7 ways to save money on health care costs

In part 3 of our 4-part series on health care costs, we look at 7 ways to save money on health care costs. Read part 1: What to know about health plan costs and part 2: How to set a health care budget.

While you can choose how much you want to pay for coverage, you can’t change the price of medical care. But once you have a plan, there are simple ways you can save money and be sure you’re getting the most out of your coverage.

       1.  Make healthy decisions

A health spending study found that hospital care accounts for one-third of health care costs in the U.S. So, an easy way to save money is by being proactive about your health.

You might try adopting healthy behaviors, like quitting smoking, eating healthy foods, or tackling your stress. Your health plan may also provide classes, programs, or even apps to help you reach your health goals. Some plans may even offer reduced rates on chiropractic care and fitness memberships.

       2.  Get routine care and schedule preventive screenings

Prevention and early detection of possible medical issues may not only help you save money — it may even save your life. Try taking small steps sooner — like getting routine vaccinations and health screenings and seeking care when you first see a problem — so you can prevent costly health issues.

       3.  See doctors who are covered by your plan

When you need care, it’s usually more affordable to see doctors and use pharmacies that are in-network, which means they’re covered by your health plan. This can apply to doctors, specialists, pharmacies, urgent care, and even emergency departments. It’s important to check your health plan documents to make sure you’re staying in-network.

The easiest way to stay in-network is by finding a plan with integrated care, which means the health plan works directly with hospitals, doctors, pharmacies, and other providers. With integrated care, you have a clearer list of in-network providers, so you don’t need to search for a doctor, pharmacy, or urgent care facility that takes your coverage.

       4.  Try telehealth or virtual consultations

Are you concerned about a new rash, or starting to get flu symptoms? Save on the stress of rushing to the doctor by talking to a medical professional by phone or video. Telehealth options are often available at a lower cost than in-person visits and may cost you nothing at all.

       5.  Take advantage of FSAs and HSAs

With a health savings account (HSA) or flexible spending account (FSA), you can save pre-tax dollars for medical costs. This money can help you pay for your doctor visits and prescriptions, but you can also use it for things like eyeglasses, hearing aids, or even over-the-counter drugs like ibuprofen. Your employer may even contribute to your FSA or HSA too.

What’s the difference between an HSA and an FSA?

• HSA: If you have a high-deductible health plan, you can open an HSA. Money can be taken directly from your paycheck, and it won’t be taxed. Or you can make tax-deductible contributions at any time.
  
• FSA: If you want to start an FSA, it doesn’t matter what type of health plan you have, but it must be offered by your employer. Like with an HSA, you can add pre-tax dollars from your paycheck, but if you don’t spend your FSA money by the end of the year, you’ll usually lose those funds.

       6.  Choose a generic drug when possible

Generic and brand-name drugs work the same way. But the added benefit of generic drugs is they cost much less. If you’re paying more out of pocket for your brand-name drug, talk to your doctor about switching to a generic version.

       7.  Get the right care at the right place

Where you get care can affect how much you pay. Emergency departments sometimes charge more for medical care than urgent care clinics do, and often have longer wait times. So, if you need care for things like minor cuts, injuries, or a fever but can’t wait for an appointment with your doctor, you could save money — and time — by visiting an urgent care clinic. If you have questions, you can call your health plan’s care advice line for help finding the right place to get care.

But don’t let costs get in the way of getting the right help. If you have a condition that needs immediate care, call 911 or go to the nearest emergency department.

Avoid financial surprises by understanding medical costs

Small changes to your routine can add up to big health care savings. But when it comes to spending, you can avoid surprise medical bills with tips from the next article in our series: Understanding the costs related to getting care.