AutoInsuranceMM.Info – Health insurance for college students – Cost Sharing Reductions Made Simple
Cost Sharing Reductions are…
– forms of federal subsidy given out as discounts that help reduce out-of-pocket costs for health-care expenses — including deductibles, copayments and coinsurance. This can only be obtained with a Silver-level plan. Moreover, it is for individuals and families with income between 100 percent and 250 percent of the FPL (federal poverty level).
How cost sharing reductions work to make plans more affordable?
It can lower your deductible.
This is the amount you pay “out-of-pocket” before your insurance starts paying for your healthcare expenses. Let us say you have $600 deductible. After you have spent $600 on your medical expenses, this is the point when your insurance starts paying a portion of or all of your costs. But if you qualify for CSR, your deductible for a Silver plan could be $150 or $350, depending on your income.
It can lower your copayments or coinsurance.
This is a small amount you pay each time you use a specific healthcare service. If your Silver plan’s copayment is $40 for a doctor’s visit, and you enroll in the plan and qualify for extra savings, you may pay $30 or $20 instead.
It can lower your out-of-pocket maximum.
This is the maximum amount you’ll pay toward your medical services in a given year. Let us say your out-of-pocket maximum is $3,000. Once you have reached this amount, your insurance will have to start paying 100% of your healthcare costs for the rest of the plan year. If you qualify for cost haring reductions, instead of $3,000, your out-of-pocket maximum for a particular Silver plan could be $1,000.
Got more questions?
For further information on cost sharing reductions and any other details about healthcare insurance, feel free to reach out to Health Plans In Oregon. We’ve been helping Oregonians at no cost since 2006. And if you want to do a side by side comparison of plans, feel free to call us at 503-998- 6169. We’re local, independent and licensed agents who can help you find a health care plan that best suits your needs and budget.
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