This post was contributed by a community member. The views expressed here are the author's own.

Health & Fitness

Put Your Money Where It Belongs…In Your Pocket!

When it comes to health insurance, I'm a big proponent of not giving any more of our money to the insurance companies than we have to. They do just fine without us overspending for coverage....

When it comes to health insurance, I’m a big proponent of not giving any more of our money to the insurance companies than we have to. They do just fine without us over-spending in the form of premium payments for our coverage. 

Most people are focused on the wrong benefits when it comes to their health coverage. I can’t tell you how many times someone has started a conversation with “I don’t want anything with too high a deductible!” 

“Okay,” I reply, “How much would like to spend on your premium?” 

Find out what's happening in Duluthwith free, real-time updates from Patch.

“I want to keep that as low as possible,” is always the response. Ah-hah! It’s the old cake and eat it too syndrome. We all want the best, but rarely want to pay for it. 

The fact is most people don’t need the best, and they pay too high a premium for benefits they never use. Most people want to be able to see their doctors and buy their prescriptions at an affordable cost and to make sure they have adequate coverage in case something catastrophic happens.

Find out what's happening in Duluthwith free, real-time updates from Patch.

That’s it. It’s not rocket science and you don’t have to pay an arm and a leg to get the coverage you need as long as you’re in relatively good health to begin with. 

I like the HSA-qualified health plans on the market today. The HSAs (Health Savings Account) have a single deductible for the entire family, and once that deductible is reached, the plan pays 100% of all medical costs, including prescription drug costs. 

More importantly are the tax advantages that come with the HSAs. A family can put up to $6,150 a year into their Health Savings Account, and whatever amount they put into the account is 100% tax deductible from income. Not a bad a write-off! 

However, HSAs are not for everyone, and you should talk with a health insurance specialist to find out if it’s the right plan for you. For instance, there are no copays with HSAs. You pay network rates for your services, but monthly premiums are typically lower than traditional copay health plans. 

Also, all medical costs – including doctor visits and prescriptions – are applied directly toward the deductible, so in the case that something were to happen outside the norm, you and your family have 100% coverage on everything once you reach the deductible. 

And here’s the clincher! Instead of sending a higher premium to the insurance company each month, you have the option of putting your money in your savings account to help offset any medical expenses that come along. And the money in the account rolls over each year, which you can invest and earn interest on just like an IRA or 401-K. 

That’s putting your money to work for you, rather than sending it off to the insurance company and never seeing a dime of it again! 

If you’d like to find out more about HSAs or other health insurance plans available in the market today, you can reach me by calling 404-444-9383, or send me an e-mail at bgmaguire@charter.net.

Bill Maguire

We’ve removed the ability to reply as we work to make improvements. Learn more here

The views expressed in this post are the author's own. Want to post on Patch?