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Regular Contributor
Posts: 123
Registered: ‎07-22-2012
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Paying for insurance only when you "need" it?

I have been wondering... have any of you ever signed-up for insurance only when you were in need of a check-up/screening/consultation and then cancelled the insurance plan right after? I am wondering if there would be any negative consequences to this and if this would be a smart way to use insurance while you are a healthy 20-50 year-old.

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Established Contributor
Posts: 515
Registered: ‎07-31-2012
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Re: Paying for insurance only when you "need" it?

Just to make sure I understand this. You want to get medical insurance when you need something done. Go take care of whatever, pay your co-pay and let the insurance company pay the larger portion of the bill. Then you are going to cancel it after paying only a couple of months premiums max? So now they have to make up that loss somewhere, of people doing this (you didn't think it was an original idea, did you?) so they raise the premiums of all the people that keep their insurance active all the time? They are a business after all and responsible to their shareholders, not a charity. And you really see nothing wrong with doing this?

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Established Contributor
Posts: 724
Registered: ‎06-06-2012
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Re: Paying for insurance only when you "need" it?

[ Edited ]

Be careful, many times you cannot get medical insurance if you have cancelled a self-insured plan in the last 6-12 months. They share info through systems (MIB.com for instance) just like the credit bureaus do and especially if it is within the same state you may have a real hard time finding someone even willing to take you.

 

Also beware starting Jan 2014 you will be required to have medical insurance or face government fines/penalties.

 

 

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Regular Contributor
Posts: 123
Registered: ‎07-22-2012
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Re: Paying for insurance only when you "need" it?

[ Edited ]

 


compassion101 wrote:

Be careful, many times you cannot get medical insurance if you have cancelled a self-insured plan in the last 6-12 months. They share info through systems (MIB.com for instance) just like the credit bureaus do and especially if it is within the same state you may have a real hard time finding someone even willing to take you.

 

Also beware starting Jan 2014 you will be required to have medical insurance or face government fines/penalties.

 

 



What if we are just talking about vision/dental insurance?

Jun 2012 FICO® ~ 734 EQ
Sep 2012 FICO® ~ 684 EQ; 734 TU
Oct 2012 FICO® ~ TBA

Goal for 2014 ~760+

Trying to stay in the garden...but also trying to get as many apps as possible for now Smiley Wink
Valued Contributor
Posts: 1,057
Registered: ‎09-29-2009
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Re: Paying for insurance only when you "need" it?

In my case I get all my personal health insurance (medical / dental / vision) through my employer and I can only sign up / cancel at one point in the year for the following year. Unless there is a "Qualifying event" such as marriage or divorce I am not allowed to just randomly drop my coverage. I was aware that the insurance companies keep databases of enrollment / drop / claims history and as mentioned above you can be refused coverage based on the info in the database. I don't know how the new health care regulations affect that in 2013. And I don't know if vision coverage plans maintain the same info. But for those of us under employer plans it's not an issue.

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Valued Contributor
Posts: 2,682
Registered: ‎07-29-2009
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Re: Paying for insurance only when you "need" it?


SportBike4Life wrote:

What if we are just talking about vision/dental insurance?


When I had an employer who asked employees to pay part of their vision insurance we only did vision every other year. I never cancelled it during the year, but I would cancel it every other year. We are a family who does fine with vision checks every other year.

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