New to Health Insurance? 7 Things You Should Know.

Only 39 percent of adults 26-34 believe preventive care is necessary for them to stay healthy. But it’s an important part of your overall health, and using preventive care is easier than ever. Here’s what you need to know:

1. ACA plans include free annual doctor checkups and a free flu shot.
2. Once you turn 26, you can no longer stay on your parents’ plan. Sixty days after your 26th birthday is the deadline to sign up for a health plan.
3. If you don’t, there’s a penalty of $695 or 2.5 percent of your taxable income, whichever is greater.
4. If you earn less than $47,000 per year, you could qualify for financial assistance.
5. If you’re on a parents’ health plan and a workplace plan, the workplace coverage is considered primary. Keep in mind you can’t collect the same benefits from two different plans.
6. There’s more to a good plan than just a low monthly payment. Be sure and understand how coinsurance, deductibles and out-of-pocket maximums work and choose a plan that is right for your budget.
7. Paying out-of-network fees for doctor visits are often expensive, so make sure the doctor(s) you see regularly are included in the healthcare plan you choose.

• Premiums: Your monthly payment that keeps your policy active.
• Deductible: The amount you pay before the insurance company begins paying expenses.
• Coinsurance: The amount you pay for the cost of medical services after the deductible is met. It’s usually a percentage of the total cost.
• Out-of pocket maximum: The most you will have to pay for covered medical expenses in a plan year through deductible and coinsurance. Once you meet your out-of-pocket maximum, your plan will pay 100 percent of covered medical expenses.

SOURCES: Aon Hewitt, DocPlayer, USA Today, The Motley Fool