Health insurance can be confusing. This simple guide helps you understand terms like premiums, deductibles, and what plan is right for you.

Health Insurance Shouldn’t Feel Like Rocket Science

Copays. Premiums. Deductibles. It’s enough to make your head spin. But don’t worry—we’re breaking it all down, simply and clearly.

Key Terms to Understand

• Premium: What you pay monthly

• Deductible: What you pay before coverage kicks in

• Copay: Fixed fee per visit

• Out-of-pocket max: Your spending cap before insurance covers 100%

Types of Health Plans

• HMO: Lower cost, must use in-network doctors

• PPO: More flexibility, higher cost

• High-Deductible Plans (HDHPs): Lower premiums, works well with HSAs

Tips to Choose the Right Plan

• Review your past year’s healthcare usage

• If you’re healthy: HDHP + HSA = cost-effective

• If you need frequent care: PPO or low-deductible HMO

Conclusion: Understanding Your Coverage = Saving Money

The more you understand your health insurance, the better decisions you’ll make—not just for your health, but for your wallet too.