Health Insurance is complicated. There are so many words that have industry specific meaning. That can lead to confusion. Many will choose a plan based on premium costs alone. Here are the basics that can be used to compare plans and save you money.

Are your doctors and other providers in network with the plan? If yes, great! If not, are these doctors and other providers important or would you consider choosing one in network? What size is the network in case you need specialized care?

Are your medications in the plan formulary? Each carrier and plan have chosen a list of medicines they will cover. Ensuring your medications are covered is an important step in choosing a plan. It is possible to apply for a formulary exception with the carrier once you have chosen the plan.

Another cost to compare is the cost of your medications on each plan. Each carrier has a list of Preferred and Standard pharmacies. Preferred pharmacies tend to have lower costs than Standard pharmacies. Check to see if your pharmacy is on the Preferred list. Check cost differences and choose your pharmacy based on your preferences.

What are the total costs for the plan? Many will look only at premiums to compare, but there are other costs to consider. Look at the plan’s Summary of Benefits and compare deductible, max out of pocket amounts, and copays for care.

Comparing provider networks, medication costs, copays, premiums, size of network and strength of the carrier are all good markers to use when comparing health insurance plans. Contact a licensed and certified health insurance professional if more information is desired.

This article is for information only and should not be considered a recommendation. Talk with a licensed Health Insurance Professional about your specific circumstances. For more information you can go to The Texas Department of Insurance.