No matter what you buy, there will always be a correlation between price and benefit. Whether it’s a pair of shoes, a car or even a new dishwasher – anything that sounds too good to be true, usually is. Cheap health insurance is no different. When it comes to insurance, there are no bargains.
Cheap insurance is priced that way because it’s designed to give you very little back in return. One of the things to watch out for when you are researching some low cost health insurance policies is their rating. A low rating of C- or lower means there are questions as to whether the company could stay in business if it needed to pay out too many claims all at once. Many insurance companies over the years have gone out of business due the number of claims.
One reason their insurance might be cheaper than others is the way they reimburse doctors who have contracts to work for them. Since they pay their doctors below average rates, they can pass this savings on to their customers.
Companies that sell this type of cheap insurance want to keep their risk levels at a minimum. In effect, if they have to pay out too much money, they could be in trouble. They are in the business to make money, period. These companies have little concern for patient health or healthcare and they rarely are eager to pay claims at all, never mind on time.
Be very careful when choosing a doctor on one of these plans, too. Since these doctors are working for pretty low reimbursement rates, you need to do a lot of research on each doctor you may be interested in working with. You need to understand why he willing to work for that money. There’s a chance he never graduated from a US based medical school, or even worse.
Deductibles for this type of cheap insurance are typically higher than normal and totally unreasonable. If you or your family make frequent doctor appointments, this is not the best insurance for you, no matter what the price is.
Learn more about Health Insurance. Stop by Samantha Malone’s site where you can find out all about and what it can do for you.
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