Copyright
Pending
Why Should You Buy
Health Insurance?
The cost of
health care has risen drastically over the past few decades. If
you do not have medical insurance to help pay
bills, a serious injury or illness can be financially
devastating to you and your family. The most recent studies on
bankruptcy show that approximately 50% of all personal
bankruptcies are due to serious illness. Even if you are
ill for only three to six months the bills for
health care can total from $30,000 to $200,000 and much more
in some cases. If you don’t have health insurance
coverage you can be exposed to high health care bills; or, if
you have too little or the wrong kind of coverage, you won’t
have enough protection. Add this to the bills you were unable to
pay while unemployed and it is easy to see how bankruptcy
occurs.
What To Look For When Buying Health Insurance
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Do not sign an application for Health Insurance until
you review it carefully to be sure the answers are complete
and accurate. Make sure that the word “insurance” is
actually used and that there is no disclaimer stating that,
“This product is not insurance, nor is it intended to
replace insurance.” There are hundreds of insurance scams
occurring around the country offering coverage for $50 to
$130 to cover the whole family. Don’t get caught in a scam.
If its too good to be true, its too good to be true.
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When you buy an Health Insurance policy, make the
check payable to the company, not the agent. Always pay by
check or money order, and write your policy number on the
payment. Do not give the agent your bank account number for
automatic withdrawals until you have verified the agent and Health Insurance company background
information.
Tips for Avoiding
Fraudulent Health Insurance Plans
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The best tool for avoiding fraud is your phone. Call your Health insurance department and find out whether the
insurance agent and Health Insurance company
are licensed in the state.
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Fraudulent plans are most often sold through direct mail
solicitations, fax, radio ads or over the Internet, so be
especially wary when responding to these solicitations.
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If an Health Insurance policy costs far less than
what other companies are charging, this could be a warning
sign. It’s a good thing to comparison shop, but if a policy
is significantly cheaper, beware. If it sounds too good to
be true, it probably is.
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Beware of an Health Insurance agent or company that:
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Refuses to provide proof of state licensure.
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Insists on cash payments or automatic withdrawal.
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States this is a “one-time deal” or your “last chance
for special savings.”
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Boasts that the coverage is available to anyone,
regardless of history or risk.
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Verbally
states something is covered without showing you the
details in a company publication.
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Tells you no
other company provides this coverage or that the only
other company is much more expensive.
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Tells you
they can sell you any company but only has company
publications for one company.
If you want
to check the status of any company you can do so through the
Indiana State Insurance office at
http://www.ai.org/idoi/index.html
or the National Association of
Insurance Commissioners (NAIC) at
http://www.naic.org
Copyright Pending
If you
would like more information on healthcare you can go to the U.S
Agency for Healthcare Research and Quality at
http://www.ahcpr.gov/consumer/
