The lifetime maximum in a health insurance plan is the maximum amount it will pay out for services rendered during the life of the plan.
Amounts Vary
Lifetime maximum amounts vary from plan to plan, with most plan maximums falling between $1 million and $5 million. Some plans have no lifetime maximum.
No Resetting
Unlike deductibles and coinsurance amounts, lifetime maximums don't reset every year. The lifetime maximum takes into consideration every medical bill your insurance has paid for you.
Considerations
While a plan maximum in the millions of dollars sounds high, a person who has a severe injury or illness can easily rack up medical bills in the hundreds of thousands or more. It's important to find a health insurance plan with an adequate lifetime maximum for your needs. Most consumers choose plans with lifetime maximums of at least $2 million, if available.
Will Coverage End?
If a health insurance subscriber meets the plan's lifetime maximum, he or she might not be eligible for further coverage under the plan. Check the plan's documents or contact your insurance company to find out what happens if the benefits paid out reach the lifetime maximum.
Effect on Premiums
In general, the richer the benefits a plan has, the more expensive it is. To offset the cost of choosing a plan with a high lifetime maximum or no lifetime maximum, consider buying a policy with a higher deductible.
Tags: lifetime maximum, health insurance, plan with, health insurance plan, insurance plan, lifetime maximum, lifetime maximum
