Health insurance premiums are rising every year, and there seems to be no stop to that. And with the premiums and rising costs, so is the number of consumers questioning if they even need health insurance, especially after the year 2019, when the individual mandate that applies a tax penalty for those who decide not to enroll in health insurance was repealed.

Due to the rise in health insurance premiums, the popularity of alternatives to traditional health insurance has also increased dramatically. Alternatives like medical cost-sharing plans function outside of traditional health insurance. They may have limited benefits in some cases, but the cost required to enroll in such programs is extremely less when compared to traditional health insurance premiums.

What is A Healthcare Sharing Program?

Healthcare sharing programs are usually faith-based which operate by voluntarily sharing eligible medical costs among the members. Members send monthly installments (like premiums) that will cover the medical expenses of other group members according to the guidelines put forth by the program.

A massive part of healthcare sharing programs gaining popularity is their costs; they are not expensive compared to health insurance, and families can enroll themselves as members for $300-$600 per month. In contrast, the average cost of coverage for a family through traditional health insurance may rise to $1,500 per month.

How Healthcare Sharing Programs are Different to Traditional Health Insurance

However, a healthcare sharing program can’t be like health insurance. These plans are less expensive than what these programs cover might be more limited than traditional health insurance coverage. The coverage of healthcare sharing plans also depends on handling potential claims and costs and the program’s faith-based nature.

Healthcare sharing programs do cover a majority of medical expenses that traditional health insurances cover. They might refuse to cover any medical costs that require procedures that are seen as unbiblical. Methods such as abortions, birth control, alcohol or drug-related injuries are not covered under some of these cost-sharing groups depending on the guidelines set by them.

Benefits of Healthcare Sharing Plans

We have discussed above that these low costs are one of the significant benefits that health care sharing programs offer over traditional health insurance. But, some of these programs provide membership bonuses in the form of discounts on dental and vision, disability sharing, and free telehealth services- which provide members the access to discuss any medical problem with a licensed physician through video or phone.

Other advantages that medical cost-sharing groups offer are:

  1. There are various program options that offer families and individuals flexibility.
  2. No membership can be canceled for developing a medical condition.
  3. There are no annual or lifetime limits imposed.
  4. Adoption and Funeral expenses might be covered
  5. The living or employment conditions don’t have any effect on your membership.
  6. Members of these groups may encourage and support one another at the time of illness and help with recovery while creating a sense of family and community among the group.

Health sharing plans are one of the most popular alternatives to traditional health insurance, and if you are interested, contact us to enroll in a healthcare sharing plan that will be ideal for you and your family.