Catastrophic Health Insurance Plan: Everything You Need To Know

​Natural catastrophes are events that are beyond our control. We cannot predict when they will happen. The only thing we can do is prepare for it. When catastrophes happen, there are serious repercussions we may not be ready for. Getting sick or seriously injured is one of them. Are you ready to pay out of pocket if you do not have health insurance? 

In emergencies, catastrophic health insurance can free you from paying your medical bills. This type of insurance comes with low monthly premiums and high deductibles. You cannot use a premium tax credit to lower costs. If you are eligible for premium tax based on your income, you are better off with a Bronze or Silver plan. 

What Does Catastrophic Health Insurance Cover? 
Catastrophic health insurance plans cover all essential benefits, such as preventive services, vaccinations, annual check-ups, and certain forms of birth control, as defined by the Affordable Care Act (ACA). These plans include three annual primary care visits before the deductible is met. Most insurance providers will also cover other services beyond preventive care and some primary care until the deductible is met. 

It is worth noting that catastrophic health insurance is available only for people less than 30 years. Those 30 years old and above may also avail of catastrophic health insurance, provided they qualify for a hardship/affordability exemption. After the deductible amount has been consumed, your insurer will start paying all covered services with no copayment or coinsurance. 

Health Insurance Qualifications
Aside from the age requirement, you should also qualify for a hardship exemption to be eligible for catastrophic health insurance. You can only qualify for a hardship exemption based on the following circumstances: personal hardship and affordability exemptions. Some common examples of hardship include homelessness, bankruptcy, eviction, and home closure, to name just a few, 

Affordability exemptions, on the other hand, mean that your income is insufficient to afford the standard health care coverage. If you are qualified for an exemption, you would claim it on your annual tax return and get a refund. 

Conclusion 
Health is wealth, so we need to take care of it. But for those who can’t afford catastrophic health insurance, we’ve got their back. Get in contact with us at Hyde Insurance Group to go over plans that fit your budget and needs. 

At Hyde Insurance Group, we put our clients first by offering them policies that they can afford. Having insurance is a necessity nowadays and we're here to help you out. Learn more about our products and services by calling our agency at (888) 345-1215. You can also request a free quote by CLICKING HERE. Topics and coverage discussed in this article are not guaranteed, consult with your agents to determine what your policy does and does not cover. We are more than happy to help!