How to Buy the Cheapest Health Insurance for Families

Finding the cheapest health insurance for families is important for many households on a budget. With the soaring prices of gas, groceries and health care, finding ways to save money has taken on new importance. However, the cost of the insurance premium is not the only thing to analyze when you're shopping around. Even if it's cheap, it might cost you more than a more expensive plan. Here's how to find the cheapest health insurance for your family.

Difficulty: Moderately Easy

Instructions

1. 
   Cheap helath insurance for families?

   Get several health insurance quotes online or from an insurance agent. Look into a variety of options, including HMO and PPO plans, high deductible (major medical) insurance and medical expense-sharing groups.

2. Find out what health benefits, if any, your employer or spouse's employer offers. Even if it's just a partial match to your health savings account (HSA) contributions, include this in your evaluation of the cheapest health insurance for families.

3. 

   Evaluate your family's medical expenses and needs.
   
   If you are a very healthy family that is content with annual check-ups and a minimum of medical intervention, the inexpensive high-deductible major medical policy may be the most economical route.
   
   However, if you go to monthly well-baby check ups and have recurring medical problems and multiple prescription medicines, a more comprehensive plan may actually be cheaper for you.

4. Make an estimate of what you'd spend annually under each health insurance plan. Include the cost of insurance, your deductibles, out-of-pocket expenses and anything not covered by the plan that you already use or do. Make both a best-case and worst-case scenario and evaluate each under the various plans.
   
   These numbers should give you a clear picture of the cheapest health plan for families.

5. 
   Health Insurance for Families

   Consider state-sponsored health insurance for pregnant women and children in your family if you have no other choice and can't pay mounting medical costs. While Medicaid has its own problems, and may even be contributing to the high cost of medicine, it may be the only option for some cash-strapped families.

Tips & Warnings

• Start a separate savings account or HSA earmarked specifically for health care needs. It could be a lifesaver.
• Don't assume that the cheapest health plan will cost the least. After all your deductibles are added, it may be more expensive than you'd think.

[lisadee]

on 5/25/2008 Great article. Advice many people can use.

[MacDonald]

on 5/24/2008 Five star advice, writergig! These days we can all use money saving advice.

[MidniteWriter]

on 5/23/2008 Congrats on being on the home page! I will need this information in a few years. Look for AARP or group/self-employed policies as well. 5 stars for you!

[coachmac4]

on 5/23/2008 Very timely subject. 5 stars!

[writetruth]

on 5/23/2008 Wonderful information. Healthcare is SOOO expensive these days. Family coverage is unbelievable. I will be looking into this... 5 Stars ~!~