Choosing Affordable Insurance For Your Budget

Finding affordable insurance can be a daunting and requires doing a lot of homeworkInsurance but can be a crucial component for your peace of mind.  Searching for the right insurance can help save you out-of-pocket costs in cases of emergencies.  There are a few things to keep in mind that will help you find a plan you can live with. Here are the main factors to consider when shopping for insurance.

1. What can you afford per month or per quarter?

Most insurance companies will bill you either monthly or quarterly or yearly.  Analyze your budget and decide how much you can afford to spend per billing period.  Don't go above the figure you are comfortable with when deciding on an insurance policy. Also, consider what you think you would be able to afford in case of an unforeseen expense; if a sudden expense comes up, will you still be able to pay your bills? 

2. What is the deductible?

Health insurance almost always involves a deductible. This is an additional expense you will need to pay at the time of any services rendered. For example, you may need to pay a certain amount of money for a visit to the doctor's office. Also, many prescription drugs require a co-pay, meaning that you pay a share of the cost for the medication. This may be a fixed dollar amount, such as ten or twenty dollars per prescription, or it may be a percentage. Decide what you think you can afford in terms of deductibles and co-pays. Keep in mind that plans with high deductibles may still be a good deal; hospitals will work with you to figure out a billing plan you can afford. 

3. What kind of coverage do you need?

If you are shopping for auto or home insurance, there will be a certain minimum amount of coverage required by law. If you want extra coverage, you will pay more. It is up to you to decide whether or not you want the security of extra coverage. Health insurance is similar. The most basic health care plans are the least expensive options.. The less expensive policies generally cover hospitalization, emergency room visits, doctor's visits, and prescriptions. Extras include the ability to see a specialist, mental health care and pre-natal care. Also, dental and vision coverage are almost always separate from basic medical insurance. You will need to weigh what kind of coverage your medical condition requires and weigh this against what you can afford. 

4. Go with a reputable company

It is best to choose a policy from a reputable company. Do some research and find out if the company you are considering has a good track record, whether or not lawsuits have been brought against them, and whether they are fully licensed. Cut-rate insurance companies may tempt you with their low prices, but you may end up worse off in the long run. 

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