There was a time when a small percentage of the shoppers for California health insurance were looking for catastrophic or major medical coverage. There was also a time (we promise) when health insurance was much less expensive than it is now. You really didn\’t need to worry about having catastrophic only coverage then. What a difference a decade makes. Now, we\’re continuing a trend in which health insurance quickly approaching catastrophic coverage by definition and it\’s not necessarily a bad strategy for health insurance in today\’s world. Let\’s take a look at the current best options for catastrophic individual health insurance on the California market.

First, a quick definition. What we really mean by catastrophic coverage is protection for the really big bills. This generally means less or no coverage for office visits, RX (brand name for the most part on the today\’s market), and perhaps lower labs. The general aim of this type of coverage is to reduce monthly premium as low as possible and essentially \”self-insure\” the smaller bills. This type of insurance makes increasing sense as a person gets older or rates go up…which is obviously the trend for all of us unless you\’ve somehow managed to break the universals laws of time! How do we evaluate the plans out there and determine if catastrophic makes sense and which plans best fit this approach? Let\’s get into the actionable information for California shoppers.

When looking at catastrophic health plans, the best place to start is with the monthly premium and work your way up. Find the lowest priced plans across the market (ideally looking at a few solid carriers) and then find the sweet spot between premium and the all important deductible/out of pocket max. This combination number shows your annual exposure in case you get really big bills (i.e. catastrophic). Let\’s say you have a $50K bill for a surgery resulting from an accident. What\’s your total exposure in a calendar year? Generally, you add the deductible and out of pocket max but keep in mind that some carriers show these two numbers separated while others show the max including the deductible. To make this easier, let\’s look at some of the best options to compare on today\’s market.

First, we\’ll generally start with the Anthem Clear Protection $3300 plan. It\’s fairly clean with a $3300 deductible and $3500 max out of pocket (total of $6800 exposure). Generic RX is covered but brand is subject to real high deductible (but still covered for catastrophic brand RX coverage which still fits our goal). Next, we\’ll look at Shield $4000 or $6000 Savings plan. These are generally higher in cost but the deductible is the max out of pocket which is clean and nice. RX and office visits are subject to the main deductible. Finally, we\’ll look at Health Net\’s new Advantage $3500 or $6500 plans. They are priced the lowest but being relatively new plans, we feel these rates are bound to go up at a faster clip so we need to consider that when comparing. Health Net is also more stringent in terms of underwriting. That\’s it. Those are three plans we like for catastrophic in this order.

Anthem Clear Protection $3300

Blue Shield Savings $4000 or $6000 (HSA qualified)

Health Net $3500 or $6500

Within these options, you\’ll find the lowest pricing on the market which is generally the staple of catastrophic California health insurance plan selection. Of course, we\’re happy to walk through the different options for your situation especially with the benefits of HSA funding. Keep in mind that preventative benefits and maternity are covered under all California health plans now including the options above.

Dennis Jarvis is a licensed California health insurance quote agent with extensive knowledge of the Individual California health market. quote California health plans

Dennis Jarvis is a licensed California health insurance agent with extensive knowledge of the Individual and Small Group California health insurance market. http://www.calhealth.net

Author Bio: Dennis Jarvis is a licensed California health insurance quote agent with extensive knowledge of the Individual California health market. quote California health plans

Category: Finances
Keywords: california health insurance, california health quote,individual california health insurance quote