Can You Have Two Health Insurance Plans? | eHealth Insurance

November 6, 2022

71 4 minutes read

Medical expenses are skyrocketing, causing many people to wonder if having two health insurance plans is possible and how to maximize the benefits of both. The good news is, yes, it is possible to have secondary health insurance that is perfectly legal. However, it’s important to understand how primary versus secondary insurance works to make the most informed decision. While having two individual or family health insurance plans may seem like extra work, it can help cover some of your insurance costs. On the flip side, it also means you’ll be responsible for two monthly premiums and deductibles. Therefore, before considering a second health insurance plan, it is crucial to carefully evaluate your situation and determine the best option for your needs. Let’s delve deeper into the topic.

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When Would It Benefit Me to Have Two Health Insurance Plans?

There are several situations where having two health insurance plans can be beneficial. Some scenarios include:

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Being a married couple with health insurance through separate employers.
Being under 26 years old with divorced parents, and both parents including you as a dependent on their individual plans.
Being under 26 years old, married, and covered by both your spouse’s plan and your parents’ plan.

How Does Having Multiple Health Insurance Plans Work?

Having two health insurance plans does not mean you will be fully covered twice for every expense you incur. For instance, visiting the doctor twice does not guarantee double reimbursement, and picking up a prescription does not mean you will be reimbursed twice for that medication. Insurance providers have a coordination of benefits provision in place to determine the order in which they pay. The goal is to prevent individuals from taking advantage of multiple plans and being reimbursed multiple times for the same visit. This provision specifies which plan pays first, reduces duplication of benefits, and streamlines the claims process.

How Do I Know Which Insurance Will Pay First?

The answer to this question depends on the situation. If you’re a child covered by both parents’ family plans, the “birthday rule” determines your primary insurance. The parent with the earlier birthday in the calendar year will provide your primary coverage. It’s important to note that age is not a factor in this rule, only the order of birthdays. When you make a health insurance claim, your primary insurance plan will act as if you don’t have secondary coverage and provide its benefits. After that, your secondary insurance plan will kick in and cover the remaining costs, if applicable and necessary.

Will I Still Have Out-of-Pocket Costs with Two Health Plans?

Yes, even with multiple health insurance policies, you will still have out-of-pocket costs. You are required to pay premiums and deductibles for both plans, and your secondary insurance will not cover your primary deductible. Additionally, you may have other cost-sharing expenses like copays or coinsurance. It’s important to remember that even though you have multiple plans, coverage up to plan limits does not eliminate all out-of-pocket medical expenses. To understand the different out-of-pocket costs you may have with multiple plans, it’s a good idea to consult with an eHealth-licensed insurance agent who can explain those costs to you.

Benefits and Disadvantages of Having Two Health Insurance Plans

Having two health insurance plans can offer several benefits. It can help cover additional costs that your primary plan does not fully cover, prevent coverage gaps if one plan lapses, and give you access to more coverage and increased benefits when your plans complement each other. However, there are also some disadvantages to consider. You may not be fully covered when it comes to out-of-pocket costs, and you will be responsible for two premiums and deductibles. Navigating separate policies and rules can be cumbersome, and there is the possibility of overlapping coverage. Additionally, billing processes may become more complicated, and some healthcare providers may prefer to bill only one policy. It’s essential to weigh these pros and cons before deciding on a second insurance policy.

Frequently Asked Questions About Having Two Health Insurance Plans

Does Having Two Health Insurance Plans Reduce Out-of-Pocket Costs?

In certain situations, having two health insurance plans can help lower your out-of-pocket costs. If the two plans cover different areas of your medical needs, one policy may cover one area while the other covers the rest, resulting in lower out-of-pocket expenses.

Are There Different Types of Secondary Insurance?

Yes, there are different types of secondary insurance coverage. Depending on your specific needs, you can find plans that target areas like vision, dental, disability, life, accident, hospital care, and Medicare supplemental insurance. Different secondary insurance plans focus on different aspects of your healthcare, offering additional benefits that complement your primary insurance coverage.

Does Secondary Insurance Cover Copays?

Some secondary insurance policies may cover copays, while others may not require copays at all. It’s important to review the specific details of each policy to understand if copays are covered or not.

What Is the Billing Process When You Have Two Health Insurances?

When you have primary and secondary health insurance, your bill will be sent to your primary insurance provider first. Once they have processed their portion, you can then bill your secondary insurance provider. To ensure a smooth process, always send the complete bill to your secondary insurance provider. This helps them understand what your primary insurance has already covered and why they didn’t pay the full bill. Submitting a full bill prevents the denial of your secondary claim.

Find a Health Insurance Plan That Works for You

Navigating primary and secondary insurance can be confusing, but understanding the benefits and drawbacks of each option is crucial. If you are considering a secondary health insurance plan, eHealth can assist you. As a licensed insurance broker, eHealth offers an extensive selection of health insurance plans from trusted providers. Our platform makes it easy to compare plan benefits and prices, and our dedicated support staff is ready to assist you in finding the coverage that suits your needs. Start by entering your ZIP code into our plan search tool, or give us a call to speak with a licensed insurance agent who can help you explore custom plan options.