The original purpose for health insurance was for a group of people to band together to help one of the them pay a big health bill. A big bill would be one that would amount to one to ten or more years income. Let’s be honest, a bill that is less than three months income could be budgeted. That does not mean that it is convenient or not troublesome to change the budget. Just that the cost of including office calls and first dollar coverage will generally cost more than the bills that are covered. Also if a large bill should occur, adding a stop loss clause to the contract will pay all the bills after a set amount of covered expenses. As you can tell, we prefer catastrophic coverage. But we give you the option too choose.
A plan that pays a preset amount for each type of coverage, will soon not be paying for all of the bill. It does have the advantage in that the premium will remain the same.
The policy should have good prescription coverage. On average drugs are about 60% of the total bill for most illnesses. Not necessarily by a copay.
If your premium is lower than anyone else, there is generally a reason. Know what the reason is, so you can decide if the plan is the one for you.