5 reasons why you should buy private health insurance.
How do you know if you need private health insurance? If you’re thinking about taking out private health insurance, it can help to understand the different types of cover available and how they can be beneficial to you. Below are 5 reasons why you should buy private health insurance to help guide your decision-making process.
1) Don’t wait for emergencies
The good news is that health insurance can offer some degree of protection against unpredictable medical costs. And while there are various options to choose from (for example, high-deductible health plans that have lower premiums but higher out-of-pocket costs), virtually all health insurance will help pay for unexpected procedures and keep your medical costs low. The more educated you are about health care—and what it means to have health insurance—the better off you’ll be. If you’re considering purchasing private healthcare, consider these five reasons as to why it’s so important to buy health insurance sooner rather than later.
$1 Billion a year in NSW alone: Healthcare costs vary based on many factors, including geography and age demographics. On average in Australia , however, we spend $20 billion on healthcare per year . At least 20% of that goes towards hospital cover or public health spending . For every household with private health insurance policies , though, an additional $1600 per year gets spent across Australia . That amounts to $1 billion a year in NSW alone! While these numbers are high and rising, not everyone needs to rush out and purchase a policy right away – especially if they already have one through their employer. But if you haven’t considered your own level of coverage yet – perhaps now is a good time?
2) Save money
Health coverage is an investment in your future and a way to save money on healthcare costs. Health insurance plans are not all created equal; they vary widely in their coverage, cost, and consumer satisfaction. And while Medicaid has recently become available to many low-income individuals, health care is largely underfunded by government programs; emergency room costs can be prohibitively expensive for low-income families. If you’re buying individual health insurance or looking into your options for employer-sponsored health benefits, it’s important to do your research before making a decision so that you end up with a plan that gives you adequate coverage at an affordable price.
3) Choose your own doctor
What if your employer buys a health insurance plan that doesn’t offer access to all of your family’s doctors? This is common; it’s called tiered or limited network health insurance. If you are in a situation where your current employer-sponsored health plan gives you limited access to physicians, consider buying private health insurance. Keep in mind that there are two types of medical providers: In-network physicians will be covered by your plan, but out-of-network providers won’t. If you want full access to all of your doctors, buy private health insurance from an insurer with national provider networks like Cigna.
4) Flexible cover options
Private health cover gives you a variety of different levels and types of cover, allowing you to pick one that suits your circumstances best. Some policies have no waiting periods and allow parents to extend their cover to children up to age 25. This allows parents who are healthy enough to take advantage of lower premiums while covering their kids. Alternatively, if someone in your family has a pre-existing condition, many policies offer special provisions for them. Make sure you’re familiar with what options are available as well as any restrictions before choosing a policy. Check out our list of health insurance plans for detailed information on what each policy covers and its eligibility requirements. Health Insurance Plans – What’s covered?
5) Extra cover options (holidays, injuries etc.)
An important part of any health insurance policy is ensuring that you have adequate cover to protect yourself. In Australia, an injury or sickness from your everyday life can be covered by a number of different policies. Speak to a health professional about your extra cover options and remember, it’s worth paying for quality cover as opposed to cheap cover. We all know what happens when we compromise on quality! You are far better off paying for top class health insurance plans that do exactly what they say they will do, than buying cheap policies with limited coverage.