Putting low income health insurance into perspective
Low income families face a weird dilemma – they are not eligible for insurance at work because of their poor salaries and their poor salaries do not let them afford private individual health plans. And considering that this one income bracket that perhaps needs the most insurance, this is a strange irony of sorts.
Health plans in general are expensive and so is the healthcare in the US. Compare the two and you will find that going in for a medical plan is any day a cheaper option than a face an illness without any medical coverage. But that does not mean people have to shell out hundreds of dollars even if it is beyond their affordability.
Though fewer than others,
one still has several alternatives to choose from while buying low income health insurance. The options are optimum. The need is to look for it at the right place and in the right way.
One of the best choices when buying low income health insurance is to go for the government-aided medical plans. Medicare, Medicaid, Children’s Health Insurance Program (CHIP), the options are plenty. These healthcare programs provide coverage at the minimum possible premiums. However, the coverage that comes along with it is also quite limited and covers only the basic medical needs.
However, if one is looking to buy private health plans, then he still has enough choices to opt from. Private low- income health insurance includes the following plans:
a) Managed health care plans such as the HMOs and PPOs that cover doctor’s fees, hospitals bills and prescription drugs. These plans assign the beneficiary to a prescribed network of healthcare service provider. They are the least expensive but comprehensive private healthcare plans.
b) Mini medical insurance plans come under the category of low income health insurance. They have comparatively much lower premiums.
c) Specialized health insurance plans. These plans are cheap but restrict the coverage only to a limited type of accidents, illness or amount of coverage.
d) Short term major medical insurance that provide the same coverage for as any major health plan, but only for a short period of time.
e) Catastrophic health insurance plans that covers the hospital bills and doctor’s fees only for catastrophic diseases like cancer, heart attacks and other grave illnesses.
f) Low Income Health Insurance Companies. There are certain carriers that provide low income health insurance packages. These health plans do not pay for regular health check ups but provide coverage in case of accidents or major diseases.
Low income health plans do not come with all those fancy treatment and added benefits that a medical policy is usually wrapped with. But they are a good alternative if one cannot afford a regular health policy. These plans come with limited coverage and specific benefits. They are definitely not as comprehensive as other plans and if you are buying to buy a low income medical policy, you certainly need to make compromises. But in a country like the US where the cost of healthcare is skyrocketing and it is getting difficult for people from even the best income health groups to afford healthcare, it is a huge medical as well as financial risk to stay away from any kind of coverage.
The options and the coverage is limited and hence the need is to choose carefully!!!
