Major Medical Insurance Basics

 

major medical insuranceThe main differentiating factor between a normal or mini medical insurance policy and a major medical one is that a major policy will contain greater amounts of coverage and, therefore, is also more expensive.   The extra coverage you will receive in the eyes of most insurance professionals is well worth the extra cost, especially if you have a history of medical care needs.  To most people, a major medical policy Is well worth it and just  makes sense from a financial as well as peace of mind perspective.  Usually a Major Medical plan is packaged and sold together with a more comprehensive policy that provides broad-based coverage that includes preventive care protection.  This healthcare package will cover you for routine doctor checkups and small incidental visits to the doctor in addition to chronic and costly illnesses such as cancer, which can be extremely costly.

Major Medical Insurance Costs

 

Like most health insurance plans, Major medical deductible will vary widely and could be as low as $500 all the way to $10,000. If you are a healthy person who rarely if ever visits the doctor and presume your good health will continue, it might be smart to get a major medical plan will a high deductible, perhaps $2,000, which will help keep your monthly premiums lower.

In fact, for a healthy non-smoking male 23 years old, with an out of the pocket deductible of $2,000, he can expect to pay only about $49 a month for excellent coverage.  In recent years, many people have been using HSAs or Healthcare Savings accounts. These HSA’s are plans with a high deductible that fall under IRS guidelines that need to be followed stringently.  The benefit of the HSA is that is allows an individual to save funds in the account, which will be non-taxable and then those funds can be used as needed for medical care costs.  Many famous doctors in recent years such as Dr. Benjamin Carson have lauded the use of private Healthcare accounts as a way for people to take personal responsibility for their medical care costs and more importantly to lower the rising cost of treatments and hospital care.  It is too soon to tell whether major medical plans tied to HSA will catch on and become the standard, but it a viable option worth looking into.

Changes to Major Medical Plans     

For decades, almost all major medical plans carried with them maximum caps that were usually between $1,000,000 and $5,000,000 of coverage.  For most this was adequate coverage, but for those with chronic diseases or catastrophic injuries such as a severe spinal rupture that requires around the clock care, it simply was not enough and often led to a disruption in care and in some cases premature death.  Due to the 2010 Affordable Care Act initiated by President Obama, caps on policies were banned and today almost all of the top healthcare companies have stopped the practice.  In 2014, the practice of caps on care will be unlawful.  In addition, individuals with pre-existing health conditions such as lung cancer can’t be excluded of coverage due to the ACT or more commonly known as Obama care.  This law has helped those most in need of coverage get and keep lifesaving care.

Helpful tips to getting the right Major Medical Coverage   

Always remember to check the prescription drug coverage in your plan as most will carry a different deductible and separate amount of co-insurance.  Also, it is smart to check if your plan carries maternity coverage as most do not.  If you plan on starting a family any time soon then make sure, you get this added.  Now that you have learned a bit about the benefits of major medical insurance policies, get a free online quote.  Prices vary from company to company so make sure you check rates with at least five health insurers prior to purchasing your policy.  Get your free quote now.

Major Medical Insurance – Is it right for you?

 

Today, more than ever, there seems to be a myriad of health insurance choices available.  Trying to figure out what’s best for you and your family can be at best confusing. Lets take an up close look at a type of health coverage that provides an additional layer of protection, Major Medical Insurance.
We all hope for the best but are we protected from the worst?  This is an important question to consider.  In a worst case scenario, Major medical coverage will provide you insurance for any expensive operation or long term recovery in rehab.  So by it’s nature, this type of health insurance provides a broad umbrella of protection over any unforeseen costs, whether that be a car accident or cancer treatment.  As a result of the comprehensive benefits that are included in these plans, the deductible is usually more than normal medical plans.  Additionally, the premiums in almost every plan offered will be a bit more expensive.  Health Insurance companies charge more for this type of extensive coverage because one massive accident for example, with a hospital stay for several weeks, could cost the insurer many hundreds of thousands of dollars and in rare instances well over a million dollars.  Most health insurers have policy limits of near or about one million dollars but in the event you were in a serious accident you would need much more coverage, especially if you needed therapy and rehab for several years.  Also, it is important to note that many insurers have what is called an incident cap, meaning that for each procedure there is a limit that you could potentially bump into.

Comprehensive Major Medical Plans

Major Medical has no caps and there are no limits, so for many people that provides peace of mind and also could very well save you a lot of money.  For example, let’s say you need to have brain surgery that costs $125,000 and your insurer has a cap at $75,000 on this procedure. That would mean in addition to the stress and trauma of surgery, you would be faced with a huge $50,000 medical bill that you would be obligated to pay.  Talk about a stressful situation.  If you ever face a massive medical procedure or treatment, you will surely be glad you paid for Major Medical coverage because the financial benefits received far outweigh the small increase in premiums you would have paid to the insurer.  The Insurance companies offer this type of coverage because the chances are very low that you will ever need extremely expensive medical care.  The companies use sophisticated algorithmic models to determine the statistical chance of you getting hurt or sick based on a number of factors such as age, sex, smoking habits, and even the area you live in.  The Insurance coverage in most plans only kicks in when a cap is exceeded for the underlining health insurance plan.

Shop for the best Medical plans online  

So for anyone shopping for health coverage, a major health insurance plan should be strongly considered. If you can afford the extra premium costs and
you want that extra sense of security from the unexpected, then it only makes sense to purchase this type of Medical insurance.  Compare rates now and see how much you can save on health insurance online.  Get a free quote now and get special discounts up to 50% in just a couple of minutes.