Having an insurance plan is a great idea, owing to the benefits that you receive including your family. If you search for the various insurance plans in the market, you will notice they differ in premiums. The difference can sometimes amount to several hundreds of cash.
The challenge you could be facing is deciding on which plan will give you maximum savings. The points below will help make that crucial decision and begin saving several hundreds of dollars on insurance plans.
Target the open annual enrolment season
During the annual enrolment season, you find different insurance companies scrambling for clients. One of the catch magnets they use is offering discounts or subsidies depending on one’s income. During the annual enrolment season, you have several choices to sign up from like the state, insurance company, online, or agents.
Check out for any discounts and you can save a lot of money, especially if you are taking a family cover. For example, if you look closely at the way Annual Open Enrollment Health Share Programs work, they give you cheaper monthly contributions based on the size of your household, your age, and your health status.
With health share programs, you can save more than $125 a month if you are single and above $500 a month if you are a small family. That translates to about 50% saving making health share programs one of the best plans to save on insurance.
Shop before you take any insurance
If you went to different grocery shops, you would notice a cost difference for some specific products. The difference is mostly tied to various factors like the cost of rent, the number of employees, the supplier’s cost, etc.
In the same way, there are different insurance companies and each has similar plans, but different costs. The reason for the difference is their annual targets, location of the firm, cost of claims, overhead expenditure, and so on.
The best approach you can take is to shop around and get quotes from at least three or four firms and see the cost difference. You might end up saving several hundreds of dollars on insurance plans.
Shop for alternatives
Most people are used to the traditional way of insurance. The challenge with traditional insurance is the continued rise in premiums each year. Market competition may force the traditional insurers to keep their premiums a little lower, but you may end up saving very little.
There are alternatives where you can save a considerable amount of money. Some alternative ways include primary care membership, health share program, health saving account, and medical service card.
For example, the health share programs negotiate for discounts with various doctors and health care centres so that their members receive discounted services and prescriptions. You also get help from the member’s pool of resources if the costs overwhelm you.
Shopping for insurance alternatives will be one of the best options you can use to maximize your savings on insurance plans.
Seek professional help
It can be difficult to understand all the insurance terms, packages, premiums, and benefits as you go through brochures, online information, or magazines. Save yourself the challenges by looking for a professional like an insurance broker.
Insurance brokers are experienced in the field and in most cases, they serve different insurance companies. The insurance broker understands well all the packages offered by different firms and they can give you a piece of informed advice out of the experience.
Above the knowledge, the insurance brokers can help you understand the differences in the various plans and help you choose the best that fits your budget and family unit.
