In this day and age nothing is cheap or easy to purchase. Be it a product, service or an insurance, nothing is easy to opt for, not even health care. Yes, you read it right. Health care is no more served as a basic necessity, it has been converted into a profit maximization business. Private hospitals have been established all around the globe offering better services with highly paid, experienced doctors and surgeons for which patients are charged high fees.
Public hospitals have failed to maintain the desired standard of health care services, especially in third world countries. However, this is yet another never ending debate but the question is if not everybody can afford to get treated at a private hospital then can everybody afford health insurance?
Many insurance companies have compelled people to believe that the middle class can’t afford health insurance and this is what the article stresses over.
‘I can’t afford health insurance what are my options?’, this is what brought you here, right? Well, you’re just at the right place to find some hacks and alternatives so do not panic.
Licensed health agents can help you find a way out.
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Health insurance subsidy
If your income level is under a certain level then there’s a very good chance that you can qualify for a subsidy on the exchange.
A health insurance subsidy is financial assistance that helps you pay for availing health care facilities. It is not a loan so you don’t have to pay it back. There are two types of health insurance subsidies available from the federal government for individual health insurance plans namely the advanced premium tax credit and cost sharing reduction.
Advanced premium tax credit
It is a type of health insurance subsidy that lowers your monthly health insurance payment, or premium.
Cost sharing reduction
This type of health insurance subsidy offers a reduction on the out-of-pocket costs that you pay during a policy period, which is most likely to be a year, for health care services you avail. This includes your coinsurance, deductible and copays, which all add up to your out-of-pocket maximum.
Moreover, applying for a health insurance subsidy will be part of the health plan buying process.
Can you get a health insurance subsidy?
If you can get a health insurance subsidy or not is dependent on a few factors. Firstly, your income is checked to see how it compares to the Federal Poverty Level. Secondly, your family size is noted and thirdly, it is accessed how much health insurance costs where you reside.
However, the main factor is your monthly income. Qualifying for a subsidy requires you to make up to four times the Federal Poverty Level which is about forty seven thousand dollars for an individual and ninety seven thousand dollars for a family of four. And if you’re an individual who makes about twenty nine thousand dollars or less or, a family of four making about sixty thousand dollars or less, you can even qualify for both subsidies.
If you successfully get a health insurance subsidy, you will have to report it when it’s time to file your taxes through a form that has all the required information.
Catastrophic Health Plans
A cheaper catastrophic or short-term health plan may be right for you if the exchange is too expensive for you. Even though regular doctor visits are not covered by the catastrophic health plans, they will protect you in unfortunate events of accidents or a bad diagnosis.
This is a type of a health insurance subsidy or a health plan that offers coverage for preventive care as well as coverage in unfortunate times of emergencies. These health plans usually come with low monthly premiums and a high deductible.
Keep in mind that you must be under thirty years old to qualify for a catastrophic plan or aid the marketplace determine that you are not able to afford health coverage by getting a hardship exemption.
A catastrophic plan is a great way to still have coverage, but not pay the amount that most major medical plans cost. You have the money saved in the case of a serious medical issue (since you have to pay completely out-of-pocket before you meet your deductible).
If you and all other individuals covered by your health plan are under 30, you may be eligible to purchase a catastrophic health plan. If you are over 30 and interested in catastrophic health coverage, you must qualify for a hardship exemption.
There are chances that you may qualify for this type of health insurance subsidy if you have little or no income through a state agency and often ask yourself, ‘I need health insurance but I have no income.’
Millions of Americans are provided with health coverage by Medicaid. These people include eligible low income adults, pregnant women, elderly adults and people with disabilities. According to Federal requirements, Medicaid is administered by states. The States and Federal government jointly fund this program.
Health insurance is a need of every citizen but only a few are able to get their needs fulfilled while the rest look out for alternatives or settle for less.
Free health insurance is everybody’s dream but not a possibility in today’s world so if you are someone who is looking for alternatives or an affordable health insurance then health insurance subsidy is an opportunity waiting for you.
You no longer have to sit back and ask yourself, “I can’t afford health insurance what are my options? “