The cost of health insurance for some families can feel unreasonably high. It might seem like a financially wise decision to skip the cost of a premium to pay out of pocket.

It’s not.

Even if the only health insurance you carry is a catastrophic policy, you’ll have something to fall back on financially if the unexpected happens.

You will also get to experience these benefits when you have an active health insurance policy.

What Are the Benefits of Carrying Health Insurance

 #1. You are more likely to receive the care you need. Households with health insurance are more likely to receive preventative care. That means an early intervention for a serious illness occurs more often with health insurance compared to without it.

#2. It saves your credit. Not paying a medical bill can be devastating to your credit score. Just 3-4 medical bills, sent to a collection agency for being 120+ days past due, could drop some credit scores by 100 points. That means higher interest rates for all big-ticket purchases which require financing, like a mortgage or a car loan.

#3. It might be required for an educational pursuit. Some colleges and universities require an active health insurance policy as part of the enrollment process.

#4. You may experience shorter wait times. Hospitals are required to provide emergency care, regardless of whether you can pay or not. If you need a specialist procedure, however, and it is not deemed to be necessary, you could be asked to wait. Some medical professionals can refuse service in non-emergency situations if you have an outstanding bill.

#5. It gives you choices. You often have more choices in the doctors you can select when you have an active insurance policy, compared to the cash-only approach.

What Health Insurance Plan is Right for You?

The level of care you believe your household will require dictates the type of healthcare plan to pursue. Families with children should consider a policy with a low family deductible and full coverage on annual checkups, vaccines, and other mandatory services.

For singles, a catastrophic plan is a way to save money, especially if you have a history of good health.

Most households fit somewhere between these two extremes. Think about your health, budget wisely, and consider purchasing the best possible health insurance your finances can support right now.