You're comparing two health insurance plans, each with office visit copayments of $25 and the same coverage for prescription drugs, but one has a $500 deductible yet costs the same or slightly less than the other which has a $1,000 deductible.  Doesn't that make it a better deal?  Not necessarily; in fact, the $1,000 deductible plan may actually provide you with better coverage.  Unfortunately, many people don't look beyond copays and deductibles when shopping for health insurance.  The real question to ask is, what is my maximum out of pocket with this policy?  In most cases there is something called coinsurance after a deductible is met, the most common being 80/20, but can also be 90/10, 70/30 or 50/50.  Coinsurance means the percentage share the insurance company, the first number, and you, the second number, will pay after you have met your deductible until you have spent a prescribed maximum out of pocket, at which time the insurance company will pay 100%.  What if the $500 deductible plan was then 50/50 until you had spent a maximum of $5,000 out of pocket whereas the $1,000 deductible plan was then 80/20 with a maximum out of pocket of $2,500?  This is not deceptive marketing, just different plan designs, and it is incumbent upon you to be a good consumer.  Never fall for a low premium when shopping for health insurance.

Click here for a video of the 5 things never to do when shopping for health insurance.

Ronald Haines
ronald@hcibenefits.com
www.hcibenefits.com