North Carolina Individual Health Insurance – What Are My Options?
When it comes to picking out North Carolina individual health insurance, you have your choice of plans. Between the HMOs, PPOs, Pay Per Service, and other coverage types, there are literally thousands of plans you could buy to cover your family’s medical expenses. Determining which one will work best with your specific health situation can be a challenge. Your health insurance plan directly affects your family’s health as well as your financial wellbeing so you want to make sure you choose wisely. Learning about the different types of insurance out there can help make the decision process easier.
For the most part, traditional copay North Carolina individual health insurance plans are the most flexible plans on the market and are what most families have likely had through employer sponsored plans. Most carriers offer a Preferred Provider Organization (PPO) plan, which you do not need to have a primary care physician to refer you to specialists. You can choose any doctor within the PPO you want to see and you can visit any specialist you need to without obtaining approval from your doctor. With this type of insurance you do pay a deductible for surgeries and hospitalization and usually have some amount coinsurance; however, there is generally only a set copayment charge for general office visits and prescription drugs. Because these plans are rich in benefits they also come with a higher premium.
A High Deductible Health Plan (HDHP), on the other hand, is family health insurance also based on the PPO but has much lower premiums. This is offset by the higher than normal deductible you must pay before your insurance company will kick in and pay your medical expenses. These plans do not have copays for doctor office visits and prescription drugs. However, any out of pocket medical expenses for office visits, drugs, surgeries, etc. all count towards a single family deductible. Usually these plans are combined with a North Carolina Health Savings Account (HSA) which is a savings account that provides several tax advantages. The money in the HSA can only be used for qualified medical purchases but any money that is not used by the end of the year gets rolled over to the next year. An HSA is basically an IRA for healthcare. The combination of lower premiums, single family deductible and the tax advantages makes these plans very attractive and often times your total out of pocket exposure is much less than traditional plans.
Neither types of family health insurance plan will be a one size fits all solution. Which one is best for you will depend on your family’s specific health profile. If your family can afford the premiums, use the doctor a lot, or are dealing with a chronic health situation, then the traditional family copay plan may be a good option. However, if your family is working with a budget, are relatively healthy, and you are able to contribute money to a HSA, then the high deductible health plan may be for you. Be sure to work closely with a qualified North Carolina individual health insurance agent to assist you in choosing the right plan for you.