Buyer beware when shopping online for health insurance

With the ten million plus people out of work in the U.S., the loss of health insurance is a hot topic right now.  If you plan to look for a plan online, you want to make sure you don’t fall for a scam. Shopping for insurance online is gaining in popularity as people look for cheap plans. Shopping for insurance is about doing your homework.  See which policy works best for your needs and ask a ton of questions.

You want to make sure a company operates at a legitimate address and offers a working phone number. Also, don’t sign anything and don’t pay any money until you check with the state department of insurance to make sure the company and agent are licensed.  Don’t fall for any offers about to expire, that’s a big red flag. 
Very importantly, don’t give your personal information on a site. Opt to speak with a representative because many of the sites aren’t legitimate. “it’s really just a lead generator,” said Kathy Graham, President/CEO, Better Business Bureau of Coastal Carolina, Inc. “You’ll put in your information, you name, address, your telephone number and then this website turns around and sells your information to five different insurance companies and all of a sudden you’re being hounded by them.“
 
The South Carolina Department of Insurance offers these precautions: Ask for proof of state licensure and if an agent insists on cash, walk away.  Also, If the agent claims everybody is covered, regardless of medical history, that’s a big red flag and if a policy is extremely low-cost, it’s a warning sign.

Before deciding on a plan, call your doctor, pharmacy and hospital to make sure they take the insurance.  The South Carolina Department of Insurance cautions anyone purchasing insurance, online or not, to thoroughly check out the company and the information they’re providing with their consumer services division at 800-768-3467 or online at http://www.doi.sc.gov.