30 Second Insurance Tips©

Tip 144- Deductibles Are Calendar Year

Health insurance. Health insurance. Health insurance!

Since the October 1st rollout of The ACA Marketplace, it seems like that’s all anyone is talking about.

Individuals scrambling to find new insurance by year end may be considering a delay following the President’s announcement Thursday. After all, the premiums for your old policy may be lower than what you’re likely to find next year.

But here’s a reminder. The deductibles of your health insurance policy re-set each January 1st. And, for individual coverage, a new insurer will not give you credit for the deductible satisfied while covered by the previous insurer.

So you might incur several thousand dollars of medical expenses in the first three months of the year, switch insurers April 1st, and have to satisfy yet another deductible.

Do the math. Delay may be costly.