Looking for Affordable Health Insurance? Maybe You Live in the Wrong State
by Karen Auby
There are lots of factors involved in determining how expensive your health insurance plan will be.
For example, if you’re older or not in good health and you’re looking for
private, non-employer-sponsored health insurance, you might expect to pay a bit more for your coverage.
But did you realize that geography is one of the biggest factors involved
in the price of your health plan?
Where you live can make a big difference in how much you pay per month.
In December 2004, eHealthInsurance released a report on the Most Affordable Cities for Family Health Insurance.
Similar health coverage plans, designed for a family of four, were reviewed in fifty of the largest cities in the United States, and the results were quite
surprising.
eHealthInsurance uncovered a $588 difference in price between the most
affordable (Kansas City, MO) and most expensive (Boston, MA).
Living in Kansas City, a family of four could pay less than $172 a month, but if they moved to Boston, the same family would have to pay nearly $800 a month for comparable coverage.
According to the December report, the top ten most affordable cities are concentrated in the west with California insurance among the lowest priced in the nation.
The report found that families in the San Francisco Bay Area could find plans for as little as $190 a month.
Affordable health coverage can also be found in Southern California with
Long Beach ranked at number two and Los Angeles ranked at number ten. A family of
four could find a health plan for only $180 a month in Long Beach.
Arizona health insurance plans are also remarkably affordable. In fact, Tucson, Mesa and Phoenix all ranked in the top ten with monthly premiums ranging from $184 to $210.
That’s a far cry from the prices many Texans would have to pay. In Texas, medical insurance for a family of four ranged from $315 to $429 a month.
The report provided the top ten most affordable cities along with the monthly premium for a family of four:
Kansas City, MO ($171.86)
Long Beach, CA ($180.00)
Columbus, OH ($182.28)
TIE: Tucson & Mesa, AZ ($184.88)
TIE: San Jose, San Francisco, Oakland, Fresno, Sacramento, CA ($190.00)
Omaha, NE ($190.09)
San Diego, CA ($199.00)
Cleveland, OH ($208.32)
Phoenix, AZ ($210.92)
Los Angeles, CA ($212.00)
So, why would a family in Massachusetts pay so much more than a family in Missouri?
Several factors influence the cost of health coverage in each state.
A primary factor is the cost of medical care in various locales. The number of hospitals and the average wages for medical staff can alter the cost of medical care.
Another factor is the number of state mandated health benefits insurers are required to provide with every insurance plan.
For example, in some states every insurance plan must provide maternity
benefits. This means that people not planning to have children will have to pay for health benefits they may never use.
So if you live in a higher priced state, what can you do?
It’s still worth shopping around to find the most affordable health plan.
And if you’re frustrated with the state
mandates that drive up the cost of your health coverage options, you may wish to contact your elected representatives.
If you’d like to find out what benefits your state government mandates, check out the Council for Affordable Health Insurance website - a non-profit organization in Washington
D.C..
With the rising cost of healthcare, we all know how important it is to have health
coverage for yourself and your family.
Though prices can vary widely from
state to state, most Americans still have a broad range of choices when it comes to private market individual insurance.
Licensed insurance agents like eHealthInsurance can introduce you to a broad selection of the health plan options offered in your area and help you find the best, most affordable health insurance for you.
