How To Make Traditional Health Insurance More Affordable

Affordable health insurance through traditional plans has eroded for the following reasons:

1. We’ve lost focus on the true purpose of insurance. It is supposed to provide protection against a possible catastrophic loss, not against the risks of everyday expenses;

2. Most individuals and employers have not spent wisely. They have paid higher premiums to get plans with low deductibles, low co-pays, higher co-insurance factors and lower out-of-pocket limits;

3. Due to the predominate employer-sponsored health benefits system,employees have had little or no investment. They have not shopped for value. They have been free-spending beneficiaries, because, in their minds, they were not spending their own money;

4. Early dollar coverage has rewarded sickness, not wellness. We get more of what we reward. So, consumers have gotten more sickness. Healthcare costs have spiraled higher.

Want to get out of that whirlwind of higher medical costs? Want to get more affordable solutions? This is where we start.

Traditional Plans:

Low-deductible plans reimburse every day expenses. Insureds pay higher premiums for early dollar claims coverage that, on average, 92 percent never use. Whether applied to personal plans or employer-provided plans, this is an expensive plan design.

This imbalance not only results in higher premium cost, it promotes more claims, higher medical expenses, increased absenteeism, reduced work performance and lower productivity.

If given a choice, most employees want to keep their low-deductible plan. Employees selected traditional plans 70 percent of the time. High deductible plans were chosen by 16 percent. Who can blame them? It’s an easy ride. But, it's an expensive ride.

Employers have not forced employees into high deductible plans for fear of employee backlash. As long as consumers continue to get plans that do not encourage consumer investment of time, attention and money, we will continue to get more sickness, higher medical costs and reduced health quality and longevity. The result has been crashing profits.

A Harris poll surveyed employees who have traditional plan benefits. If necessary to save their jobs, 63 percent of employees polled would give up their present health benefits for a high deductible plan. In fairness, employees would want employers to apply a portion of any insurance savings to help compensate employees for any increased health expenses.

Most of these factors that apply to employees also apply to individuals and families. In most cases, they learned the healthcare system as employees and seek to maximize coverage without realizing that is not a cost-effective plan design.

Improving Traditional Plans:

To survive financially, a growing number of individuals and employers feel pressured either to discontinue employee healthcare benefits or to change to high deductible plans to get affordable health insurance.

Whether for your personal or family account, if you want to continue health insurance benefits but are reluctant to make the leap to a high deductible plan, here is a compromise step that could help you.

Redesign your plan to increase personal consumer expenses and responsibilities, while taking our Fitness Culture benefits to assist with those expenses and responsibilities.

Your More Affordable Traditional Plan Health Insurance Solution:

When the traditional plan is implemented as the backbone of a Fitness Culture assistance program for you and your family, the results can be lower costs, improved health, improved quality of life and longevity, reduced work absenteeism, better work performance and higher productivity. There’s the beginning of your more affordable healthcare solution!

Your Traditional Plan Fitness Culture:

With some redesign, the traditional plan can offer more affordable coverage. It is a better core on which to build your Fitness Culture and your Fitness Support Programs for Medical Self Care for Prevention and for Affairs Management.

Most consumers want to mind their own healthcare affairs. But, they are fearful about what they don’t know about healthcare. With our Fitness Culture Assistance and Support programs, you can be confident you won't be left to sink.

You can get information, advice, assistance and advocacy services as you need them. You can do most of it online. If necessary, you can call and talk to someone who knows how to navigate the healthcare system.

With information and assistance, you can effectively manage your own affordable healthcare solutions in less time, at lower cost.

If you are an employer, you will not have to be involved in administering employee benefits. You will get reports on Fitness program progress and on program costs. But, you can get more affordable traditional plan coverage and get out of managing employee affairs. Then, you can focus on your real business.

To see Fitness Culture benefits, go to our section on Fitness Culture.

Remember, we can hang the comprehensive Fitness program on a more affordable traditional plan, if you utilize some combination of increased deductibles, higher co-pays, lower co-insurance factor and higher out-of-pocket limits. All of these are intended to increase consumer attention and investment in healthcare costs while decreasing premiums. It’s not our top recommendation, but it does improve overall cost and claims experience. It is a good compromise step in the right direction of building a Fitness Culture.

To review help available for yourself and your family, go to the Fitness Support and Assistance Programs for Prevention , for Affairs Management or for Patient Care Assistance.

WARNING: NEVER CANCEL YOUR CURRENT INSURANCE UNTIL REPLACEMENT COVERAGE IS APPROVED AND IN PLACE.

To get Personal Quote instructions, go to Personal Health Plan Guide.

To get Group Quote instructions, go to Group Health Quote Guide.

If you have questions or need additional information, go to our Contact Us Page.