Get Your Health Insurance!

Released: Tuesday, January 19, 2010

By Mrs. Jennifer Spina

Options for Individuals without Health Insurance:

Many clients within the United Breast Cancer Foundation (UBCF) have financial difficulties.  One of the financial burdens is Health Insurance.   Some clients still have their insurance from their former employees as well as current.  In most cases that I have come across, these women don’t have any insurance at all or are paying for it directly out of their pockets.  This can become very costly.

Here are some options for those who are struggling with their insurance and/or need options when they do not have any at all:

Option 1: Speaking with an Insurance Broker

"Consumers should talk to a local insurance broker, or they [can] go online to a site like ehealthinsurance.com," said Ellen Laden, director of public relations for Golden Rule Insurance.

Laden also says, "With a broker, [clients] can talk about what their needs are, what their particular circumstance is and determine what the best solution is for them. You really need to talk to someone or do your homework."

Option 2: Health Savings Account

One option is the health savings account. Laden said they're not for everyone but can work well for some.

There are two parts to health savings accounts: a high-deductible health plan and a tax-advantaged savings account. The idea is to take the money you save on premiums and put it into a savings account that can be used for deductibles, vision and dental care, long-term health-care plans and more.

Laden used the example of a self-employed person, age 28 to 30.

"You work for yourself and you have to buy your own insurance," she said. "You get an HSA and you choose the $1,050 deductible. Let's say your insurance is $100 a month. Let's say your bill is $20,000. You have a $1,050 deductible. It's the second week of January and you haven't saved anything in your HSA."

In that case, the HSA-holder would have to pay the $1,050 deductible, which can then be deducted on the income tax return. The rest of the expenses for the year would be covered with no co-pay.

"Let's say you have one of those wonderful co-payment plans and a $500 deductible," Laden said. "You pay $500, but you also have to pay 20 percent of that $20,000. Right then and there, you're out of pocket $4,500."

The problem found with a health savings account is that they tend to be hard to manage and are mainly used by large companies.  If you feel you have a handle on your finances, this may be an option for you.

Option 3:  Blue Cross Blue Shield offering an open enrollment

One option that BCBS is offering is a special open enrollment for those without insurance. BCBS offers a few different plans for those who don't have insurance through an employer. The enrollment continues through November and allows individuals under 65 who aren't covered by other insurance to purchase a group plan.

The company also offers Individual Blue, a plan for individuals and families, and Blue Link, designed for those needing short-term coverage.

"Blue Link is a plan that's really for people who are between jobs.  They don't have another place to go. This is a bridge policy, typically for six months."

These plans might offer a more affordable option than something like COBRA, a government-based plan that allows certain individuals to keep employer-based insurance. With COBRA, however, the insured has to pay the entire cost of the plan -- the employer may have been footing the bill for as much of 70 percent of that -- plus 2 percent.

Laden noted that companies like Golden Rule, of which United HealthCare is an affiliate, offer plans that will cover big medical expenses like hospital stays, testing, etc., but not individual doctor visits or prescription drugs.

"Those kinds of plans, for example, you can get for less than $50 a month," Laden said.

The key, she said, is that one can't afford to be without some type of coverage, even if it's a simple plan to cover the more expensive medical things.

"No one wants to be in an emergency room without health insurance," Laden says.

Being without insurance is a risky thing and can become more of a financial burden without any at all.  An accident or sudden illness can be expensive for those without any coverage.

"There is affordable health insurance," Laden said. "What you want to do is make sure you are covered for those costly expenses that could put you and your family into bankruptcy."

If you or any one in your family needs health insurance, please visit the following website to get a free quote in your state:  www.indhealthplans.com.   Some of the plans listed on this website are as low as $50.00 per month.  No one can afford to be without insurance.