Cheapest is Best!? Don't Need Health Insurance Now!? Debunking Common Myths About Health Insurance
The biggest mistake people make when discussing health insurance is assuming they don’t need it now due to youth or because they automatically get coverage via another policy, e.g., from their employer. The truth is health insurance plans have their unique areas of coverage and premiums traditionally increase over time.
Today we will be discussing some common myths about health insurance and debunking them by presenting real-world facts for clarification.
Myth #1: “Health Insurance is Only for Older People”
Many people ignore the fact that the risk of illnesses and injuries are all around regardless of age and erroneously jump to the conclusion that health insurance is only important when they’re older.
No one can predict sudden illnesses or injuries that may happen, and lacking sufficient coverage will likely be a big problem due to potentially overwhelming medical bills. Additionally, the likelihood of developing what will later be considered pre-existing conditions gradually increase as you age, which not only means premiums will increase as you get older, but also some insurers will not provide coverage for those conditions.
You may have heard that some insurers will be able to cover pre-existing conditions but at the cost of what is known as a waiting period (a period of time after purchasing your health insurance plan in which you have to wait before you can claim benefits) or additional charges on top of the premium, but is that really worth it?
To save you from having to wait or pay more, it’s strongly advised that you secure health insurance as soon as possible even while you’re still young and healthy. That way, should you get sick or injured at any point in time, you can rest assured knowing that your medical expenses are covered, and your finances are kept safe.
Myth #2: “The Cheapest Health Insurance Plan Available is Obviously the Best”
Another common myth when it comes to finding health insurance plans is assuming all plans are equal, and therefore the cheapest plan is the best. While a low premium is understandably attractive at first, it’s important to take a step back and compare it to other available plans.
A cheap health insurance plan likely won’t have as many benefits, and the areas of coverage won’t be as broad. Thus, the cheapest plan may prove ineffective in the long run if you seek medical attention and then a particular procedure is not covered under the plan.
Before you decide on the cheapest plan around, remember to check out other plans first even if they are more expensive and switch from deciding based on price to deciding based on what medical treatments you would like covered.
Myth #3: “I Don’t Need to Compare and Contrast with Other Insurers”
While we’re on the subject of comparing multiple options, another common myth in health insurance is deciding on a particular insurer and only looking at the plans they have available. Another crucial part of securing a suitable health insurance policy is comparing and contrasting multiple insurers to get the best coverage possible, which will help save you money and ensure it meets your needs.
Let’s imagine for a moment that you are browsing through a large, well-known insurer’s website and you’re considering a particular health insurance plan that has very comprehensive coverage and benefits but is also considerably more expensive than the other plans available.
If that’s the case, much like deciding on a health insurance plan based on price, take a step back and do a little more research by comparing this plan with similar plans from other insurers first.
The reason is because while there are large, incredibly well-known insurers out there in the market offering comprehensive plans, there could also be other slightly lesser-known, but possibly equally reputable insurers, with more cost-effective plans that you might not have known about.
Myth #4: “I Already Have Health Insurance Under My Employer so I Don’t Need My Own
We’ve already discussed deciding on a health insurance plan based on price and not comparing it with similar plans from other insurers, so we might as well discuss a very closely related health insurance myth: Not having your own health insurance plan because you already have one under your employer.
While having a health insurance plan courtesy of your employer means you will be entitled to medical treatment coverage, that’s also the reason why relying solely on your employer’s health insurance is ineffective: you lose all privileges once you change employer.
Thus, as a preventative measure with maximum freedom in health insurance, it’s best to secure your own health insurance plan on top of already having an employer-provided health insurance plan. This can roam with you throughout your career, regardless of your employment status or benefit package.
You also not only get the same basic benefits, but if you choose a comprehensive plan, you can also get other benefits such as maternity and dental coverage where you can fully customize as you would like to ensure you craft an efficient safety net for yourself and your family all at once.
Conclusion
From assuming health insurance is not needed until old age to relying solely on an employer-provided health insurance plan, the following are common health insurance myths that are not only detrimental, but also costly as you will not gain maximum coverage and very importantly, peace of mind over your long-term health.
“Health insurance is only for when you’re older”
“The cheapest health insurance plan available is always the best”
“If I find a plan for a reputable insurer, I don’t need to compare it with other insurers”
"I don’t need my own health insurance plan if I have my employer-provided plan”
Regardless of what age or how healthy you are, the risk of injuries and illnesses is all around and not having the right health insurance plan will inevitably strain your finances. Having a comprehensive health insurance plan will craft a safety net not only for yourself, but also for your family.
At i-Brokers, we help individuals and families, and even businesses, compare and find suitable health insurance that matches your unique healthcare needs.
Let us help you craft a safety net for yourself and your family today by getting in touch with us today.
Darren Wise
Client Relationships Manager
Darren is a Senior Relationship Manager at i-Brokers, dedicated to supporting clients across South East Asia compare and select the right health and life insurance solutions. With more than a decade of industry experience, he supports his own clients and a team of insurance specialists, with a focus on personalised, trusted advice at every step. Outside of work, Darren enjoys winding down with a great TV show or movie, discovering new travel destinations, and (above all) cheering on his beloved football team, Coventry City.
Contact Darren:
Phone: +66 2566 0642
Email: darren.wise@i-brokers.com
LinkedIn: https://www.linkedin.com/in/darren-wise/
Darren co-wrote this article with expert copywriting support and editing from Wish Sutthatothon, Marketing Executive at i-Brokers, who has extensive experience in the insurance industry, covering medical, life, and general insurance for both individuals and corporates.
FAQ
If deciding on a health insurance plan based on price isn’t effective, what should I evaluate when deciding on a plan?
Instead of deciding based solely on price, which will only get you an ineffective health insurance plan with limited coverage, decide based on your healthcare needs. Let’s say you’re living overseas with your family, you’re going to want to consider international health insurance due to comprehensive coverage such as dental and maternity care, all of which are fully customizable.
I’m still young and healthy, why should I get a health insurance plan anyway?
Health insurance premiums increase over time, and pre-existing conditions are also likely to develop later in life, the latter of which many insurers will not cover. Thus, it’s best to secure health insurance while you think you don’t need it, so you don’t have to worry about straining your finances when you end up getting sick or injured.
What are some limitations of health insurance provided by my employer?
While an employer-provided health insurance plan covers basic healthcare coverage, one drawback is that plans are fixed and you will not be able to customize them by adding benefits of your own. Thus, it’s advised that you secure your own health insurance plan so you can add other benefits you also need, such as maternity or dental coverage.