Get health insurance through your employer? Read on for some key moves to make this year to benefit from it as best as you can.
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One of the perks of working for an employer, as opposed to being self-employed, is getting access to a subsidized health insurance plan. When you’re self-employed, you often have to cover the cost of health insurance in full, which can be a blow to your personal finances.
If you have workplace health insurance, it’s important to make the most of that coverage. Here are some moves you should consider making this year.
1. See what free services your plan covers
Many health insurance plans require you to pay for the care you receive to some degree, either by meeting an annual deductible or by paying a copay at the time you receive a given service.
But some services under your plan might be completely free — meaning, they aren’t subject to a deductible and there’s no copay to worry about. These may include an annual physical and certain vaccines, so it pays to find out what no-cost care your plan offers.
2. See if your plan has mental health coverage
Some people shy away from getting mental health care because they assume it’ll be costly. But if your workplace health plan offers this benefit, your share of those costs may be more affordable than you’d think.
It pays to explore your options if you feel you can benefit from counseling or similar services. But while you’re doing that, get all of the details, such as if there’s a specific number of sessions you’re entitled to annually and whether you need to get a referral first.
3. Knock out your deductible early
If your health insurance plan comes with a deductible you’re convinced you’re going to pay in full this year, then you may want to just knock it out early in the year.
Let’s say you have an $800 deductible with your plan and there’s a screening test you need to do at some point this year that will cost $900. In that case, that single service takes care of your deductible, and from there, you don’t have to stress about it.
4. See if your plan is HSA-eligible — and if your employer will kick in funds
Some health insurance plans are compatible with health savings accounts, or HSAs. It’s beneficial to sock money away for medical expenses in an HSA because you get a tax break on your contributions. That’s not something you’ll get if you put money into a regular savings account.
Also, HSAs let you invest funds you don’t need right away. If you do, your balance might grow nicely so you have even more money at your disposal for medical expenses. Plus, some employers are willing to make HSA contributions on employees’ behalf. If yours does, that’s free money for you.
This year, you’ll be eligible for an HSA if your insurance plan has a minimum deductible of $1,600 for self-only coverage or $3,200 for family coverage. Your plan also needs an out-of-pocket maximum of $8,050 for individual coverage or $16,100 for family coverage.
Health insurance is a great workplace benefit to be privy to. Make these moves so you can benefit from your coverage as much as possible.
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