Tips For Selecting The Right Medicaid Insurance Plan
Shopping for health insurance is not an easy task, with it being so hard to compare plans with an apples to apples comparison. That's why it will help to know these tips when selecting a Medicaid insurance plan so that you can make a decision that's right for you.
PPO vs HMO
Your first decisions should be based on whether you want a PPO or an HMO plan. The main difference between these is how referrals work when you want to see a specific type of doctor. A PPO lets you visit doctors that are in-network and out-of-network, with out-of-network doctors costing you more out-of-pocket. Even if you do not visit out-of-network doctors, the option is still there for you in case of an emergency.
The other big difference is that a PPO doesn't require you to get a referral to see a specialist, while an HMO plan does require a referral by your primary care doctor.
Tier Networks
Are you looking to save money on your health care and not picky about who you see? Look for a health insurance plan that offers tier networks, which give you lower costs if you visit doctors and specialists that are in a specific tier. You are free to visit any doctor in any tier that you want, but there is a cost-savings benefit to you if you visit a specific doctor that your health insurance provider has identified as being cheaper.
Premium Vs. Out-Of-Pocket Costs
The key to finding a good Medicaid health insurance plan is striking a balance between your premiums and your out-of-pocket costs. In general, you are going to find that plans with a higher premium are going to have fewer out-of-pocket costs. However, you pay those premiums whether you use the insurance or not. A lower premium plan is going to have higher out-of-pocket costs when you visit the doctor, which can be great for those that do not have ongoing medical needs that require frequent doctor visits.
Deductible Vs. Out-Of-Pocket Max
Pay attention to each plan's deductible and out-of-pocket max. The deductible is what you pay on most services until your insurance kicks in. Once that happens, you typically split the cost with the insurance company on care until you reach your out-of-pocket max. Understanding the balance between these two things will help you understand how much you can expect to pay for health insurance in extreme situations where you really need to use it.
