Understanding Health Insurance Costs—and How to Keep them Down

But other costs can be managed. The better you understand how this works, the more control you’ll have over what you pay, ensuring that you get the greatest insurance value.

Outside Factors that Impact Health Insurance Costs

Health insurance costs are largely determined by healthcare costs—and these are continually rising. By and large, healthcare inflation outpaces general inflation.

According to a recent PALIG study, healthcare costs have reached record highs, especially in our key services areas of Latin America and the Caribbean. Here’s why:

An increase of chronic diseases like hypertension, diabetes, asthma and gastroesophageal reflux disease (GERD), which require more doctor visits, treatments, and medications.
Greater use of prescription drugs, including expensive new therapies and cancer Treatments.
The introduction of costly new medical technologies, such as tech‑assisted surgery.
A growing obese/overweight population, which in turn leads to more chronic diseases. (62.5% of Latin Americans are overweight or obese—the highest levels in the world.)
An increase in people seeking mental health treatment. At PALIG the number of insured members receiving mental health care has increased substantially. *

As healthcare utilization increases, health insurance premiums do too. Of course, the purpose of health insurance is to have it when you need healthcare. The key is to choose it, and use it, wisely.

Ways to Manage Your Health Insurance Costs

The health insurance plan with the lowest premiums isn’t always your best deal—not if the plan design doesn’t fit your needs. Choosing the right plan is so important. Once you have the right plan, use these tips to keep costs down.

Get to Know Your Coverage: Make sure you understand what’s covered, what’s not, and what requires pre‑approval (if applicable), so you can get the most from your coverage.
Use In‑network Medical Providers: If your plan includes a provider network, make it a rule to use in‑network physicians and hospitals. Why: out‑of‑network care costs more. This will limit your out‑of‑pocket expenses. You can view our wide network of medical providers here. **
Use Your Preventive Care Benefits: Many health plans cover annual checkups, vaccines and screenings at no extra cost. Take advantage of them. They help you stay healthy, which — in addition to being something we all aspire to — can prevent the need for more expensive treatments later.
Take Advantage of Telehealth Services: If your plan offers virtual doctor visits, consider using them for minor illnesses and injuries. They’re generally more cost‑effective than in‑person visits.
Review Your Medical Bills Closely: Always check any medical bills you receive line‑by‑line for errors, such as duplicate charges or incorrect coding. If something seems off, it’s your right to ask your provider to doublecheck it.
Choose Generic Medications: Ask your doctor to prescribe the generic versions of your prescriptions whenever possible. Generic medications are as effective as their name brand equivalents, but are generally much lower cost.
Avoid the ER for Non‑Emergencies: Treatment at emergency rooms is very expensive. If it’s not a true emergency, consider going to an urgent care center instead. It’s less expensive and often more convenient. .

And know you’re not in this alone—your insurance company should play a role, too.

What to Look for in a Cost‑Conscious Insurance Company

Some insurance carriers are actively committed to helping their members improve their health & wellbeing, while driving cost‑effective & high‑quality medical outcomes. At PALIG, it’s part of our mission.

In addition to tightly managing providers’ charges and offering personalized plan design recommendations, here’s a few of the health‑related cost‑saving programs we offer.

Free and Essential Preventive Care Services

In most Latin American countries, we offer our members an array of free or low‑cost vital preventive care services, including cancer screenings, exams and vaccines.

For example, our Healthier Life, Longer Life cancer screening program has provided thousands of women with mammograms and preventative cancer screenings As a PALIG Insured you can take advantage of programs such as this one.

Reduced Pharmaceutical Costs

We recently renegotiated agreements with leading pharmaceutical companies and providers to make medications — especially maintenance medications — more affordable. This helps all of our members save money, especially those with chronic diseases.

Access to Valuable Health Information

PALIG’s Wellness Hub gives our members access to cutting‑edge health and wellness content—including thousands of articles, videos, and health guides aimed to empower you to take control of your health.

In addition, we offer employers toolkits and programs to share with their workforce. Because often, small lifestyle changes can lead to big health improvements. We have a deep commitment to helping our members stay healthy. It not only keeps healthcare costs down—it makes life better, too.

If you’re interested in one of our healthcare solutions a local agent can show you your options, help you make a smart choice—and guide you through the process.

*Mental health services our offered to our insureds in Colombia, Costa Rica, Guatemala and Panama

** If you are looking for a U.S. based provider: This search will return information only if you purchase your coverage outside the U.S. If you purchased your coverage in the U.S., please log into MyPalic.com for information specific to your plan.

This information above is not intended to be nor should be construed as medical advice or a substitute for your doctor’s care. You should consult with an appropriate health care professional to determine what may be right for you.

This is not an offer or solicitation to sell insurance products. The information above is intended to provide general information and constitutes a summary of the different product benefits. It is not a contract or agreement. The terms of insurance coverages in the plans may vary by jurisdiction. All products are subject to exclusions and other applicable terms and conditions.

California Wildfires

Due to the tragic impact that the major fires in the Los Angeles area have had on so many, any policyholder affected by these fires who needs additional time to make a premium payment or comply with a policy deadline is encouraged to contact us so we can make reasonable accommodations to assist you.

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