Top 6 Things To Keep in Mind When Comparing Health Insurance Providers

Posted in Health Insurance

November 25th, 2009

According to Harvard Medical School, 45,000 people die annually because of their lack of health insurance. Staggering statistics and the overall difficulties preventing consumers from accessing affordable health care is currently being addressed by our government in the battle for health care reform. Until any of those regulations and new programs take affect, states will determine how individuals can secure health insurance and options are generally limited to:

• Employer Coverage
• State managed high risk pools
• Individually purchased private insurance

The number of people expected to purchase private insurance is expected to rise since employers are cutting health insurance benefits.

Top 6 Health Provider Considerations

Americans need to know how to compare health insurance providers in order to make the most appropriate choice.

• State Laws -The laws of your local state govern your selection of health care provider options. You need to first familiarize yourself with your rights as a policyholder and to find out exactly how your health care provider can determine your premium, coverage options and the reasons you may be denied health care coverage due to preexisting conditions.
• Consumer Confidence – If you are comparing health insurance companies, you need to conduct your due diligence and search sites such as the Better Business Bureau and JD Power. By checking what consumers are saying about their health care experiences, you have a better chance of finding a quality provider.
• Standings with local Department of Insurance – Your local department of insurance website lists all the complaints filed against local health insurance companies. If you discover nothing but horror stories regarding denied claims, claim caps and bad customer service, think twice about choosing that provider.
• Financial Health – Insurance companies need to be in top financial shape in order to have the funds necessary to pay off claims. A.M. Best Company can make the task of checking the books easy – just search for the provider in question and look for an “A” rating.
• Consumer Reports – For decades, consumers seeking independent advice for all their shopping needs have relied on Consumer Reports for the scoop. The company now has a website dedicated to all things health and you can learn from their experience and research.
• Coverage Details – Options for coverage include a PPO, POS or HMO plan. You need to read and compare not only the type of plan but the specific details like claim limitations, deductible responsibility, coverage for prescription drugs and the handling of preexisting the conditions. Knowing how to compare health care plans will provide you with more valuable insight to consider

Do you have any other tips regarding comparing health insurance providers? If so, please feel free to post your comments and let others benefit from your personal experience.