Affordable Health Insurance in Texas is Available If you Eliminate Co-Pays

Posted on January 20, 2012 by Charles F Peeler Jr

Choosing the right affordable health insurance in Texas can be challenging. Unlike the old days when you could find a policy, pay a small deductible and be covered, health insurance plans today are confusing. There are doctor’s visit co pays, coinsurance, deductibles and even excess charges. Who knows what you’re really getting when you pay your monthly premium. Luckily, affordable coverage is available if you eliminate co-pays and simply pay a monthly premium and a single deductible.

Co-pay Plans Can Be More Expensive

Believe it or not, co pay plans can actually end up costing you more money in the long run- in most cases, as much as 20 to 30 percent more. Here’s why. When you purchase a policy that entitles you to pay a co-pay each time you visit the doctor, you’re actually paying more than a plan that applies those charge to your deductible. In other words, every time you visit the doctor, you pay $35.00. If you have a growing family, over the course of a year, with checkups, illness and frequent visits to the doctors, you can end up spending hundreds, even thousands of dollars on co-pays. Keep in mind, you still have to meet your deductible for services not included in the co-payment and the premium for a co-pay plan is typically higher than the same plan without co-pays.

Now consider a plan where you eliminate the co-pay. You visit the doctor and pay the negotiated amount up until the deductible is met but once met you pay nothing. True, you have a higher deductible, but your premium is significantly lower. In the end, the people who purchase the plan with co-pays may end up spending 30 percent more for the same services. We have documented evidence ( our own personal claims) that by the time you pay something like a $30 co-pay there is about $30 or $40 left for the medical plan to pay. That’s not much.

Catastrophic Texas Health Insurance as a Solution

Quite a few people inTexasare starting to realize the value in choosing catastrophic health insurance as an option for saving a few hundred dollars a year. These plans eliminate the co-pay and as a result, the annual savings is significant. The deductible tends to be a bit higher but don’t forget, you save the $20 or $30 dollars each time you visit your doctor. Over a year, the savings is still more than if you had to pay a co-pay. Besides, with a lower premium, if you have a healthy year and don’t visit your doctor often, you won’t be paying the deductible and you’ll be able to keep more money in your pocket where it belongs.

HSA Qualified Plans

Another alternative to the traditional co-pay plans that Texans are taking a second look at are the high deductible Health Savings Account (HSA) qualified plans. These plans give you the flexibility to save even more money by offering low premiums with a tax-free investment feature that you can contribute to. The money grows tax free and unused funds roll over every year maximizing your savings. There are no co-pays and doctor’s visits are covered as long as you meet your deductible. Plus, unlike other plans, with an HSA there are no multiple deductibles.  

Finding affordable health insurance in Texas is easy if you eliminate the co-pays. Texans are beginning to see the value in choosing catastrophic health insurance or high deductible HSA qualified plans to save more money and put their health care dollars to better use.

Examples of How This Works

Normal traditional doctor co-pay plans have something like a $30 visit co-payment. These plans also have a deductible to meet for charges outside the doctor visit like x-rays and lab test, keep in mind on all plans preventive care and charges incurred are covered 100%, no co-payment or deductible, the deductible is most often per person, per year up to 3 deductibles per family. Also most co-pay plans pay about 80/20% after the deductible.

Now, if you visit your doctor for the flu he will charge the $30 payment on his lets say $120 fee but because he is a network doctor (most are) the fee is negotiated down to $65, which leaves you paying an additional thirty five dollars for the visit.

With an affordable catastrophic health insurance plan in Texas the plan will the deductible will be per family, per year and most plans pay 100% after the deductible. You still get the preventive coverage benefit covered “first dollar”. This type of plan will price out somewhere about $200 a month cheaper for a family of 4 or 5. That’s called savings.

What could you do with an additional two grand a year? To see if a catastrophic HSA type plan will work for your family visit our website for instant, live affordable health insurance in Texas quotes.

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