First you gotta
understand the basic terms. Beyond that, it's really not rocket science.
Everything you need to know about health insurance can be found in the wisdom of
game shows.
(Don't) Press Your Luck - Watch Out for Hidden Whammies
Ever wonder why some insurance
plans are a fraction of the cost of others? These, too good to be true, plans
are full of hidden Whammies.
Remember the Whammy from the game show Press Your Luck? He was the little red
devil that ran around the board stealing the contestant's money. They never knew
where he would pop up, but when he did, the contestants always lost money.
Those super-cheap health insurance plans can be loaded
with Whammies. Here are a few places to look for the little devil:
Whammy #1:
Prescription deductibles
Some plans have prescription deductibles as high
as $1,000. If you take a monthly brand name medication, this Whammy can really
take a bite out of your budget.
Whammy #2: Per occurrence
deductibles
You may never get hit by this Whammy, but if you
do, it will be at the worst possible time. Per occurrence deductibles can be
tacked on for things like out-patient surgery, hospitalization or maternity
coverage. All instances when your bill was probably subject to deductible
anyway. That makes this a Double-Whammy.
Whammy #3: Limited office visits
This Whammy limits the
number of times you can use your co-pay to see the doctor. If you exceed that
allotment, you stop paying your co-pay and start paying the full bill. Just
imagine the Whammy wearing doctor's scrubs while he counts your money.
Mack-Daddy Whammy: First dollar plans
If your plan doesn't list a doctor co-pay, then you have a
first dollar plan. That means you will pay ALL of your medical bills until you reach
your deductible. Each time you go to the doctor, every prescription you have filled,
every medical treatment you need. You pay the full cost right
into the Whammy piggy bank. No wonder the plan is cheaper!
On the flip side, if you are trying to lower the cost of
your health insurance, try adding a few Whammies to your plan. Just be sure you
know what you're getting. No (hidden) Whammies!
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