Healthcare can be absurdly expensive, especially in cases of emergencies or chronic illnesses. Mastering how to save on healthcare costs is, in fact, the key to financial stability while accessing quality medical care.
Whether insured or not, here are a few ways you can adapt to lower your medical expenses amidst the skyrocketing economy and expensive cost of things.
How to Manage Healthcare Costs
Healthcare is one of the major financial concerns for most families and individuals. Healthcare cost management is of prime importance for several reasons, such as:
1. Prevents Accumulation of Debt
The bills of healthcare are among the leading causes of debt. Because of this, unplanned costs of healthcare may derail the financial goals a person has. Proper management of these costs will prevent unnecessary debts.
2. Timely Care
Most people, because of financial issues, refrain from going through various treatments. Saving on health enables one to reach the doctors on time, which may mitigate the problem one is facing from deteriorating further.
3. Reduces Stress
There is a huge level of stress built up in continuously pondering how to handle healthcare costs. This has a profound effect on the mental and physical health of the sufferer.
By knowing how to save on healthcare costs, you will reduce anxiety levels and be able to focus on your recovery and health.
The money freed up for healthcare contributes to a shock-absorbing fund that protects against financial shock.
How to Save on Healthcare Costs Easily
If you are looking for ways to save money as far as medical expenses are concerned, the following are eight workable tips that can help you manage and reduce healthcare costs:
1. Avail Yourself of Preventive Care
Most health insurance plans cover most preventive care, including screenings, vaccinations, and annual checkups, for free.
In turn, this sets another important foundation for preventive care in the quest to deliver early detection and avoidance of serious and costly treatments later.
Also, you might visit a clinic offering free or lower-cost preventive services if you do not have insurance to avoid more costly treatments later on.
2. Compare Healthcare Providers
Like everything else, one shops for a service by comparing the costs of procedures and treatments. Sometimes, certain service providers will have astronomically higher costs compared to others for the same service.
Healthcare Bluebook or GoodRx are online applications through which you can compare costs from hospitals, clinics, and pharmacies. You will therefore want to do your homework so that you get value for your dollar in healthcare.
3. Take Generic Medications
If a medication is prescribed to you, don’t forget to ask if there is a generic version. Many times the generic will serve just as well as a brand name, but at only a portion of the cost.
Many insurance programs favor generics and charge lower co-payments for them. If you are uninsured, generics tend to be considerably cheaper at the pharmacy.
4. Check Your Medical Bills for Errors
Medical billing mistakes are common; sometimes these errors result in overcharges. Be careful in reviewing your medical bills to make sure you were not charged for services that you did not receive, or that procedures were billed correctly.
If you find errors in overcharging, contact the hospital or healthcare provider, asking them to explain the charges. Always request an itemized bill so that you will be able to catch the errors more easily.
5. Use an HSA or a (FSA)
Health Savings Accounts (HSAs) and Flexible Spending Accounts (FSAs) are tax-advantaged accounts where you can set aside pre-tax dollars to pay for qualified medical expenses.
Contribution to any one of these reduces your taxable income; the money covers a wide range of health expenses, such as co-pays, prescriptions, and medical equipment. Long-term, HSAs could be built upon year after year, making them an extremely valuable savings tool.
6. Negotiate Medical Bills
If paying out of pocket or your insurance does not pay for it, negotiate the bill. Many healthcare providers-especially for non-emergency services are willing to lower their fees or offer payment plans.
Be upfront about your financial status and ask for discounts or lower rates. Many hospitals and doctors have some form of hardship program that can reduce costs for those in need.
7. Use Telemedicine Services
With the COVID-19 pandemic, it has picked up even more steam. It is way cheaper than in-office visits to virtually visit a doctor, and many health concerns can be resolved without having to physically be there.
It works great for minor illnesses or follow-up consultations. If you have health insurance, check on the coverage offered regarding telehealth, or find services that might give lower prices for virtual care.
8. Stay In-Network with Your Insurance
One of the easiest ways to save money on healthcare is to stay within your network if you have health insurance. Generally speaking, out-of-network providers cost more in fees, and your insurance may not cover those extra costs.
To avoid surprise bills, confirm with the healthcare provider or facility that they are in your network before setting up an appointment.
Why Is Healthcare Expensive?
Healthcare in the U.S. is characterized by high costs. Many wonder if there’s anything one can do to ensure at least certain modifications regarding these costs.
Individually, you cannot change high systemic pricing in healthcare; however, here are some steps you may consider to minimize the consequences of high costs for your wallet.
1. High Administrative Costs
The complexity in the structure of the US healthcare system adds to the administrative burden. You, as a patient, could minimize your costs by ensuring clarity on insurance coverage and working with in-network providers.
2. Prescription Drug Costs
The United States pays some of the highest prescription drug prices of any country in the world.
Some ways you can combat this are by using generic drugs when possible, seeking out prescription assistance programs, or calling around to different pharmacies to find the best price.
3. High Procedure Costs
Medical procedures cost differently depending on who does them, where, and at what facility. You can save on your overall health care by shopping around and negotiating your bills.
While you cannot control some of the aspects that drive healthcare costs, paying attention to how you can save will cut the financial burden.
How Can I Save on Healthcare Costs Without Insurance?
If you do not have health insurance, saving on healthcare costs may appear to be a farfetched reality, but that’s not quite true. The following are some of the ways you can manage to handle your healthcare expenses when uninsured:
Community health centers and clinics sometimes offer healthcare services based on one’s income on a sliding scale. These places can affordably treat the uninsured too.
The providers often negotiate the prices, and, in most instances, the doctors and hospitals will try to accommodate your needs and ask for discounts or create a payment plan.
Free health screenings such as blood pressure, cholesterol, diabetes, and many others are available by several organizations at no cost. Avail these services to stay on top of your health without spending even a dime.
GoodRx or RxAssist are examples of programs that allow the use of discounted prescription medications and can help lower drug costs even without insurance.
Final Words
Learning how to defray healthcare costs is crucial to managing your finances and receiving much-needed care without damaging your wallet.
Save thousands on health expenses by leveraging preventive care, comparing providers, negotiating bills, and using tax-advantaged savings accounts. With a proactive strategy, healthcare doesn’t have to break the bank.