You can purchase health insurance through different providers and services. From public to private options, there are various types of health insurance plans that you can choose from. If you’re looking to pick the most affordable health insurance plan, this guide will be of help.
Medicaid – The Most Affordable Health Insurance Coverage
The most inexpensive health insurance option is Medicaid, but the eligibility for this federal health insurance program typically depends on your income level, which will have to be 133 or 138 percent below the federal poverty level. It’s important to note that certain states have passed laws to expand the coverage of the Medicaid program so more low-income adults are covered. Given this, the state you reside in also has an effect on your eligibility.
What if You Are Not Eligible for Medicaid?
If you don’t qualify for Medicaid coverage, you may be able to purchase inexpensive health insurance coverage through the state marketplace. These plans typically cover 10 essential benefits like emergency services, outpatient services, hospitalization, mental health and substance abuse care, maternity and newborn care, prescription drugs, laboratory services, rehabilitative services, pediatric services, and preventative and wellness services.
There are three levels of health insurance plans that you can purchase through a state marketplace:
Bronze: These plans have the lowest premiums, but the out-of-pocket costs are really high.
Silver: These plans are essentially middle-ground plans that have moderate premiums, out-of-pocket costs, and deductibles.
Gold: These plans are the most expensive options in the state marketplace, but they have low out-of-pocket expenses.
If you’re looking to get a health insurance plan through your state marketplace, we recommend going with the Silver option.
Is Short-Term Health Insurance a Good Choice?
Short-term medical insurance plans are usually cheaper in comparison to marketplace healthcare plans. However, these plans are only available for a few months (or up to 1 year, at the most). Also, many short-term health insurance plans do not offer the same benefits as regular medical insurance plans.
The Bottom Line
Keep in mind that the most inexpensive health insurance plan is not always the option with the lowest monthly premium. Instead, the most affordable plan is one that gives you adequate coverage based on your health condition and medical needs at the best possible rate.