Know Your Local Laws When Buying Health Insurance

Armen Hareyan's picture
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Many times we think that the price of a health insurance plan that we end up paying is dictated by the insurers. Then we wonder why health insurance is not affordable for us or our families. Yet, sometimes we fail to realize that knowledge about the local and state laws governing the health insurance industry can help making our family or individual plan more affordable.

Consumer Reports, in a story published in 2008, talks about six tips for buying an individual health insurance plan and lists knowledge of laws as the first.

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One of them is to know the the local health insurance laws as well as the state laws. The second is again about the legal knowledge. One needs to be careful when changing jobs and going from employment-based health insurance plan to an individual plan. The third is to research your market and make decision only after finding at least three quotes.

The fourth and fifth relate to benefits and premiums. Sometimes, what appears an affordable health insurance plan may not have adequate benefits. The point is that one needs to look beyond premiums and cost. Reading the fine print and understanding what is really covered is of utmost importance. Also understand the cost of co-payments and what types of visits are covered.

The last tip is to keep looking. Many people can't pass certain types of health insurance underwriting. However, 34 states have special high risk pools for that purpose. Therefore, you may be eligible for a special type of insurance that you don't know of. Therefore, continuity of research on this matter may help one finding the most affordable health insurance plan with the best types of benefits.

Written by Armen Hareyan

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Comments

It's very true. Local regulations are crucial when it comes to governing health insurance coverage. Knowing them will indeed help in finding more affordable health insurance plan.