Health Insurance Tier System Explained

COSTA MESA, Calif. - Oct. 30, 2019 - PRLog -- Platinum, Gold, Silver and Bronze: What Does it Mean?
The difference between the value of each tier is important to keep in mind when you choose your healthplan. Otherwise, you may not be making the best decisions that result in savings. In a platinum plan, you only pay roughly 10% of the cost of a healthcare provider's services. Compare that to paying 40% out of pocket with a bronze plan.

It makes sense for a young, healthy person who does not see a doctor often to buy the bronze plan. But there are unforeseen circumstances, like a sudden illness or accident, that may require more doctors visit and possibly a hospital stay, which would end up being very costly if you're paying 40% of the cost yourself. For this reason, even the healthiest young person who doesn't have an emergency fund may be better off with a silver plan (paying 30% of costs) or even gold (paying about 20% of costs).

If you're not sure which tier's right for you, think about how often you visited a doctor last year. If it was one or two times, chances are you'd be wasting money on a platinum plan, but if you became gravely ill, or had a debilitating accident, you would be saving lots of money.

Which Health Plan Fits Your Lifestyle?

If your kids are in high school or up to the age of 26 and on your plan, it may not be a bad idea to buy a bronze plan, but only if everyone is healthy and not involved in sports activities or any risky hobbies. Generally speaking, it's not advised to be on such a bare-bones plan if you are over 70 years old.

A silver plan may be right for you if you are under 70 years old and have elementary-school age kids who are not involved in any activities that would expose them to injury. This plan is advised over a bronze one if you or a family member sees a doctor and/or specialist a few times a year and only require one or two medications.

If you or a family member have a condition that needs closer monitoring, you may want to consider the gold plan. This plan is for those who have frequent doctor visits and need expensive medication. Older people and younger children who see the doctor more frequently should be on this or a platinum health plan.

A platinum plan may be cheaper overall if you take several medications or a family member suffer from a chronic condition that also requires frequent trips to medical care providers. A platinum plan is perfect for the elderly and those prone to illness and injury.