Whether your employer gives you health insurance or you buy it yourself, it can be expensive and hard to understand. The National Association of Insurance Commissioners (NAIC), a group of state insurance regulators who work on their own time, has some tips and suggestions to help you understand your options and keep your health insurance costs down:
Know what you can do.
When both partners have health insurance through their jobs, married couples should compare the coverage and costs (premiums, co-pays, and deductibles) to figure out which policy is best for the family.
Stay in-network as much as possible, and make sure to get referrals and pre-certifications if your plan requires them.
Keep all receipts for medical care, whether it was done in-network or not. If you have medical bills that are more than your deductible, you may be able to get a tax break for them.
If your employer offers a Flexible Spending Account (FSA), which lets you save money before taxes for out-of-pocket medical costs, you might want to open one.
If you lose your job or switch jobs, you can keep your group health coverage from your old employer for up to 18 months (but you have to pay the premiums). This is what COBRA says you can do (the Consolidated Omnibus Budget Reconciliation Act).
Advice for Health Insurance
Different Life Stages
The NAIC's website for consumers, Insure U (www.InsureUonline.org), tells people about the different kinds of health insurance and gives them tips based on what they are likely to need at different times in their lives. For instance:
Young people who are single and may not yet have a full-time job with health benefits should know that in some states, single adult dependents may be able to stay on their parents' health insurance plans for a long time (up to 25 or 30 years old).
Young couples who are going to have a baby should make sure to register the baby with their health insurance company before the deadline.
Families who have been together for a while and have kids should look into Flexible Spending Accounts if they are available. These accounts can help pay for common medical problems that kids have, like allergy tests, braces, and replacements for lost eyeglasses, retainers, and the like, that basic health insurance often doesn't cover.
Seniors who are no longer working but are under 65 and whose COBRA benefits have run out should look into high-deductible health plans. At this point in life, people may want to think about whether or not they need long-term care insurance.
