The Ten Ways to Save on Health Care Costs

Health care reform and health care costs are sparking a national debate between Democrats and Republicans. Until a compromised reform of the health care system is worked out, here are some tips that consumers can use to save money on health related costs.

According to recent government reports on inflation, that national inflation rate is averaging 3.1%. However,
the average out of pocket medical coverage and insurance premiums are rising an annual average of 9%. As you can see medical cost are six times the rate of inflation. The national average that Americans have spent from 2008 to 2009 for out of pocket medical expenses is around $3,826.

When of the first tips that we can submit for our readers to take advantage of is the following; Set up a (HSA)
a health savings account for the individuals and families. By setting up a (HSA) you can save pre-tax dollars to cover your out of pocket medical expense and co-pays, prescriptions and even over the counter medications. The limit for an (HSA) for 2009 is $3,000 for an individual and for families that limit is $5,952. For the folks who are between the ages of 55 to 65 those people can save an additional $1,000.

One of the major benefits to a health savings account is that the money that you save does not have to be used up with in the calender year. It is like have a roll over account on your cell phone minutes. Your employers also offer a flexible spending account known as (FSA) at work. The major disadvantage is that the (FSA) accounts will force you to use all the savings in a calender year. If you don't use it you will lose it. Also in general the law states that you can not typically have both a (HSA) account and a (FSA) at the same time. So the better deal would be for you to set up a (HSA) health savings account.

A second tip is to participate in your employers (FSA) known as the flexible spending account. All the money that you put into the savings account from your paycheck is not taxable. Your employer will determine the amount of savings that you can deposit into the (FSA) account. The typical range of savings is between $2,000 to $5,000 per year. Check with your benefits office to verify what your employers allow. The major draw back to this type of account is that if you don't use your money by the end of the calender year you will lose that money.

A third tip for our readers is to ask your insurer and doctors to comparison price shop the cost of routine
procedures. You can check you insurers web site to verify if they will allow comparison shopping. If you can pay
for the cost of the procedure up front from your (HSA) or (FSA) accounts, the doctors will be more will to negotiate
the cost of the procedure. To verify the hospitals quality control and patient outcomes a helpful government
web site is http:// www. hospital care.hhs.gov

A fourth tip is that many insurance plans will allow a patient to order generic prescription drugs. Medical insurers will typically have a 3 tiered prescription drug plan. Tier 1 is Generic prescription drugs, Tier 2 is called
non-preferred prescription drugs and the Tier 3 prescription drugs is the preferred prescription drugs. Another
way to save money on prescription drugs is to order your drugs from a mail order pharmacy such as Express scripts.com. It is a good idea to have on hand at least 60 to 90 day supply of prescription drugs just in case
of a national or weather related emergency.

A 5th tip is you employees to take advantage of your work place clinics services. Many work place clinic services are free to the employees. Also utilize the retail walk in clinics in pharmacies and stores such as Wal Mart, Costco's etc. If you need stitches or minor medical care on the weekend or non hospital hours use the
services of urgent care clinics. The medical cost is much lower than paying an emergency visit to your hospital.

A 6th tip is to take advantage of your employers wellness programs. Those programs include quit smoking,
weight loss, gym memberships. If you do not take advantage of those programs many employers will raise the
health care insurance premiums.

A 7th tip is to increase the deductibility of your health care insurance premiums. Utilize the (HSA) accounts to
cover the difference in the cost of the deductibility.

A 8th tip will be covering the COBRA premium coverage. Did you know that if you allowed your COBRA coverage to lapse for 63 days or more, then your next employer does not have to cover any pre-existing conditions. By law all employers who have 20 or more employees must all severed employees the option to
pay for their COBRA coverage after they leave the employment. That length of coverage is for 18 months
from the termination date. Also if an employee is unemployed prior to 2010 then the federal government will
subsidize the COBRA payment coverage up to 65%

A 9th tip is to take advantage of your health insurers coverage of dental expenses. If your medical coverage
does not offer dental coverage, try a dental plan such as dental plans.com. Also verify and check out any vision
care coverage.

A final 10th tip is to fully educate yourself about Medicare coverage plans. Go to the web site at http://www.medicare.gov. Also review the AARP supplemental Medicare coverage plan as well.

The preceding tips will help you lower your medical cost and insurance premiums. In the mean time keep
your eyes focused upon the great debate on health care reform. Call and write to your congressman and
Senators your concerns about the health care issue.