Which is better, to pay health insurance premium monthly or yearly? Everyone needs health insurance. In my previous post, Obamacare means health insurance for every American. Whatever your age or whatever your financial status, you need it for protection. We should consider health insurance not an an expense. We should treat it as one of the most important “must buy” thing before we spend our money for something else. When you talked to an agent, he must suggest to pay your premiums in a yearly basis not on monthly basis. This means, your agent is aware on how much you can save money when paying for premiums.
The yearly health insurance cost in USA is cheaper than if you pay it monthly. You can also pay your premiums quarterly or after every 3 months. As a policy holder, you have the rights to choose the payment schedule of your premiums. If I were you, better to pay it in a yearly basis. Also, take advantage of HIPP in your local area. Every state has its own medical program.
If you are paying your premiums in a yearly basis, you will not only save money, but also, you will make sure that your insurance policy will not get terminated or expired. Thus, when you are sure that your policy isn’t expired, you will have a peace of mind in the whole year.
Health Insurance Premium Average Monthly Payment
The average monthly payment for your health insurance premium is depending on the coverage and riders. Some experts says, you should allot at least 5 months of your total cost of monthly hospitalization bills. You don’t have to guess, you better ask an insurance agent about the best plans.
When buying health insurance, you better compare the “insurance cost” of each companies. That’s why it is advisable to request a quote from different companies.
You can also avail individual policy for every members of your family if you just want to. Just in case one of them meet accidents, so that, the insurance company can help you for medical and hospitalization expenses. The average yearly cost of health insurance is depending on the insurance companies. In my case, I pay around $100 per year and it’s increasing every year.
Health Insurance Premium Tips
Paying your health insurance premium monthly can’t help you save money. Pay it yearly to avoid inconvenience. If you pay it yearly, you can save money compare to monthly basis. It is advisable to investigate the insurance companies when they sell you insurance even without medical check up.
Beware of scams, illegitimate insurance companies and unregistered agents. Do not be in a hurry. Although health insurance is very important, you must keep in mind that health insurance should be included when budgeting your finances every year.
Any other ideas on how to save money when paying health insurance premium? Share your ideas in the comment box below. Share this with your friends.