Is Paying for Health Insurance Still a Good Idea?

Ever wondered if paying for health insurance is worth it? Health insurance isn’t just another bill necessarily – it’s a safety net for when unexpected health issues pop up. That’s why it’s important to understand how having insurance can save you a lot of money if you get sick or injured. Health insurance can be expensive, so you want to consider affordable options like government programs and special credits that can help lower the cost. By the end of this article, you’ll hopefully have a clearer understanding of how health insurance works and why it might be a valuable thing to have for your household.

Is Health Insurance Worth the Cost?

Health insurance isn’t just a random policy, it’s essential for providing access to quality care and improving overall health outcomes. Unexpected events can catch people off guard. For example, an unexpected fall could lead to something as severe as a broken leg, which without insurance, would set you back nearly $8,000. But with good coverage? You’re looking at around $1,600 – that’s quite the difference. That’s just for a minor injury but think about even bigger than that! A three-day hospital stay doesn’t come cheap either – costing more than $30,000 if uninsured.

On top of that, the cost of medication is high! Many people rely on medications to manage illnesses they have. However, without insurance coverage, these pharmacy bills may be too much to deal with on a monthly basis. There can be other benefits that come along with having health insurance (depending on your policy) like mental health coverage and access to preventative care.  All of that being said, people can argue that health insurance is worth the cost. However, not all coverages were created equal. That means that you would need to find one with your needs in mind.

What if Health Insurance is Too Expensive?

A lot of people are not uninsured for no reason. Oftentimes, people struggle financially and can’t afford the high cost of premiums. That’s why it’s important to know what affordable opportunities are out there besides the standard options on the marketplace like:

  • Children’s Health Insurance Program (CHIP)
  • Medicaid
  • ACA Credits

Children’s Health Insurance Program (CHIP)

CHIP is a health insurance program that focuses on families who find themselves in a tough spot when it comes to healthcare coverage. They earn too much to qualify for Medicaid but can’t afford private insurance. This service aims to lend a helping hand specifically to children of such families. A child’s health needs are unique and extensive which is why CHIP covers services like:

  • Routine Check-Ups
  • Hospital Stays
  • Vaccinations
  • Dental and Vision Care


Medicaid offers health coverage to those that are low-income. It plays an essential role by offering care options when they’re most needed. The services covered are broad. Doctor visits are included because everyone needs check-ups now and then. Hospital stays too; accidents happen even if we don’t plan them. For parents wondering about their child’s cough at night or the pain that won’t go away – pediatric services are also part of the package. On top of that, it covers preventative care. Early detection can make all the difference in treating diseases like cancer. Screenings, vaccines you’ve been putting off getting – they’re covered too.

You may wonder: “Is my state’s version of Medicaid similar to others?” Well yes…and no. Federal rules set a standard guideline to make sure that certain groups have access to specific benefits (like those mentioned earlier). So while every state has its own flavor of Medicaid, they still play by the federal rules.

ACA Credits

Health insurance can be costly, but the ACA offers a solution. Through tax credits, it helps individuals and families with low income afford coverage. Tax credits are not just random giveaways; they’re calculated based on your specific situation. Income and household size are essential factors when figuring out the amount of aid you receive for health insurance costs.

When you get health insurance through Obamacare, you can get some help to pay for it. This help is called a tax credit. You can use all of this credit, just some of it, or none at all to make your monthly insurance payments cheaper.

If you use less than you need, you’ll get the leftover amount back as a tax refund. On average, people are seeing savings of $483 each month! But remember, you won’t get these benefits just like that. You’ve got to apply when the open enrollment period rolls around or if you’re eligible for a special enrollment period because of major life changes.

Bottom Line

Health insurance should be considered more than just a regular expense— it’s important for wellbeing and financial stability. From covering the high costs of unexpected injuries, to reducing the expenses of hospital stays and essential medications, health insurance plays a key role in making healthcare more affordable. Beyond these immediate benefits, health insurance also provides access to preventive care and mental health services, which are vital for long-term well-being.

However, the cost of health insurance can be a pretty big concern. That’s why it’s important to consider affordable coverage options like Medicaid, the Children’s Health Insurance Program (CHIP), and tax credits through the Affordable Care Act (ACA). While health insurance can be a sizable investment, its benefits often outweigh the costs, especially when facing medical emergencies or ongoing health needs. And for those worried about affordability, there are several programs available to help ease the financial burden. Ultimately, the right health insurance plan can provide peace of mind and contribute significantly to maintaining your and your family’s health and well-being.