When it comes to PPO plans for health insurance, there are many aspects that might cause concern or frustration. Chief among these is the existence of high PPO deductible costs that make many consumers feel like they are not getting good value for money with their insurance plan.
It can be very disheartening to be slapped with a huge hospital bill after you have paid through the nose for health insurance, just because you need to meet a high deductible. Given that deductibles on all forms of health insurance plans have risen significantly over the past decade, finding a zero deductible PPO plan may seem like an increasingly elusive ask. However, it is far from impossible. Read on to find out if zero deductible PPO plans still exist, and whether you can access them.
1. High vs Low Deductible PPO Plans
First, it is worth breaking down what is a PPO insurance plan and what it means to have one with either a high or a low deductible. As you may know, the deductible is the amount you have to pay out-of-pocket before your insurance kicks in. For example, if you have a deductible of $2000, then this is how much you will have to spend on your healthcare in a given year before your insurer covers the rest of your costs.
Bear in mind that the deductible is charged on top of your monthly health insurance bill and is separate from it. In addition, your deductible may not be the only out-of-pocket expense you are subject to, as you may be subject to copays. A high deductible plan is one with a high amount you have to pay before your insurance kicks in.
However, as a result, your monthly insurance cost will be much lower. Zero deductible plans will have no deductible at all, meaning that your insurance will instantly cover your expenses from the first dollar. However, such plans tend to be very expensive.
2. Do Zero Deductible Plans Exist?
In a nutshell, zero deductible plans do exist. Many providers offer them and they are generally available to all customers. However, the reason why you might not have been offered one as part of a PPO plan is that they generally are not as good as they sound.
Invariably, zero deductible plans are expensive and usually have the highest premiums attached to them. They are rarely offered as part of employer-provided insurance, especially since many employers prefer to pass on insurance costs to employees through high-deductible plans.
3. What is The Best Option for Me?
Put simply, a high-deductible plan is a good option if you are generally healthy, are not involved in a dangerous occupation, and do not have large and frequent medical costs. You will pay lower premiums and are generally more likely to save a lot of money over the long-term.
However, if you have a chronic condition or anticipate injury in your life, or have a large family with complicated health needs, you might find that a zero deductible plan with high monthly premiums is more manageable.
Your Health Insurance Questions, Answered
Understanding the right deductible for your PPO plan is essential for making smarter health choices. If you are wondering more about what is a PPO plan good for and how you can get a plan that matches your needs and budget, you have come to the right plan. To get an instant free quote for health insurance based on your needs, simply click here.