A high deductible health insurance plan is just like what it sounds like. It is a health insurance plan that has a high deductible and is designed to provide for catastrophic coverage in case something happens to you. It is a viable option for people who are struggling to find health insurance at a reasonable price.
How High Deductible Health Insurance Plans Work
High deductible health insurance plans usually have lower premiums and higher deductibles than standard health insurance plans. Usually high deductible health insurance plans are part health savings account (HSA) plan.
Most high deductible plans usually include some “wellness” benefits for free such as routine physicals and flu shots. But, that is not where high deductible health insurance plans earn their bread and butter. Beyond routine wellness exams, high deductible plans typically only kick in once the deductible is met. However, the maximum deductible is set by law. So, you know what you will have to pay.