HEALTH INSURANCE
You are here:
Health Brands
Do I need a Health Plan?

The primary function of health insurance is to shield you from the high cost of medical care. It’s especially important these days when medical bills for treatment of a serious illness or injury could easily eat up your savings or push you into bankruptcy.

 

Aside from the financial burden, having health insurance is important for several reasons. Uninsured people receive less medical care, less timely care, they have worse health outcomes.

 

Better plans include preventive care which is important because it helps you stay healthy and access prompt treatment when necessary, and it can also help reduce your overall lifetime medical expenses. Stay healthier and get more effective treatment – Many types of screenings and tests can catch a disease before it starts.

Affordable Care Act (ACA)
ACA (or Obamacare) Plans
These plans are the most comprehensive major medical health insurance policy and meet federal coverage regulations set forth in the law. These plans can be purchased on or off the exchange, but all new individual major medical policies sold after January 1, 2014 are required to be ACA-compliant.

 

The unpopular tax penalty for not being enrolled in qualified health insurance was changed from 2.5% to 0% of adjusted gross income for the 2019 tax year by the Trump Administration. The possibility still exists that the penalty could be reinstated sometime in the future.

 

For many these plans are unaffordable, so the ACA offers subsidies to reduce monthly premiums and/or out-of-pocket costs in an effort to expand access to affordable health insurance for moderate and low-income people. Check your subsidy eligibility here: https://www.kff.org/interactive/subsidy-calculator/
Health Sharing Ministry (HSM) Plans

These exempt plans are allowed by law and serve as an affordable alternative to ACA. In a health care sharing ministry, members follow a common set of religious or ethical beliefs and contribute a monthly payment to cover the qualifying medical expenses of other members. The arrangement allows them to share health care cost burdens. These plans are growing in popularity and now cover over 1,000,000 Americans. They are not insurance. Note, these plans typically have limited coverage for pre-existing conditions until after a waiting period.

Short Term Medical (STM) Plans

Unlike traditional health insurance plans, short-term insurance policies provide low cost no frills medical coverage for a limited period of time, usually no longer than 12-24 months. Short Term Medical coverage is not ACA compliant. Note, these plans typically do not cover pre-existing conditions.

Supplemental Insurance

Supplemental health plans act to close the gaps associated with today’s high deductibles & out-of-pockets. Even with a fully qualified health plan, many individuals and families are concerned about how they might afford to pay for $5,000 to $15,000 worth of medical bills. These plans provide an extra layer of financial protection for unforeseen events such as an accident or hospitalization. Because these are low cost limited plans, they are a more cost-effective way to further reduce financial impacts of the “most likely surprises”.