Individuals, as well as families in this day and age, are trying to find alternatives to classic health insurance. One of the fastest emerging options is an option of health sharing plans, which is a community per cost sharing approach for healthcare expenses. These programs allow us to have a unique way to manage healthcare costs while bringing greater flexibility, affordability and transparency than the conventional policies. Let’s investigate the top benefits of adopting health-sharing plans instead of conventional insurance.
Cost-Effective Protection That Saves Thousands
The cost factor is one of the healthiest advantages of a health share plan. Traditional health insurance premiums are always rising, making it unaffordable for many people. Health-sharing plans have a lower monthly cost because they are usually nonprofit entities, so they do not have the administrative burden overhead and profit pricing like the traditional insurance plans. Most members discover that switching to a health-sharing plan saves them hundreds, if not thousands, of dollars each year.
Making It Easier to Choose Doctors
Health insurance policies generally have one major downside; they limit people to specific providers. In contrast, health-sharing plans allow for much more flexibility. The majority of plans do not have a network to restrict the members. They are free to see any doctor or specialist they want. This is particularly useful for people who travel constantly or those who live in remote areas with little healthcare access. In addition, there are no network limitations, meaning people can keep seeing the doctors they trust.
Less Complexity
Navigating a health policy can be difficult, the same goes for trying to understand it. There are a number of important areas such as deductibles, co-pays, and exclusion that add to the tremendous complexity. Health sharing plans on the other hand are much easier. Members are simply required to pay a fixed amount every month. In turn, when that member requires medical assistance he/she can share the cost with the rest of the community according to the health plan.
Understanding Towards Preventive and Holistic Care
A significant portion of health-sharing plans places great emphasis on the promotion of well-being and preventive care. This encourages members to be active participants in their health. In contrast to the ‘sick care’ approach that most mainstream health insurance uses, health-sharing plans may offer discounts for salient services such as gym memberships, wellness programs, and other alternative treatments like chiropractic or naturopathic medicine. This ultimately helps in minimizing long-term healthcare expenses and improves the community’s health.
Business and Collective Responsibility
Due to the concept of community sharing, many of these programs are term-based. Unlike the less engaging step of traditional insurance, plans that provide health sharing foster a feeling of togetherness. Most participants of these programs are values and faith-driven and thus are able to provide not only financial assistance, but encouragement and prayer as well. Because of aspects of such programs, most people receive invigoration during tough health challenges instead of feeling motivation devoid of emotional support.
Quicker Claims Processing and Less Personal Spending
A lot of people have a problem with health plans due to the claim systems being very slow. Before anything, you must submit your documents and then wait for months while your insurance gets approved. This adds a lot of stress on the policyholder until everything is processed. Now, health-sharing plans have a much quicker reimbursement processing system. Healthcare members usually pay for their medical services in advance, send the payment receipts to the healthcare-sharing organization, and get reimbursed almost instantly.
Surprise Billing and Other Risks
Health insurance is usually full of hidden fees, surprise out-of-network billing, and other kinds of administrative fees. Many policyholders can tell you a story about how they got a bill after treatment, and it was exorbitantly high because their insurance plan did not cover as much as they thought. With health-sharing plans, members have clear accountability for their finances. There are no surprise bills and the expectation when seeking medical attention is set and known. This predictability gives you peace of mind and helps you with financial planning.
Ideal for Self-Employed Individuals and Gig Workers
Gaps in affordable and effective coverage can be tricky for freelancers, entrepreneurs, and gig workers. Since self-employed individuals cannot access employer coverage, ACA marketplace plans can be extremely costly. Luckily, health-sharing plans are very cost-effective in comparison, which is perfect for those who work independently and need decent healthcare coverage. In addition, most freelancers switch jobs constantly. Therefore, these plans offer flexibility for members to switch jobs without worrying about shifting coverage.
Conclusion
Health-sharing plans can be very effective for freelancers and self employed who are looking for affordability but lack flexibility with traditional insurance that most people use. That combined with community lowers costs and makes it super beneficial even for those who are working in one place and globally. However, these programs have great transparency and focus on preventive care.
This greatly benefits the self-employed individuals who are looking for more control over their health choices and relief from financial worries. Even though these plans might not be suitable for everyone, these plans surely meet the needs and values of a good number of people and families. Therefore, if someone wants to switch to more cost-effective and flexible insurance plans, health-sharing plans are definitely an option.
Disclaimer: MPB.Health memberships are a non-insurance solution designed to provide access to healthcare services. To determine if this aligns with your specific needs, we recommend consulting a certified expert advisor.