Health and Dental Insurance vs Discount Plans

There are many options available to Americans for health and dental plans.  The most common health plan is regular insurance provided by employers, but there are other types of plans that don't cost as much.  Dental plans are also usually provided by the workplace, but they are disappearing as employers are trying to cope with rising health costs.  46 million Americans are without health insurance and nearly 50% of this country has no dental insurance.  As we live longer and demand more from our health and dental providers, the price tag for these plans will continue to go up.

Health insurance is what everyone is familiar with, but most people don't really know how it works.  You and your employer pay the insurance company a regular monthly premium, and you are responsible for a small co-pay when you go see the doctor or get a prescription.  Over time, the money you pay the insurance company adds up to much more than the average person will ever use in healthcare.  If something tragic happens, you will thank your lucky stars that you have insurance, but even major surgery will not offset a lifetime of paying into the system.  Insurance companies only pay the doctor a small percentage of what they bill and the result is multi-million dollar insurance companies.

Dental insurance works almost exactly the same way that health insurance does but dental insurance companies are usually much smaller.  Like healthcare, you will pay into the system much more than you will ever use for the comfort of having it when you need it.  Most employers have stopped offering dental to their employees because it's not as important as health, but still expensive.  You can also get a dental plan directly from some dentists that work in a dental chain, but they don't usually cover the big expenses like braces.  This leaves most people stuck with nothing and they just pay full price when they need to go to the dentist.

Discount plans like Ameriplan are the alternative to regular health and dental insurance.  With these programs, you pay a very small monthly fee and in return the health and dental providers give you a large discount on their services.  The down side to these plans is that 80% off a $100,000 bill is still a $20,000 bill.  You pay the discounted price that insurance companies enjoy, but this can still leave you stuck if something really bad happens.  Dental is better than health with these programs because no one is going to lose their house over a dental bill.  These plans are good for people that have no health or dental at all because something is better than nothing, and the cost is hundreds of dollars less per month.

Each person's situation is different and the plan that's best for them depends on their needs.  If you are in good health and don't have any coverage, a discount plan is going to be your best option.  This will give you the option to save money for an emergency while enjoying a good discount on your everyday health needs like regular checkups.  Another great option for most people is a discount plan combined with catastrophic health insurance.  Catastrophic health insurance covers you in case of a big problem, but has a large deductible so it won't help with everyday healthcare.  Together you can have good coverage for substantially less than regular health insurance premiums.  Health and dental care have a huge impact on your life, and it's in your best interest to learn as much as you can about them so you can get the perfect plan for you.