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How To Choose a Health Plan During Open Enrollment

From Kelly Montgomery, for About.com

Updated: December 09, 2008

About.com Health's Disease and Condition content is reviewed by our Medical Review Board

During your health plan's open enrollment period, you may be bewildered by the variety of options available to you. Learn more about how to decide which plan is best for you and your family.
Difficulty: Hard
Time Required: Several hours

Here's How:

  1. First, think about what you need from your health insurance coverage. If you have a chronic health condition, your needs are going to be different from someone who rarely becomes ill. Estimate how much health care you and your family will need, based on previous years as well as expectations for the future.
  2. Consider other factors that might be important to you, such as access to specialists, a specific hospital, or the doctor of your choice. As a general rule, HMOs are more restrictive than PPOs when it comes to physician access.
  3. Think about how much you are comfortable paying out-of-pocket. Some plans have lower premiums, but require you to pay higher deductibles. If you do not anticipate high expenses, you may come out ahead with this option. However, some people will be more comfortable with paying higher premiums in exchange for lower out-of-pocket costs.
  4. Make a list of the criteria most important to you. You may think you can skip this step, but writing it all down will make the task seem less overwhelming and help you sort through your plan options.
  5. Compare your list with the features of the plans available to you. Don't just pick the same plan you had last year! Plans change and yours may cost more or have fewer benefits next year. Check all of your options. You may not find the "perfect" fit, but you'll probably find some plans that come close.
  6. Sign up for the plan of your choice. Be sure to follow the instructions provided by your human resources department.

Tips:

  1. Ask questions. Don't be afraid to contact your human resources department or the plan administrator if you have any questions. You don't want to sign up for a plan only to discover that your doctor does not participate or that it doesn't cover the prescription drugs you need.
  2. Be conscious of your deadline. Some people are procrastinators and put unpleasant tasks off until the last possible minute. This is not something you want to wait until the last minute to complete. Be sure you make your choice before the deadline.

What You Need:

  • Information about your plan options
  • Pen and paper
  • Calculator
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