Health insurance is certainly a hot topic, especially these days. Still, despite the fact that the Affordable Care Act has been enforced since 2010, there are still many people who are opting not to get this type of insurance. Yes, that means that despite it being a law that everyone must have healthcare, people are still breaking the law.
If you're scratching your head, wondering why some people don't buy health insurance, there are explanations. Read on and find out what they are.
1. It's too expensive
Perhaps one of the most common reasons why people don't sign up for health insurance is because of the costs. You might be asking, "But they are required to have it, why would they just break the law?" Many people get car insurance or home insurance after all, because they want to follow the the law..
Well, if you can't comply with the law, the most that will happen to you is that you must pay a fine, and the fine is often cheaper than making the monthly payments on something they might think they will never need. Also, in many cases, they might not even need to pay the fine. For example, the ACA exempts some people from paying based on certain hardships. If you've experience fires or loss of a home through natural disasters, eviction, foreclosure or homelessness, if you have a lot of medical debt, or if you income is too low, then you're not required to pay a fine for not having health insurance. Of course, if a client is facing with such problems, then paying premiums might not be their number one priority.
However, if they can afford it, but choose not to pay for it, then perhaps you can show them just how much more expensive it can be if did get sick or get into an accident and they didn't have insurance. The US has one of the most expensive health care systems in the world and getting sick here is no joke. However, a good insurance plan ensures you're covered and you won't have to worry about enormous medical bills.
2. The process is too complicated
Some clients simple put off getting insurance because they're too busy or just confused. There are too many options and understanding the different policies is too complicated. Some people, when faces with such problems, just shut down and just push the decision aside. In such cases, there really is no reason for them not to have insurance, which can have dire consequences later on.
However, as an insurance agent, this is one of those situations where you can shine. You need to be patient, and guide your clients through the process of finding the right type of insurance. It is up to you to get to know them, their family, and their needs, and help them decide on which plan suits them and help them through the process of signing up.
3. They don't think they need it
Many people - often the younger generations - feel that they just don't need insurance. While it's true that when you're young and healthy, you feel like you could conquer the world, this simply won't be true forever. People get older and they do occasionally get sick. Or they might do their best to stay healthy, exercise, eat right, but then they might get into a life-changing accident. And then what? Though some clients may think they don't need it now, they might eventually need it.
Of course, there's no need to rain doom and gloom on your clients and remind them of their mortality. You can take a more practical approach - remind them that by paying into their insurance system now while their young and healthy will ensure that they're protected in the long term and that they can pay lower rates instead of being charged exorbitant prices once they grow older or sicker.
4. They can't find a plan that suits their needs
Some clients might simply be waiting for the right plan or the right price to come along. They might think that the plans being offered simply aren't good enough or just don't cover their needs. Of course, insurance plans aren't one-size-fits-all. However, as an insurance agent, you should help your clients find plans that will cover their current and future needs. Many companies offer different options, plus riders and add-ons that can help clients create an insurance plan that can cover most medical problems that may arise.
5. They think insurance will be cheaper or even become free in the future
In connection to reason #3, some people may think that someday, in the future, when they do need healthcare, then it will all be free and they would have wasted all that money on insurance. However, unless they plan to emigrate to another country where health care is free, then there's no guarantee that health insurance will be cheaper in the future or if there won't be a need for it. Unless there were drastic changes, healthcare in America might not become cheaper or free, at least not in our lifetimes. Of course, things could change, but unless your clients can see the future, then it's better to be prepared now.
For American, health insurance is a touch subject, but something we all need to consider. It's something we all need to have, especially with the skyrocketing costs of healthcare in the country. Of course, many people have their own reasons for not having healthcare, and you should respect their reasons if they simply don't want to have it. However, as an insurance agent, it is your duty to make sure they are well-informed, not only about the consequences of not having insurance, but also of their options, should they decide to obtain a plan.