Costs of health insurance have been going up and up and up for years. Many employers can't afford it, so they have no choice but to charge you more. This is why the amount taken out of your pay seems to keep going up. What can you do about it, though?
Take charge of the money you spend on health insurance.
Every company has a time when employees can look at their health insurance options, make changes, or drop coverage. This is called "open enrollment." First, do your work! Check your deductions and ask your HR person how much of your monthly premium the company pays for.
Consider private health insurance with these numbers in mind. www.ehealthinsurance.com is a good place to go for tips and free health insurance quotes. You might find that it makes more sense to drop out of your employer's plan and pay for your own insurance with the money they would have taken out of your paycheck.
Suffering From Coverage Overkill?
The truth is that a lot of employers offer insurance that is expensive. If you or a family member has a health problem, it's probably best to stay on your employer's plan. But if you don't go to the doctor very often, why pay more for a more expensive plan with benefits you won't use?
Think about what would happen if auto insurance covered repairs. You'd probably pay twice as much, and if your car is reliable, you'd never need that extra coverage. The money you would spend on insurance would be better off in the bank. The same goes for health insurance. Find a health plan with a high deductible to lower your premiums. Put that money away in case you need medical care before your deductible is met.
Think of your children.
Even if you keep the health insurance from your job, you might save money by putting your dependents on a private plan. Most employers only pay a small portion of the premium for your dependents' coverage, leaving you to pay the rest. You can also save money by getting separate plans for your kids. For example, a policy for a nine-year-old in Toledo, Ohio costs less than $50 a month. On eHealthInsurance.com, it's easy to compare rates from different insurance companies. By entering your zip code, you can get quotes for just one child or for your whole family.
Karen Auby knows a lot about personal finances.
One way to lower your premiums is to get a health plan with a high deductible.
