Why is health insurance important, how does it work and how to get it

Portrait of a couple looking at papers

Life is often unpredictable. As much as we work to take care of ourselves and our loved ones, our circumstances can change in an instant. While most of us are aware of the need for health insurance to protect our health and financial security, why should it be so confusing? The number of options and all the differences between plans can overwhelm us.

Here we’ll cover some health insurance basics to help you get started. Peace of mind, medical care when you need it, and financial protection are all excellent reasons to weigh your options with your current situation.

Why is health insurance important?

Taking care of our health can be costly, especially when a problem arises. While no one plans to get sick or injured in an accident, most people will need medical attention at some point. Health insurance helps provide financial protection when you need it.

Health insurance can help:

  • Contribute to a longer, healthier life
  • Provide financial assistance with medical bills and avoid major debts
  • Supporting wellness services such as regular preventive check-ups, check-ups and immunizations
  • Saves you money when you use in-network doctors and services
  • Get the affordable care you need close to home
  • It gives you access to health information and other benefits to support a healthy lifestyle

How does health insurance work?

Although health insurance is complex, it works in the same way as home or car insurance. You (or your employer) choose a plan and agree to pay a monthly premium. In exchange, the insurance company agrees to pay a portion of your covered medical expenses.

What health insurance covers — and how much — varies depending on the plan you choose. The best health insurance plan for you may be different than what works for someone else.

When considering which plan might be appropriate, consider:

  • Where can you get care?
  • What is covered
  • How much will it cost

Besides the monthly installment, questions about other costs should be understood before choosing a plan:

Is there a discount?
The deductible is a set amount that you must pay each year before the insurance will pay for covered services.

Is there co-insurance?
Coinsurance is the percentage of the amount that you will be responsible for once your deductible has been met. You will have a percentage to pay, as well as your insurance.

Is there a post?
A co-pay is a fixed fee that you are expected to pay at the time the service is provided. If the policy requires co-pays, the amount usually varies depending on the type of service.

What is the maximum pocket?
The out-of-pocket maximum is the most you must pay for covered expenses during the life of your plan, usually a year.

Learn more with our consumer guide to understanding healthcare pricing.

Five things to consider when weighing your insurance options:

  1. Your health and how often you may need care. How often will you need to see a doctor? Do you suffer from chronic conditions that require ongoing treatment?
  2. Premiums vs. Interest: How much money are you willing to spend to get what you need?
  3. Your current doctor and health care services. Are they in network with the policy you are considering? If not, are you willing to change doctors or look at a different plan?
  4. What else does the plan include? Are there convenient care options, self and virtual care services, healthy lifestyle programs or discounted fitness deals?
  5. Are there additional coverage options you might need to consider, such as prescription, vision, or dental coverage?

Deciding which plan is right for you and your family can be difficult. our Financial advisory services professionals Trained in the field of financial consulting, especially for medical services. They can help navigate your current insurance, as shown Plans and networks accepted by Nebraska Medicine and help you determine which market plan may be best for your situation.

“If you have questions or need clarification about a bill, claim, or insurance coverage, feel free to reach out,” says Kim Stueve, supervisor of patient financial services at Nebraska Medicine. We are here to answer your questions and help you understand the process.

How to get affordable health insurance

There are several ways to secure health insurance:

  • On the basis of the employer: through your job or your spouse’s job if the requirements are met
  • health insurance market During the open enrollment period (usually from November to mid-January)
  • General coverage through Medicaid or Medicare
  • Individual health insurance purchased directly or through an insurance broker
  • Children’s Health Insurance Program
  • If you are under the age of 26, you may be able to continue coverage under your parents’ insurance plan

“If you need financial assistance or feel you can’t afford health insurance, contact us,” says Stueve. Our financial advisors are here to answer your questions and help you navigate your options.

Do you need to speak with a financial advisor in Nebraska Medicine?

a call 402,559,3140 or 888.662.8662 to schedule a personal or Virtual appointment.

Leave a Comment