It fine for not having health insurance? All kinds of insurance, including health insurance, are provided for one sole purpose, to ensure the insured’s peace in mind and ultimately happiness. In the case of health insurance, it ensures your peace in mind and happiness by making sure that you don’t have to suffer from financial difficulties when you already suffer from illness. The question is that whether you actually need health insurance to feel peaceful and happy. Whether health insurance can really make your life trouble-free, especially when you are sick? Here we will show you the pros and cons of health insurance to find out whether it is fine for not having health insurance.
The Pros of Having Health Insurance
So many people decide to have health insurance protect them for obvious reasons. Here are some reasons why health insurance can be beneficial for you.
- Health maintenance is much cheaper.
With health insurance, you pay much less when visiting doctors, getting treatments and getting medicines. A medical bill costing $100,000 can be significantly reduced or even eliminated if you have health insurance. And you only need to pay $2,000 or $3,000 for such reduction or elimination.
- You can improve your health and look better as well.
Some insurers cover not only health care treatments for illnesses, but also treatments for improving your health, such as weight loss treatments, and even cosmetic treatments, such as braces and health spa. Of course, not all health insurance policies offer such coverage, but if yours offers it, you are lucky.
- IRS will not steal your money.
The Affordable Care Act requires that you either have health insurance or pay a penalty tax. By having health insurance, you don’t have to pay IRS’s penalty tax.
The Cons of Having Health Insurance
There are also reasons why some people think that it is fine for not having health insurance. Here are their reasons.
- Health insurance is expensive.
Health insurance is obviously not cheap. The premiums and the amount of deductibles of a health insurance policy are always equivalent with the price that you have to pay. Indeed, you can enjoy extended coverage that includes cosmetic treatments, for instance, but it doesn’t come cheaply and you have to pay a lot of money for it.
- The policy can be confusing.
When you buy a health insurance policy, there is a thick document that you have to check, and you have to check it. You need to read the policy’s disclaimers, coverage, waiver, options, and many more. Failure to accurately understand your policy may lead to incidents whereby your treatment is not covered by your insurance.
- IRS cannot charge you for not paying penalty tax.
IRS can neither put you behind bars nor put a lien on your property if you don’t pay the penalty tax. IRS can, however, deduct the tax from your tax refund.
Now that you understand the pros and cons of having health insurance. If you decide to stay uninsured, at least follow the tips below to make sure that you are always fine for not having health insurance.
- Learn about health insurance exemption.
Several individuals, such as Native Alaskans, Native Americans and people with religion forbidding insurance, are exempt from requirement to have health insurance or to pay penalty tax.
- Plan an emergency budget.
When you are sick, no one will insure you, so you have to make sure that you are financially prepared for such emergency situation.