Choosing The Health Insurance Plan That Fits Your Needs

How to choose the Proper Student Health Insurance Plan?

When you are shopping for student health insurance you should start by comparing how much money you will have to take out of your pocket in an event of accident or sickness.
EXAMPLE: Comparing ISO COMPASS Gold to Competing Plans

Avoid Making These Mistakes:

When looking for a student health insurance plan, follow these simple principles and avoid common mistakes international students do:

Thinking you don't need medical insurance
You can get injured or sick every day. A simple fall from in-line skates could send you to a hospital. An afternoon basketball game could result in a broken finger. The cost of medical treatment in the USA is the highest in the world. Hospital bills cost thousands-of-dollars, nothing like you expected at your home country. An ordinary injury, such as a broken hand, could cost anywhere from $3,000 to $25,000 (if surgery is needed). A minor operation might cost you as much as $17,000. Can you risk paying these medical costs on your own without insurance? Most international students can't…

Mistake #1: Comparing Monthly Premiums Comparing monthly premiums alone can be a costly mistake. Looking at monthly rates can deceive you from actual benefits. Do not focus your "shopping" attention to monthly rates entirely and do not choose your plan based on monthly rate comparison. Monthly premiums can range between $27 and $118 per month for students under age of 24 and go higher for older ages. When comparing plans, focus on the benefits you get for your money! For example, when choosing between two plans, compare maximum benefits. You should not settle for less than $100,000 in maximum benefits; $250,000 is preferred. Calculate how much money will go out of your pocket in case of Accident or sickness.

Mistake #2: Overlooking High Deductible & Co-Insurance Payments Most medical insurance plans require you to pay a portion of your medical bills in case you submit a claim. There are 2 types of out-of-pocket expenses you should expect. The first expense is called deductible. If your deductible is $100 and your medical invoice is for $250, the insurance company will reimburse you only for $150 ($250-$100). The second expense is called co-insurance. The co-insurance is a fixed percentage of your medical bill the insurance company will pay. The rest will have to be paid by you, out of your pocket. For example, if you have a hospital bill for $5,000 and your co-insurance is 80%, the insurance company will pay only 80% of the bill.
80% x $5,000 = $4,000; $5,000 - $4,000 = $1,000. You end up paying $1,000! If you do not have extra $1,000 in your bank account, you may face some problems paying this amount. Therefore, you should prefer purchasing a plan with a minimal co-insurance or 100% coverage of your medical expenses. These plans might cost a few dollars more, but you will get it all back with the first claim paid. Remember!

For most uninsured international students getting injured or sick is liable to impose a financial crisis. You cannot afford to pay the high bills – don't stay without a student health insurance plan!

What should you look for when buying international student health insurance?
When choosing a student health insurance plan, you should look for the plan that best fits your needs and budget. Start by doing some “shopping”. Begin your search at your school's international student office. It is a good source for information and alternative student health insurance. After you gathered all the information you need, read the brochures of the different plans. Start by comparing maximum benefits, co-insurance and Deductible.
Coverage for each of these benefits should help you determining the value of each plan. Check the availability of doctors in your area. Check how limited is the plan's PPO network of service provider and how much will it cost you to go to a qualified doctor which is out of the network. Finally, make sure the plan covers you for medical evacuation and repatriation as well.