Compare your premium group health insurance plans.
Health insurance is a contract between you and your insurance company. You pay premiums in exchange for a service from the health insurer. The insurer promises to pay your medical bills according to the terms of the health insurance policy. Group health insurance plans that have a wide range of coverage and high premiums with low deductibles are often referred to as "premium health insurance plans" or "Cadillac plans". Before you buy into one of these plans, make sure you compare all of the plans available to you.
Instructions
1. Request a copy of your available health insurance plans from your employer's Human Resources Department. Your employer should have a summary of the plans that are available to you. The summary will contain a list of what the insurance covers as well as the premiums for the policy.
2. Read the plan summaries carefully to compare coverages for the group health plans. Generally, you are looking for a health insurance plan that offers the most coverage. Also look for services that you personally will use. For example, most premium group health insurance offers hospitalization services like surgery and anesthesia; a prescription drug plan for when you need medication and coverage for dependent children that includes routine immunizations as well as regular medical care. But your plan should also cover routine adult immunizations, routine health maintenance and preventive care exams like breast exams, prostate cancer screening, pap smears, routine vision exams, etc. so that you can catch potential health problems before they arise.
3. Review your plan for other covered services that might be optional or included like chiropractic care, acupuncture, extensive psychiatric care or rental or purchase of durable medical equipment. Hearing, dental and vision are other coverages often offered as optional add-ons. You will need to make a personal determination as to whether these services have value for you.
4. Compare deductibles. A premium group health insurance plan has no or very low deductibles. Deductibles are the amount you pay out-of-pocket before your coverage kicks in. Premium health plan deductibles often range between $200 and $500 annually,and, rarely, as much as $1000. If you pay all or part of the cost of your health care coverage, the lower the deductible, the higher will be your monthly premium. Therefore, when comparing deductibles you need to weigh the monthly cost against what you might have to pay within a short time period in the case of a catastrophic illness.
5. Compare Co-Pays. Unlike a deductible, a co-pay is a payment you make up front for certain services and prescriptions every time and can be over and above your deductible. For example, you may have to pay $15 for every office visit with your primary care physician and $20 for every visit to a specialist. Premium group health insurance will have very low or no co-pays associated with the plan. Low or no co-pay amounts are associated with higher premium costs. If you do not go to the doctors very often, you may not benefit from a low co-pay plan. Instead, a higher co-pay lowers your insurance premium without sacrificing coverage.
