5 Family Medical Insurance Mistakes To Avoid

Getting family medical insurance is important to ensure the health and welfare of you and your family. If you don’t understand what you are getting in to, you may be risking making costly mistakes. Here’s what you need to avoid.

Mistake 1- Not Having Basic Coverage

Many people think they can save money on their health insurance premiums by choosing to have only comprehensive catastrophic and emergency health insurance. While this is better than nothing it won’t do you any good if one of your children gets a common illness like strep throat or the flu. Your kids will still need to be treated and you will end up having to pay for it out of pocket. It’s a better idea to spend a few extra dollars to ensure you are covered with basic medical insurance as well as emergency medicine.

Mistake 2- Having Too Much Coverage

While having peace of mind that you are covered in any event, you could be flushing money down the toilet if you have insurance for every little thing. A basic policy that covers medical expenses, routine care, emergency care, surgeries, and hospitalization is more than enough. You can skip some of the extra benefits like discounts on vision or alternative medicine to save money. Vision benefits are great, but most plans will only offer you discounts available at certain places. Most times you can find great deals on vision even if you have to pay cash out of pocket and you can fare better than taking their discounts. Alternative medicine is also great, but how often will you utilize these benefits?

Mistake 3- Not Having Enough Coverage

While having too much coverage is an issue, so is not having enough. You may be able to save money if you choose a policy that has a lifetime stated maximum of $100,000, but if you or a member of your family needs to be treated for a major illness like cancer, you can reach this limit with just a few treatments. Don’t skimp when it comes to the lifetime benefits and make sure your policy covers possible contingencies like this.

Mistake 4- Having the Wrong Insurance

A high deductible means you will have lower premiums on your families medical insurance. However, if you need to use your coverage and you have a high deductible then it can be difficult to cover your medical bills. For small families who are in relatively good health it’s possible to not even meet the deductible each year. This means the insurance won’t actually cover anything. Make sure you are choosing the insurance policy that makes the most sense for your family needs.

Mistake 5- Keeping the Same Policy Without Shopping Around

Shopping for lower rates every few years only takes a few minutes and can end up saving you quite a bit of money. A lot of people just assume they don’t need to do this if they already have a good rate. This is another way of throwing money away. Take the time to compare your current policy with others out there at least every few years.

If you know what to avoid, you will know how to find the best medical coverage for your family. The best decision to make is an informed one.

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