Health Insurance Elizabeth New Jersey NJ
Reader’s Question:
We have a friend who bragged to us that he had reduced his health insurance by 40 percent by increasing his deductible. Is that possible? How do you do that with health insurance in Elizabeth New Jersey NJ? I am pretty clueless with insurance issues so thanks for the advice from anyone.
Herman
Elizabeth, NJ
Welcome Herman,
Be careful with this idea. My guess is that your friend has an excellent medical history and a healthy lifestyle. He has elected to lower his health insurance carrier’s exposure and increase his own. This is an option is most health insurance policies, but it is not a quick fix to be taken lightly. You should meet with your health insurance agent in Elizabeth New Jersey NJ and get relevant information and even statistics. You may also want to review the past few years’ health care costs. Total your premiums and then compile your out-of-pocket expenses for each of the past three years. Basically you are compiling your personalized health insurance experience rating.
That information will be very useful when deciding whether or not to increase the deductible amount of your health insurance policy. If you deductible is $250.00 and your history persuades you to increase your deductible to $1,000.00 or more, your health insurance premiums will drop substantially. You might want to set aside an emergency fund as a reserve. Of course, it can be earning interest while you live healthy and save. Health insurance companies in Elizabeth New Jersey like subscribers who are healthy and living healthy. That is a way your friend has chosen to be rewarded, but it is not without risk. Best of luck for everything you have in Elizabeth NJ!
Tags: health insurance, health insurance deductible, health insurance premiums
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