Why Get Group Health Insruance
When it comes to health insurance, there are many options. In this article we will be looking at the benefits of group health insurance.
Group health premiums are subsidized by the employers in group health insurance. Half of the premiums of the employee should be contributed by the employer. So, if you are an employee of a company, then you can get a health plan that is richer for a premium that is less than what you would have to pay if you buy individual health insurance. It may not be beneficial to put all your dependents on your employers plan. Your dependent should then get their own individual health plans.
Large families or small ones have the same group health premiums. In the individual market, every family member pays a separate premium. For a big family, you get a better deal by adding every member to your employers plan. But it is best to consult with an insurance advisor before making any move.
In a group health insurance, you will not be turned down if you have a pre-existing health condition. Having a pre-existing health condition can disqualify you from an individual health plan but you can surely benefit from a group health insurance. There is a high price to pay even though it gives benefits to those with pre-existing conditions. In most states, individual health premiums are less expensive than group health premiums.
Most group plans cover maternity. If you want to have more children, you should consider going with a group plan. Maternity riders can be added to individual plans but they are quite expensive, restrictive and less value is provided than the coverage you get in a group health plan. If you plan to have more children, make sure to contact a health insurance advisor to ask what is best for your family. There is a different answer for each family.
Economies of scale benefit employees of large companies. The larger the group the larger the risk pool to share the risk. Then you can have lower premiums than individual health plans. The tendency is for large companies with good benefits to retain their employees for longer periods of time. When the average age of the group increases, then the premiums will also increase. Also, people with large medical needs tend to be attracted to large plans because they are guaranteed issue with good coverage. When the average age increases in time, employees with large health costs are getting attracted to it. This makes the premiums increase.
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