health insurance share plans

Healthcare costs are climbing day-by-day. Insurance premiums are troubling most people and they are barely able to meet everyday costs. Survival is expensive – you have a family to look after and even individuals have their own expenses.

Thus, most people are turning to health insurance share plans. Household budget can get overboard at times, but with these health share plans, you can breathe easy.

Want to know more about this plan? Keep reading to find out!

What are health share ministries?

Health share ministries are individual or family organizations that volunteer to offer medical expenses help. Members of these institutions have a common belief and they promise to help each other when in need.

In case the member has expenses related to medical needs, they ask the ministry to share the cost among the members.

Health-share plans are faith-based (mostly) cooperatives. The members agree to cover a specific portion of each other’s health/medical costs. It may sound like insurance, but there are some major differences.

Health-Share Plan is Different From Insurance

Health-share plans are very different from insurance. There will be few legal protections in the case of health-share plans, but there are many perks too.

It’s an affordable alternative to the conventional method of insurance.

Health-share plans are good for those who are:

  • In good health
  • Have lack of access to insurance through government or a company
  • Only require catastrophic coverage
  • Cannot afford health insurance premiums

Health-share cooperatives have the ability to make their own rules as to what they will cover and what they would not cover. It’s considered a gift, and the cooperative also gets to decide whether they would reimburse you for all the expenses.

The health-share plans are attractive simply because the monthly costs are lucrative.

In a traditional health insurance setting, you have to pay high premiums and there is no heart involved in the procedure. Moreover, the entity may or may not grant you the health insurance cover. It really depends on your financial status.

You might want to check whether health-share plans cover pre-existing conditions.

Your Health Matters

Health emergencies are mostly sudden and they do not knock at your door ahead of time. When you opt for health-share plans, make sure you understand the terms. There are some health issues that will be covered and others are not.

The rules are set by the cooperatives, so it is best to understand the workings of the health-share plan.

Becoming a member of the health share plan also has some eligibility criteria. Since these programs are faith-based (mostly), the members promise that they will lead a healthy life.

The approved members share a monthly amount which then is used for emergency situations. Let’s say one of the members has a medical situation and they need financial aid, the accumulated amount is used for their medical expenses.

The biggest benefit of Health-care cooperatives is that it is cost-effective and much cheaper than the traditional health insurance premiums.