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Archive for September, 2013

5 Things You Should Know About Health Insurance

In a few months, it’s going to become mandatory for people who have no insurance coverage to either purchase something for themselves and their families or pay a penalty, what the federal government calls a surcharge and what the Supreme Court calls a tax. Either way, something’s coming, and I feel you should know some truths about it all. Here’s 5 things you should definitely know.

1. Yes, you will owe something to the federal government if you don’t buy health insurance, but just how much? It’s not as bad as you might believe. Confirmed with the office of Senator Charles Schumer on New York, if you’re single it will cost you around $90 a year. If you’re married or filing as a family the amount is less than $300. To put both of those in perspective, you’ll pay more in taxes because of your cellphone and cable TV.

2. A major benefit of the health care plan is that you can’t be turned down for pre-existing conditions anymore. This is probably the biggest benefit of the health care plan because it was prohibitive against pregnant women and anyone who might have even a relatively simple disease like diabetes from switching jobs because they might lose coverage for upwards of 6 to 12 months, or a horrible disease like cancer that a family member might have and automatically be disqualified if you changed jobs.

3. How it’s going to work is that insurance companies already in your area will put together plans based on federal guidelines that will give you basic coverage for emergency services and inpatient coverage. There will be multiple levels, anywhere from 2 to 5 different plans for most insurances, so you can somewhat tailor what you want.

4. There’s nothing saying you have to purchase a federally backed health plan. If you’re a small business you should look into coverage through a local chamber of commerce as they often can provide lower group rates and more covered services based on having multiple participants in the plan.

5. If you buy your own health insurance, you actually get to write it off your taxes. That and any other medical expenses, as long as you keep all of your receipts. That means you just lowered your out of pocket costs for what is a very important investment in yours and your family’s health protection.