Do You Understand the Importance of Health Insurance?

If you are one of the 45.7 million Americans in the U.S. without health insurance, you may not completely comprehend how important healthcare coverage really is. Most uninsured Americans cite the high cost of health insurance as the #1 reason for not having coverage. In reality, though, living without health insurance can actually put you at significantly more financial risk. One accident, illness, or injury could put your financial security in jeopardy.

What Health Insurance Provides

You can receive medical care without health insurance. However, the extraordinary costs of doing so strongly discourages the uninsured from seeking out medical care until it's too late or the ailment has worsened. With almost all health insurance plans, hospital stays and sick visits to a doctor will be at least partially covered. Some health insurance plans also cover preventive care, mental health care, prescription drugs, and more. A good health insurance plan will pay for the basics of healthcare, but it can also serve as a preventive measure against future disease or illness. Be sure to compare health insurance companies before buying a policy.

Live Longer with Health Insurance

One of the most commonly cited reasons for declaring bankruptcy is medical costs. Uninsured people are caught off guard by a serious injury or illness, and it creates a financial disaster. Even a rather small injury, like a broken arm, can put a major strain on your finances if you don't have insurance.

Studies have shown that people with health insurance live longer, and they also enjoy a higher quality of life than their uninsured counterparts. Experts attribute this mainly to the fact that the insured are less likely to put off visits to healthcare providers when problems arise. Thus, people with insurance tend to get the care they need when they need it instead of waiting for the problem to get worse. Here are just a few more reasons health insurance is so important:

• With good health insurance, you don't need medical payments coverage on auto insurance
• People with insurance live longer, better lives
• Health insurance can make prescription drugs affordable
• Access critical preventive care with some health insurance policies
• Unpaid medical bills can destroy your credit, and hospitals can even put a lien on your property if you don't pay in full

There are states such as Massachusetts, where healthcare reform has already begun at a local level, and nearly 95% of their residents now have health insurance.