You can’t live without health insurance but even with it, things aren’t always covered. Depending on your policy, some procedures, doctor visits or treatment plans may not be fully covered by the insurance company. It’s a scary thought but there are solutions and a Black insurance agency can walk you through them.
If You Get Insurance From Your Employer
A flexible spending account is your best friend. These accounts are regulated by the IRS and allow you to get up to $3,000 upfront each year in the form of a debit card. Whatever your deductible is, you’ll want to request that amount on your card so that if anything comes up that requires you to pay, it’ll be covered. The money used is pretax money so although you have to pay it back over the course of the year, it doesn’t really impact your take home pay. Although some flexible spending accounts allow you to roll over up to $500, generally what you don’t use you lose at the end of the year.
Talk to your company about voluntary benefits. Many companies will allow you to purchase hospital policies, critical illness policies and accident policies. These benefits generally cost less than $10 each pay period but in the event you have a major accident or illness, the insurance company will immediately pay you $5,000, $10,000 or perhaps even $20,000. The money can be used to cover medical bills or for personal use. How you spend it is up to you but cash in hand certainly gives you options.
If You Buy Insurance From The Marketplace
If you don’t get insurance through your employer, more than likely you purchase it through the health insurance marketplace (Obamacare). Generally speaking, you’ll pay a few hundred dollars each month (after tax credit), whether you see a doctor or not. If you’re relatively healthy, however, consider a health savings account. Rather than paying $250 each month for a conventional plan on the marketplace, you might pay for a super cheap plan for around $20 a month. That plan will have a pretty high deductible (perhaps $2,500 or so) but if you’re healthy and don’t need much care, you might be okay. Put the $200 savings each month into a health savings account and let it grow each month. That money is not taxed and once you save an amount equal to your deductible, you’ll have the money you need to pay for any procedure and the insurance company will cover the rest. If you never need it, it’s still there and can be withdrawn for other purposes.
Health insurance isn’t always everything you’d like it to be. Not having it, however, is way more risk than you can afford. If your plan seems to come up short, there are tools and strategies that can lighten your load. Find a Black insurance agency today that can walk you through it all.
