What is one potential benefit of high-deductible health plans (HDHPs)?

One of the notable benefits of high-deductible health plans (HDHPs) is that they typically feature lower premiums in comparison to traditional health insurance plans. This is primarily due to the structure of HDHPs, which require policyholders to pay a higher deductible before their insurance coverage begins. As a result, the insurance company assumes less risk initially, allowing them to offer lower monthly premium rates.

This lower premium can make healthcare more affordable in terms of regular budget management, especially for individuals who are generally healthy and do not anticipate needing extensive medical care. By paying less on a monthly basis, consumers can allocate funds towards their deductible or other expenses as needed. Consequently, HDHPs can be an appealing option for certain demographics, especially those who are financially savvy and able to cope with the higher out-of-pocket costs when medical care is necessary.