FAQ: Do Discount Health Providers Have Poor Claims Service?

Posted in Health Insurance

September 25th, 2009

When it comes to health insurance, if you’re not getting it from your employer, you’re probably paying for it out of your own pocket. That means you want lower-priced health insurance – in fact, you may want the lowest-priced health insurance possible, depending on your budget. While cheaper health insurance may make you happy, it’s important to remember the old saying, “You get what you pay for.” In this sense, lower-priced health insurance providers may be affordable, but they may be lacking in many areas. Many lower-priced health insurance providers may have poor claims service, for example.

Beware of Bad Claims Service

Health insurance is like most other industries or businesses in that the less you pay for, the less you will probably get back in return. Lower-priced health insurance providers are offering you cheaper health insurance, and in the final analysis it is always better than not having any health insurance. However, you may see that your dollar spent gets you less than stellar performance in terms of customer service, for example, or the quality of the doctors and medical facilities that contract with your low-cost health insurance plan may not be as good. You may also notice problems with your low-cost health insurance provider’s claims policies, procedures, and personnel.

Their policies may exclude all kinds of coverage that more expensive health insurance plans would cover. You may find that the procedures your low-cost health insurance providers operates under are less than user-friendly, and that the personnel employed to assist you with your claims are not as efficient, or even knowledgeable about their company’s policies as you’d like. That could lead to claims filing headaches if you are given erroneous information.

Before you enroll in a lower-priced health insurance provider’s plan, be sure to consult with an objective health insurance expert.