HHS report shows that consumers are saving money by shopping around for coverage
Many residents of Montana have saved money by shopping around for health insurance coverage, according to a new report from the Department of Health and Human Services. The federal agency recently urged consumers throughout the country to shop around for coverage. The agency suggested that many consumers may be paying too much for their insurance coverage, largely because they are unwilling to shop around and consider new options. In Montana, many consumers took this urging to heart, looking for policies that better suit their financial needs.
Those shopping around for new policies saved a collective $1.5 million
The report from the Department of Health and Human Services shows that consumers saved a total of $1.5 million by shopping around for health insurance coverage last year. On average, individuals saved $331 per year when compared to what they would have paid with their former plans. Those purchasing new policies last year also qualify for federal subsidies, with the average premium being $28 a month after these subsidies are applied. These consumers are receiving the same level of coverage they had from their old policies, but their new coverage is less expensive.
Government continues to encourage consumers to enroll in insurance exchanges
The federal government continues to encourage consumers to enroll in health insurance exchanges. In the majority of states, the federal government manages these exchanges through HealthCare.gov. The federal government believes that millions of consumers will enroll in exchanges through the country this year, just as they had done last year. A significant portion of these people are likely to shop around for coverage, finding new policies that provide better coverage.
27% of consumers decided to shop around for new policies, finding coverage that better suits their needs
Approximately 27% of Montana consumers that re-enrolled in the state’s health insurance exchange last year switched to a new insurance plan for 2015. Some had opted to purchase more expensive policies that offered better coverage, but the majority saved money on finding policies that offer the same level of coverage.