Choosing a Deductible

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The main difficulty people have with health insurance is affording the monthly premium payment. It is possible to substantially reduce your monthly payment by choosing a plan that has a high deductible. A deductible is the amount of the claim that is not covered by the policy. For example, a person with a $500 deductible will have to pay the first $500 of any claim for treatment, and the insurance policy will cover the rest. The cost of insurance policies varies widely with respect to your age, health, and other factors such as smoking. According to Newsweek, a healthy 25-year-old can obtain an insurance policy with a $2500 deductible for as little as $81 per month. Individuals or families that may make more frequent claims would likely benefit from opting for lower deductibles, as long as the monthly premiums are affordable.