The Importance of Catastrophic Health Insurance

Do you have any idea just how expensive an illness or unexpected surgery can be when you have no health insurance coverage? Unless you are one of the elite few who has millions of dollars tucked safely away for a rainy day, your health care cost will only continue to increase each time you become ill or are diagnosed with a pre-existing condition.

However, the one factor that most individuals must understand is the expectation of a very high deductible that you are responsible to pay out of pocket for each health care incident that you incur.  Some of the more common costs associated with a catastrophic health insurance that many individuals seem to overlook are:

1.    Minor automobile accidents of sixteen thousand dollars and more
2.    Major automobile accidents that can cost just under one million dollars
3.    The unforeseen health care risks of an appendectomy which is about sixteen thousand dollars
4.    Severe animal bites which can cost just under ten thousand dollars
5.    Broken limbs and emergency tooth extractions and root canals which can be as high as two thousand dollars to three thousand dollars

Individuals of all ages will need to save and reserve money on the side that is specifically for those rare occasions when a catastrophic health care event does occur. Those who can accomplish this successfully will have very little difficulty, but those who are only looking for the cheapest health insurance will be in for a rude awakening when they receive the health insurance bill they are responsible.

In many cases, this can be the most devastating life-threatening event of their lives and it is very sad when an individual or a family must lose everything they worked so hard for because they neglected to understand the consequences of health insurance protection.

There are two main groups of individuals who look to the catastrophic health insurance policies for personal protection should a medical event occur. The two main groups are those individuals in the twenties and those individuals in the fifty to sixty-five year old brackets. The main common denominator is that these groups of individuals seem to fall between the world of employment and at times the world of the unemployed.

When there is an affordable health insurance package, they can carry along with the low cost health insurance through a given employer it does help to pick up the slack during those times when they find they are in between employment. In many cases, this is better than trying to purchase short-term health insurance coverage.