Health is wealth they say. But health is one of the most unpredictable conditions in life. There are people who take proper care of their health, eat well and exercise yet still fall victim of diseases and other unfavorable health conditions may be due to genetics, environment and other factors and then on the other hand, there are people who pay less regard to their health yet do not fall sick.
Like I said, health is unpredictable and that is why everyone needs health insurance. Health insurance is really convenient and has a lot of benefits and it’s only fair enough that everyone gets a policy. Some of the many benefits of health insurance include-:
Why You Need Health Insurance
Table of Content
- Reduction of health bills
- Unexpected medical expenses
- Group Benefits
- Emotional and psychological benefits
- Better Health
- What is a Pre-existing condition?
- Obamacare and Pre-existing Conditions
Reduction of health bills
Health insurance gives you access to quality health care at lower costs.
Unexpected medical expenses
Health insurance also takes care of emergencies-those times when you suddenly fall ill and cannot boast of $100 in your account.
If you purchase your health insurance as a group or maybe as an employee, you have access to lower premiums making medical care even more affordable for you.
Emotional and psychological benefits
Health insurance also gives you peace of mind knowing fully well that should an emergency arise, you are covered.
Also, when you have health insurance, you have a better health status because of the quality and timely healthcare that you receive.
Unfortunately, some people cannot enjoy the benefits listed above. This is due to something known as a pre-existing condition which makes insurance companies to deny them health insurance.
What is a Pre-existing condition?
A pre-existing condition occurs when a health insurance applicant already has a disease or illness for which he is being treated before applying for health insurance coverage. A lot of people have terminal illnesses and other diseases which they are being treated for and if they decide to renew their health insurance policy or buy one anew, they would be termed as people with pre-existing conditions and their applications would be denied or at best they would be charged premiums higher than other people.
How does pre-existing condition affect health insurance?
You see, insurance companies are out to make profits and that is why they carry out something that is known as underwriting. Through underwriting, they assess the risks of what they are insuring, be it life, property or health. If they find out that the risks of damage on the property or item they are insuring against is high, they may choose not to provide insurance.
Why? The reason is because insurance companies are in business to make money. It’s just like buying a house, would you buy a house if you were told that the structure is likely collapse in the next two years? Insurance companies see people with pre-existing conditions as high-risk and they believe that they would run into losses if they provide insurance for such people. Pre-existing conditions affects health insurance buyers in the following ways-:
- They get health insurance application denials.
- They get outrageous premiums.
Obamacare and Pre-existing Conditions
One of the things that the Obamacare health bill addressed is the issue of Pre-Existing conditions. President Obama signed a Patient Protection and Affordable Care act into law. Under this act, healthcare coverage would be made available, Preexisting conditions or not. The bill is expected to be effective from 1st of October 2014. So come October 1st 2014, you would be able to apply for healthcare coverage under the Obamacare act regardless of whether you where denied coverage by a private insurance company in the past or not.
However, if you don’t want to wait for the Obamacare plan, you can still get health insurance with preexisting condition through taking the following steps-:
How to Get Health Insurance with Pre-Existing Condition
1. Know what the law says
You have to first understand the laws in your state. Some states do not permit underwriting for health insurance while some do. So, before you start to shop for alternative health insurance options, be sure that the insurance company is not rejecting your application illegally. You can check healthinsuranceinfo.net for information about this.
2. Get Group Insurance
Group health insurance plans are usually friendlier to people with pre-existing condition therefore, you should try to get health insurance coverage through your employer or any group or union that you belong to.
3. Consolidated Omnibus Budget Reconciliation Act (COBRA)
If you lose your health insurance, you can get health insurance coverage through COBRA. COBRA provides health insurance for people who lose their health insurance for a limited number of time but you have to apply for it within 60 days of losing your health insurance.
4. High-Risk Pool
You can also get health insurance through the state. Most states offer insurance policies for people with pre-existing conditions called High-Risk pool health insurance plans. About 36 states in the US offer these programs.
5. Insurer of last Resort
A lot of states also have assigned insurers whose duties are to offer insurance coverage to any interested person including people who have pre-existing conditions. Check if your state has such insurers too.
6. Set-up your own business
I don’t know how legal this is but I know that a lot of people set up businesses so that they can be entitled to group insurance coverage and like I already mentioned, group health insurance plans are usually more lenient with people that have preexisting conditions. This is because it is assumed the collective insurance of the group can help to reduce the risks of covering just few people in the group that may have preexisting conditions.
7. Join a Group
Lastly, you can find a lot of groups and voluntary organizations that offer health insurance for their members. When you join such groups, you would have access to group insurance.
From all the methods of getting insurance with pre-existing condition listed above, you would notice that the ‘group’ factor is consistent with all of them. It is therefore safe to say that the best way to get health insurance with preexisting conditions is through group health insurance or through the state.