How to Save Money on Health Care – Part 4
In this series of articles we give you some great tips on how to save money on health care.
Part 4 is about lowering your medical treatment costs. Medical treatment can be very costly but you can save money with these practical ideas.
Part 4: Save on Medical Treatment
Use an in-network provider
You usually benefit from using an in-network provider. You may benefit in two ways. Firstly, because of pre-negotiated rates, obtaining health care services from an in-network provider is usually cheaper. Secondly, to incentivize policyholders, most insurance policies provide increased coverage if you use an in-network provider.
For example, the normal cost of a procedure might be $2,000, but the insurance company has negotiated a rate of $1,600 with an in-network provider. In addition, your insurance policy may only cover 70% of costs incurred at an out-of-network provider, but 80% of the costs of at an in-network provider. Therefore, if you use an out-of-network provider, the procedure would cost you 30% of $2,000 = $600. But if you use an in-network provider it would only cost you 20% of $1,600 = $320. That's a considerable saving!
Shop around for health care
Always ask about the cost of treatment before you agree to it. Health care costs vary widely between facilities and between locations. Sometimes your doctor may have admitting privileges to more than one hospital. If so, ask to be admitted to the one that's less expensive.
If you don't mind traveling, you may even save money by obtaining treatment in another town or city.
Get a second opinion
If your doctor recommends significant treatment or surgery, obtain a second opinion from another doctor. Many insurance plans cover second opinions. Not only will you gain comfort from additional medical advice, you may even avoid the cost and trauma of unnecessary surgery.
Don't duplicate diagnostic tests for a second opinion
If you decide to obtain a second opinion, ask your doctor to forward copies of your test results, x-rays and medical records to the second doctor. Save yourself the time and cost of having duplicate tests performed.
Read your medical bills carefully
Ensure you understand every item you are being charged for. Hospitals and doctors make mistakes. If you don't understand your bill, have it explained to you. Errors in medical bills are common.
Consider using a medical bill auditor
If you are really concerned about your bill, consider using a medical bill auditor. Hospital bills can be very long and complicated. Several services are able to evaluate your bill for you and determine if you have been charged appropriately.
Often these services are provided on a contingency basis which means that if they don't find any cost savings they don't charge a fee for their services. But if savings are identified, they receive a portion of the savings as a fee.
If your medical bill seems excessive, try negotiating
If you think your bill is too high, talk to your doctor or the hospital billing department to see if you can negotiate a discount or reduction. This is always harder to do after you have received treatment. It is always better to negotiate before you receive any services because at least then you often have the option of using another provider.
Take advantage of free health screenings and immunizations
If you don't have health insurance coverage for preventive care, you may be able to utilize free health screenings. Check with your local clinics and hospitals to see if they provide free health screenings and immunizations, or search online for a community wellness fair in your area. You may be able to get free immunizations, dental and vision exams, hearing, skin cancer, blood pressure, cholesterol, respiratory illness, diabetes, glucose, PSA prostate, and HIV/AIDS testing.
Some communities also provide back-to-school wellness days for kids to reduce the number of schoolchildren who are late to return to school in the fall due to health care issues.
