coverage to their policy holders. This means that each year a set of individuals purchase policies from them. Each year they must submit an annual request for pre-certifications for healthcare coverage. In years past, each individual household could obtain their own healthcare and not have to rely upon the services of a private health insurance company. However, as time has progressed the average cost of medical care has risen dramatically. Due to this increase the number of people seeking pre-certification for healthcare has significantly increased and so has the price of healthcare coverage.
Many individuals fall within a certain financial bracket. Generally speaking, this average income bracket consists of middle class families with at least one adult working who has an income sufficient to meet their basic living expenses. However, many middle class families fall within a range where their combined annual incomes do not make the monthly bill for comprehensive healthcare coverage. These families typically have both a husband and wife and often children to take care of. In many cases, the husband works full time and the wife is also working outside the home.
Many families fall within this average cost of medical care. They either do not have access to healthcare through their employer, they are on a tight fixed budget, or they cannot afford the premiums required by most private health insurance plans. For these families, the average cost of medical care has significantly increased because they have become classified as a higher risk patient. As a result, the insurance company will charge them a higher rate for coverage. Fortunately, there is a solution for those families who are seeking private healthcare coverage but cannot afford it.
A dental plan can be customized to fit the needs of a particular family by adjusting deductibles and monthly premium costs. These plans can be tailored to provide preventive care, basic oral care, and emergency care at a much more affordable rate than traditional private healthcare. Moreover, the monthly premium costs will be far lower if a person falls into a higher risk group. A person who is a diabetic, suffers from asthma, is overweight, smokes tobacco, or eats too much fast food may be classified as a higher risk and therefore will have to pay a higher monthly premium cost in order to secure healthcare.
In addition to a dental plan, an individual can also look into taking out a dental discount plan. This plan allows the same individual to save money on medical insurance premiums by taking out a monthly savings account at a local bank. The interest on the account is tax deductible. If a person wants to try this option out, they should visit their local bank and talk to a financial advisor about what type of savings accounts that are available and how they can qualify for one.