The Benefits of Group Health Insurance
Every person has many choices when it comes to getting health insurance. The focus of this article will be the benefits of getting group health insurance.
Group health premiums are subsidized by the employers in group health insurance. It is 50% on the premium that is paid by your 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. But it may not be advisable to put your dependents on your employers plan. It is better to get individual health plans for your dependents.
Group health premiums are the same for large families or small ones. A separate premium is paid by every member of the family if they get individual health plans. IF you have a big family, adding them to your employers plan gives you a better deal. However, it is best to consult with an insurance advisor first before making any changes.
In a group health insurance, you will not be turned down if you have a pre-existing health condition. So, if you or a family member has medical conditions that prevents you from having an individual health plan, you can benefit from the group health insurance. There is a price to pay even though it benefits those with pre-existing conditions. If you get an individual health plan, you will pay a lesser premium that the group health premiums.
Maternity is covered in most group plans. You benefit from a group health plan if you want to have more children. It is possible to have an individual health plan and add maternity riders but this can be quite expensive and restrictive and the value you get is not the same as the coverage given in a group health plan. It is advisable to families who want to have more children to seek for advice on what is best for their families. Each family is unique and will be given their own advice.
Employees of large companies can benefit from economies of scale. You can share the risk more with a larger group. Your premiums will then get lesser than what you pay for individual health plans. But large companies with good benefits tend to retain employees for long periods of time. Soon, the average age of the group will go up and this will also make premiums increase. There is good coverage for people with great medical needs in a group plan and so many people are attracted to it. The group health plan attracts people wit high health costs as the average age increases in time. Premiums are driven higher in this situation.