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When I sit down to compare health insurance plans, the two most important plan features I look at are the annual premium, of course, how much is that plan going to cost for the year, and then the annual plan maximum out-of-pocket benefit. This is one of the most important plan features to consider.

Maximum out-of-pocket dollar amount represents the most that you would have to pay in the case of a significant medical event. For example, if you left work today and got into a severe car accident. You’re hospitalized for over a month and you need to have multiple surgeries and rehabilitation. Thank goodness you’re going to be okay, but you now have over $100,000 in medical bills that need to be paid.

The maximum out-of-pocket amount is the amount of that $100,000 bill that you’re responsible for. Any amount over that, the insurance carrier pays 100 percent of. If you have questions about the plan designs you offer to your employees, call me. Let’s talk benefits.