Navigating the Health Insurance Landscape by Robert Adziashvili - HTML preview

Navigating the Health Insurance Landscape

4. ACA: High Deductible Health Plans (HDHPs) An Alternative to consider

Hi gh D educ t i bl e Heal t h Pl an s ( HD HPs) c an be a great al t ern at i v e t o t radi t i o n al heal t h i n suran c e pl an s fo r t ho se l o o k i n g t o sav e o n t hei r heal t hc are c o st s. Wi t h an HD HP, yo u'l l hav e a hi gher deduc t i bl e t o meet befo re yo ur i n suran c e c o v erage k i c k s i n , but t he mo n t hl y premi ums are gen eral l y l o wer. Thi s mean s t hat i f yo u're gen eral l y heal t hy an d do n 't requi re frequen t medi c al c are, an HD HP c an hel p yo u sav e mo n ey o n yo ur i n suran c e premi ums.

O n e adv an t age o f HD HPs i s t he o pt i o n t o pai r t hem wi t h a Heal t h S av i n gs Ac c o un t ( HS A) . An HS A al l o ws yo u t o set asi de pre-t ax do l l ars t o pay fo r yo ur medi c al expen ses, whi c h c an pro v i de addi t i o n al t ax ben efi t s. Pl us, an y un used fun ds i n yo ur HS A c an ro l l o v er fro m year t o year, al l o wi n g yo u t o bui l d up sav i n gs fo r fut ure heal t hc are n eeds. Ho wev er, i t 's i mpo rt an t t o c areful l y c o n si der yo ur heal t hc are n eeds an d budget befo re c ho o si n g an HD HP, as yo u'l l n eed t o be prepared t o c o v er t he hi gher deduc t i bl e i f yo u do requi re si gn i fi c an t medi c al c are.