Is it better to have a high deductible health plan?
High-deductible health plans usually carry lower premiums but require more out-of-pocket spending before insurance starts paying for care. Meanwhile, health insurance plans with lower deductibles offer more predictable costs and often more generous coverage, but they usually come with higher premiums.
What is the downside of having a low deductible?
The downside of a low-deductible plan is that the monthly premiums are higher. Employees pay this premium no matter what, and if they never need to take advantage of health care services, they don't receive anything in return for those monthly payments.
What is the downside to having a high deductible?
The cons of high-deductible health plans\n\n Since HDHPs generally only cover preventive care, an accident or emergency could result in very high out-of-pocket costs. For example, if you are diagnosed with a medical condition that requires expensive treatment, you'll be on the hook for the cost of that care.
Why would someone choose a high deductible plan?
How High Deductible Health Plans and Health Savings Accounts can reduce your costs. The amount you pay for covered health care services before your insurance plan starts to pay. With a $2,000 deductible, for example, you pay the first $2,000 of covered services yourself.