What Is Medical Cost Sharing?

pexels-evg-kowalievska-1170979Medical cost sharing plans have become extremely popular of the last ten years. Many have found the Medical cost sharing community to be a valuable alternative to health insurance.

What is Medical cost sharing?

Medical Cost Sharing is a peer-to-peer sharing of large unexpected medical costs through a membership based community. Every member of the community contributes monthly funds to the community, these funds are then distributed to members to assist with paying covered medical expenses. Here are a few highlights of medical cost sharing…

  1. Medical Cost Sharing is NOT Health Insurance. It is an innovative non-insurance solution to the rising cost of healthcare in the United States. A member of a cost sharing community is free from the worry about staying in network and is free to choose any provider they feel works best for their needs. In addition, the monthly cost of medical sharing averages 60% less than premiums for a major medical health insurance plan.
  2. Every Community Member Selects a Membership Level based on the amount of your selected Initial Unsharable Amount or IUA. IUA’s range from $500 to $5000. This is the amount you feel comfortable in paying without help from the sharing community. In general the lower your selected IUA the higher the monthly financial contribution to the community, and like wise, if a higher IUA is selected the lower your monthly contribution.
  3. The Community Shares To Pay Expenses Beyond Your IUA – If something unexpected happens, and your medical expenses are greater than your preselected IUA, the community members share funds to pay for any expenses beyond your IUA.
  4. You Pay the Doctor. With medical sharing plans you pay your healthcare provider with the shared funds, for the duration of your care. As a cashing paying client most community members end up paying a fraction of the amount which is billed to the medical insurance carriers, further providing value to the medical cost sharing community.

Hurley Benefit Services is proud to be a partner with Austin, TX based Sedera Medical Sharing Community to offer such plans to our clients. Sedera administers the funds for distribution to community members. Medical cost sharing plans are more affordable and typically cost a fraction of the cost of medical insurance.