Major Medical Insurance Vs Supplemental Insurance

You’ve probably seen a lot of Social Media ads claiming they can get you affordable Health insurance. It’s mind-boggling to know what to buy. Well, let me clarify it because I think it’s vital to see if you’re getting what you pay for. 

Decoding Health Insurance: Major Medical vs. Supplemental Coverage

Major Medical Insurance vs. Supplemental Insurance. Navigating the world of health insurance can feel like navigating the local Town Center Mall parking lot on a busy weekend – confusing and overwhelming. You’ve likely seen countless social media ads promising affordable health insurance, but how do you know what’s right for you? Let’s clear the fog and explore the key differences between Major Medical and Supplemental insurance.

Why Health Insurance is Essential

Before we dive into the specifics, let’s address the elephant in the room: the cost of healthcare. Did you know that medical expenses are a leading cause of bankruptcy in America? It’s a disturbing reality, as common as afternoon showers. Don’t just take my word for it; check out these articles:

INVESTOPEDIA – Top five reasons people go Bankrupt.

CNBC – This is the real reason most Americans file for bankruptcy.

AMERICAN BANKRUPTCY INSTITUTE – Health Care Costs Number One Cause of Bankruptcy for American Families.

Here are the differences. 

Major Medical Insurance: Major Medical Insurance vs. Supplemental Insurance

Primary Medical insurance is like the firm foundation of your home – it provides essential coverage and protects you from catastrophic healthcare costs. Here’s how it works:

• Cost Savings: Major Medical insurance collaborates with doctors, hospitals, and pharmacies to lower costs for their members. You’ll typically pay less for care and prescriptions before meeting your deductible. It’s like getting a neighborly discount at your favorite shops.
• Preventive Care: Thanks to the Affordable Care Act, Major Medical plans cover essential preventive services like annual wellness checkups, mammograms, and colonoscopies at no cost to you. It’s like getting a routine tune-up for your health, ensuring you stay in top shape and enjoy all it offers.
• Max Out-of-Pocket (MOOP): The most crucial benefit of Major Medical insurance is the MOOP, or “stop loss.” Imagine facing a daunting $1 million hospital bill. With a MOOP of $5,000, you’d only pay that amount, and your insurance company covers the rest as long as you stay in-network. It’s like having a financial safety net to catch you if you fall, similar to the safety nets at your local trampoline park.

Supplemental Insurance: Major Medical Insurance vs. Supplemental Insurance

I’m sure most of you have seen the famous duck. That’s Supplemental insurance. It Supplements your Major Health Insurance. If you have an Accident or Critical Illness, they send you a check on top of what your Major Medical has paid. This can be useful if you can’t work, bring in a paycheck, and need extra help with expenses while out of work.

• Added Benefits: Supplemental insurance, often advertised with the iconic Aflac duck, supplements your Major Medical coverage. If you experience a covered accident or critical illness, it provides a cash benefit on top of what your Major Medical plan pays. This can be invaluable if you can’t work and need help with expenses while recovering, like having a financial cushion to fall back on during a challenging time.
• Not a Replacement: It’s essential to understand that Supplemental insurance does not replace Major Medical insurance. It’s designed to work with your primary coverage, providing additional financial support when needed, like having a spare tire in your car for those unexpected flats.

Creating a Balanced Risk Management Plan

As residents prepare for hurricane season with a comprehensive plan, having a balanced risk management strategy for your healthcare is crucial. I recommend both Major Medical and Supplemental insurance to provide comprehensive financial protection to ensure you’re prepared for whatever life throws your way.

Need Help Navigating Health Insurance?

If you have questions about choosing the right insurance for your risk management plan, please call me at +1.813.388.8373. I offer complimentary consultations and would be happy to be your resource. Think of me as your local insurance guide, helping you navigate the complexities of healthcare coverage, just like a friendly neighbor lending a helping hand.

About Steve Turner: Your Trusted Insurance Advisor

Steve Turner is a long-standing member of the National Association of Benefits and Insurance Professionals® (NABIP®) and holds the prestigious designation of Registered Employee Benefits Consultant® (REBC®). NABIP® is the leading organization for health insurance and employee benefits professionals, working diligently to ensure all Americans have access to high-quality, affordable healthcare and related services.

Steve Turner is a licensed agent appointed with Florida Blue.