I am new to this health care benefits?What is better having a 2000$ deductible or a 250?

Question

It was probably a stupid question. What is a detuctible if anyone could explain it to me. Thank you!

Answer 1

The deductible is how much you must spend first during the year, before your insurance starts picking up their share.  

So if you go with the $250 plan, the insurance starts paying their portion after you've spent $250 in medical costs.  On the $2,000 plan, the insurance starts paying their share after you've spent $2,000

However, it's almost a certainty that your share of the premiums with your employer will be substantially higher with the $250 plan vs. the $2,000 plan.

So first, calculate how much your share of the premiums will be for the whole year under both plans.  Also consider whether you will have $2,000 to pony up should you need to.  Lastly, how is your health?  If you are young and in good health, it's quite likely you'll never even spend $2,000 in medical costs in one year, so the higher deductible plan might be the way to go to save you money throughout the year.

Answer 2

The deductible is the amount you have to pay out of pocket, before the insurance kicks in.  Having a higher deductible means you pay less each month for your insurance premium.

Which is better?  It's going to depend on how often you go to the doctor, what medical treatment you need, and what the cost difference is.    For really healthy people, it saves money to take the higher deductible.  For really unhealthy people, it saves money to take the higher premium.

Answer 3

The deductible is the amount you have to pay out of your pocket before certain benefits of the insurance kick in.

The higher the deductible, the lower the cost of the insurance.  

If you cant come up with $2000 then take the more expensive insurance.

Answer 4

A $250 deductable is much better than having a $2000 deductable. The difference will be the premium that you have to pay each month or out of each check. 250 premium will be higher than 2000 premium.