Health insurance is vitally important for a number of reasons. It may cover the cost of a heart attack, stroke, or cancer, and it can save a person from financial hardship or even medical bankruptcy. Additionally, it may pay for preventative services and treatment of new health problems. Choosing the right health insurance policy is a critical decision, and a summary of benefits and coverage (SBC) is an important document to review when comparing insurance plans.
Sum Assured
When choosing your health insurance plan, it is important to consider the Sum Assured. The higher the sum insured, the more money you will have available in the event of an accident or illness. It is also important to consider your age and health status, as younger people are less likely to develop certain illnesses and diseases. However, people who are in their forties or fifties should consider a higher sum insured as their risk of becoming ill increases as they age.
Coinsurance
Every health insurance policy has a clause known as coinsurance. This clause describes the amount that you will have to pay out of your own pocket for covered health care costs after the deductible has been paid. This amount is typically around twenty per cent of the cost of care. The rest of the cost will be covered by your Blue Cross plan.
In-network providers
When you’re shopping for health insurance, it’s essential to choose in-network providers, as these are more likely to accept your insurance plan. In-network providers are pre-approved by your health insurance plan and have agreements with the carrier to accept certain payment levels. In-network providers generally charge lower prices than out-of-network providers. However, out-of-network providers may not accept your insurance plan or charge you a higher amount than the negotiated rate.
Changes in income
A large number of studies have addressed the causal relationship between income and health. To account for endogeneity and heterogeneity in income, they have used instrumental variables. These instruments have included parental education, work experience, inheritances, and income transfers from former East Germany. Some studies have also used the local unemployment rate to measure income.
Changes in health
According to a recent study, people who have health insurance have better health outcomes than those who do not have health insurance. People who have insurance are less likely to be hospitalized and die from preventable diseases. Furthermore, if a person has health insurance, they are 25 per cent less likely to have chronic conditions. However, people who do not have health insurance face increased risks of death and disability. Fortunately, there has been a recent movement to reduce the costs for those who are uninsured.
Changes in employment
The effects of health on the economy have been recognized for years. Even to non-economists, the effects are obvious.
