Expensive Employer Insurance Plan Alternatives

Over the past several years, the average cost of traditional employer-provided health insurance plans has steadily increased. Matching this increase in cost, the number of insured Americans has steadily declined. As a result, many Americans have found themselves searching for employer insurance plan alternatives so their families can have quality insurance while still remaining within their budget.

Subscription-based healthcare allows patients to pay a fixed amount monthly, quarterly, or even yearly, for access to a high-quality healthcare network at a price lower than traditional plans. High-deductible health plans coupled with health savings accounts have the advantage of lower premiums and give you the ability to contribute to a nest egg over time. Of course, there is a myriad of other options available in the health insurance marketplace, and an expert can help you navigate these options to find the best fit for you and your family.

1) Why may someone need an alternative to an employer plan?

While getting insurance through your employer has traditionally been the most common way in which Americans obtain health insurance, there has been a very evident shift away from this norm over the past decade. However, rather than obtaining health insurance elsewhere, many Americans are opting to go without insurance altogether. It was recently found that around 44 million adults in the US do not have health insurance. There are several reasons for this, but the main reason is simply that the average cost for health insurance has risen dramatically over the past decade. In fact, individual premiums have risen 58% since 2010. On top of this, employees in the US are finding that their salaries are not increasing at pace with inflation, making these increases in premiums all the more difficult for the average American to cope with. 

Of course, most Americans would rather have health insurance than go without it, but many are unaware of what alternatives are available to them outside of what is offered by their employer.

2) Subscription-based healthcare 

A subscription-based plan is simply a health insurance plan in which patients pay a fixed amount every month, quarter, or year. For this fixed payment, patients gain access to a high-quality healthcare network. The cost of these plans tends to be significantly lower than traditional plans, making it a great option for families who cannot afford traditional plans, freelancers, or small business owners on a tight budget who still want to provide quality benefits for their employees. The average cost for a subscription-based plan is around $100 monthly, and this payment will typically cover services including regular checkups, tests, and consultations. Specialized services may not always be included in these plans, but as they are the types of services you are much less likely to need, going without them may suit your current situation just fine.

3) High-deductible health plans and health savings accounts 

High-deductible health plans have significantly grown in popularity over the past several years. With high-deductible health plans (HDHPs), you pay a higher deductible than you would usually pay for a traditional plan. Deductibles are the amount you pay before your insurance kicks in to cover the rest of your medical expenses. While on the surface this may not sound appealing, by paying a higher deductible, your monthly premiums become much lower. 

HDHPs are coupled with health savings accounts, or HSAs. With an HSA, any money you put in and do not use for medical expenses remains in the account, leaving you with the freedom to invest. You are the owner of the HSA and any money that goes into it, so it goes wherever you go, whether that means leaving your current job or switching to a new industry entirely. With HSAs, there are no taxes on account contributions, account earnings, or withdrawals for qualifying medical expenses. After you reach age 65, HSA withdrawals can be made for any reason. So while HSAs are used to pay for your eligible medical expenses, they also help you grow a nest egg over time. 

4) Search the health insurance marketplace for employer insurance plan alternatives

Fortunately for Americans, there is no shortage of private health insurance plans available in the health insurance marketplace. The health insurance marketplace is an online resource where Americans can shop around for private health insurance plans. There is a massive amount of options to choose from, and the marketplace makes it easy to compare the advantages and disadvantages of each plan. Thanks to the Affordable Care Act, plans cannot deny somebody coverage or increase premiums because of a pre-existing condition, making more plans widely available.

If you find the wide variety of options available in the health insurance marketplace a little too daunting to work through on your own, our experts here at the Lighthouse Group are ready to help! We can help you sift through what is out there and break down complicated concepts so you know exactly what you are or are not signing up for. We will help you find the option that best fits the medical and financial needs of you and your family, guaranteed. 

You can still get affordable, high-quality coverage

Employer-provided health insurance plans are becoming more expensive, leaving a concerning amount of Americans uninsured. Luckily, there are plenty of affordable employer insurance plan alternatives for patients to explore. Contact Lighthouse Group to find the absolute best plan for you and your family today!