Health insurance plans have become a priority in a world of reckless lifestyles and frequent illnesses. The inflation in medical care should never become a hurdle to your health needs. Thus, people often look for lower premium payment to access medical treatment. Catastrophic insurance is the type of health plan that comes under the Affordable Care Act in the USA. It can be considered by people who look for cheap health insurance plans. It entails a lower premium payment but comes with a high annual deductible plan. Thus, a person has to pay out-of-pocket expenses until they reach the threshold amount for the deductible. It suits perfectly for people less prone to falling sick or going for clinical visits. This way one can own a cheap health insurance plan and get covered at minimal rates.
ELIGIBILITY FOR CATASTROPHIC INSURANCE
People wondering- “Can I buy catastrophic insurance?”, need to fulfill the following conditions. This plan is for people below 30 years of age. Also, any individual having the government-approved hardship exemption can qualify for catastrophic insurance. A hardship exemption is accorded to individuals who are financially weak to afford any insurance plan. Such individuals can benefit from knowing about what is catastrophic insurance.
COVERAGE GRANTED UNDER CATASTROPHIC INSURANCE
A catastrophic health insurance plan gives the same coverage benefits as the other standard plans. One can access preventive services, emergency services, pharmaceutical drugs and even more. It is distinct from other plans in terms of the high deductible policy. One has to pay the healthcare costs till they reach the annual deductible for the plan. Often that amounts to a couple of thousand dollars.
The insurance plan will then start covering for any medical assistance that one may require. It gives three primary care visits every year, irrespective of whether one is reaching the deductible amount. People who enquire “Can I buy catastrophic insurance?” should first assess their medical requirements and then come to a decision. People, who do not visit the hospitals that often, can gain by opting for this plan. The catastrophic insurance gives coverage against medical expenditures that can burn a hole in your pocket.
ADVANTAGES & DISADVANTAGES OF CATASTROPHIC INSURANCE
To understand what is catastrophic insurance, we need to go over the pros and cons.
It is advantageous for people who rarely visit the doctor. One can pay low premium installments and get a substantial medical coverage under this. It also takes care of our medical needs during worst case scenarios. It gives access to the network of hospitals under the Affordable Care Act.
The disadvantage is chiefly in the form of high deductibles. One has to pay all the out-of-pocket expenses on their own before meeting the deductible. Only after that one can attain the medical coverage. It is definitely not a good option for people with major disorders or terminal illness.
In the pursuit of cheap health insurance plans, individuals must not forget the essential medical requirements. The catastrophic insurance is a cheap health insurance policy but not equally beneficial for everyone. So, one must do thorough research about on the policies and determine the long-term consequences.