Alabama residents enjoy a lifestyle rich with Southern hospitality and pride. But in a recent ranking of the healthiest states, Alabama came in 48 out of 50. This could partly be the result of a growing number of residents without health insurance of any kind—close to 16% in Alabama. Health insurance is crucial, as those who don't have insurance are more likely to skip seeking medical treatment because of costs.
The cost of health insurance is also high. But there are a number of ways you can save on your Alabama insurance, whether you are seeking private health insurance for yourself or your family or you are an employer looking for group coverage.
Alabama Health Insurance for Residents
Many Alabama residents are uninsured because they are unemployed, or because their employers don't offer it, or because they simply can't afford it. You can still cut your health care insurance costs in a number of ways, including:
- Get or stay healthy. Being overweight or a smoker are the two highest contributors to high health care costs for individuals. If you fall into one or both of these categories, you can save money by getting to a healthy weight range and working to quit smoking. Many companies require you to be smoke free for at least a year before seeing a reduction in your rates, so the sooner you get started the better.
- Raise your deductible. As with most types of insurance, raising your deductible or co-pay amount can lower your overall monthly rates to a more affordable range. This is a particularly good idea if you don't make many doctor visits.
- Cut your coverage. The more that is covered, the more you will pay. So reconsider whether you really need vision insurance, immunization coverage, or maternity benefits and cut out what you know you won't use.
Alabama Health Insurance for Employers
Most people get their health insurance from their employers. So if you are an employer seeking health insurance in Alabama, you are probably aware of the growing cost of Alabama insurance rates; in the past 10 years, average rates have gone up over 130%, according to recent data.
There are many factors that influence health insurance costs, one of which is the overall health in the area. The health of employers will affect your Alabama insurance rates by more than you might think. Recent studies have estimated the following increased costs employers pay additionally each year per employee by health risk:
- Smoking—$900
- Obesity—$400
- Excess alcohol—$389
- High cholesterol—$370
Keep in mind that these figures are per employee, so costs can really add up. As an employer, you can help reduce your rates by a whopping 50% and increase employee health at the same time by taking the following steps:
- Implement smoking cessation courses. Encouraging employees who are smokers to quit and then providing them with the resources to assist them can save a great deal of money on your rates.
- Encourage fitness/weight loss. Roughly 65% of Alabama residents are classified as overweight, which can drive insurance costs through the roof. Encourage employee weight loss by offering gym memberships, support groups, or even installing your own company gym.
- Alcohol/substance abuse support. Many people hide their dependence on alcohol and substance abuse well, so you may never suspect it. A support group to help encourage clean living can be very beneficial.
Comparing Alabama Insurance Rates
Perhaps the best way to know you are getting the best Alabama insurance rates for you or your company is through comparing quotes from multiple companies. Each insurance company differs, sometimes drastically, in annual rates so it pays to shop around. You can save time by using localinsurance.com. Not only can you research different types of insurance, but on localinsurance.com you can quickly and easily compare local Alabama insurance rates for free.
