The Innovative Way to Replace Health Insurance
It’s no secret that people are turning away from health insurance, and millions more have difficulty accessing it in the first place. That’s why the CrowdCare model inspires so many in the health sector. With a revolutionary approach that empowers people to go to any doctor they want and get any treatment they need, it’s changing our most basic assumptions about health coverage.
In this article, we’ll explore the key differences between traditional health insurance and the CrowdCare model.
Along the way, we’ll understand how both systems work and why so many people are turning away from conventional options to enjoy the benefits of CrowdCare.
How does health insurance work?
Most Americans have some kind of traditional health insurance, but that doesn’t mean they understand how it works. So, before we compare it to CrowdCare, we’ll need to grasp how insurance functions.
At its core, health insurance is based on risk. You (or your employer) pay a monthly fee to the insurance company. That company then agrees to cover some of your healthcare costs, but there are usually a lot of rules that determine if a particular cost qualifies.
Here is a breakdown of the costs and terms associated with traditional health insurance:
● Premium
The monthly amount paid to the insurer. Whether you have used the insurance or not, the premium stays the same (although the rate might adjust over time, often going up based on risk factors like age).
● Deductible
The amount you have to pay out of pocket before the insurance company begins to cover your costs. For instance, if you have $3,000 yearly deductible, insurance won’t start covering costs until after you’ve spent $3,000 in a given year on healthcare.
● Copay
This is the fixed fee you pay for services like doctor visits or prescriptions. It’s often somewhere are $20 to $50 dollars. You owe copays even after meeting your deductible.
● Coinsurance
Some plans include coinsurance, which is a percentage of healthcare costs you pay after meeting your deductible. For example, let’s say you’ve already met your deductible and get a procedure that costs $2,000. If your coinsurance is 20%, you’ll owe $400 plus your copay.
● Network
The list of doctors and hospitals that your insurance plan pre-approves (they are sometimes referred to as “in-network”). If you see a care provider out of network, your insurance will pay less for the healthcare you receive or pay nothing at all.
● Pre-Authorization
A requirement that the insurance company gets to approve certain procedures and medications before agreeing to cover the cost. This can lead to major delays to care and, of course, lots of red tape.
All of these features, taken together, make up the vast majority of health insurance plans today.
Why are people so frustrated by traditional health insurance?
Health insurance has always made a bargain with its customers. Though you pay a little each month, whether you need healthcare or not, you’ll never wind up with huge bills. That security has attracted generations of Americans to sign up. But today, things have changed.
Insurance is now expensive, confusing, and sometimes predatory.
First and foremost, let’s talk about cost. Premiums and deductibles are very high, making the promise of paying “a little each month” less true. Last year, the average American could expect to pay $8,951 per year for health insurance (that’s $745.92 a month). For a family, the average came to $25,572 per year (or $2,131 a month). (source)
With those high premiums and deductibles have also come a tidal wave of added stipulations and caveats to coverage. This has removed coverage for a lot of procedures, and it’s radically increased the amount of paperwork necessary. People end up uncertain about what the insurance companies will actually pay for. Denials are very common, with recent studies finding about 15% of all claims are initially denied. (source)
Coverage also means limited provider options, which can become especially difficult when traveling.
At the end of the day, insurance companies are more profitable when they charge more and pay out less money. This has led many customers to feel like their need for health coverage is being used against them.
What is the CrowdCare model, and how is it different from insurance?
CrowdCare is a new way of providing health coverage. Instead of paying premiums to a for-profit insurance company, members contribute a flat monthly fee to join a collective fund that helps cover large medical expenses across the group.
The simplicity and transparency of CrowdCare makes it easier to use, and that leads to a greater sense of peace and security.
Because CrowdCare is a membership model rather than a for-profit company, the customer is no longer treated as a source of profit. Instead, they are treated as a member of the community, because they actually are.
This innovative way to provide healthcare coverage brings with it a lot of benefits:
● Predictable Price
Monthly memberships are straightforward.
○ Individual: $180/month
○ Individual 55+: $265/month
○ Family: $410/month
● Freedom from Networks
You can go to any healthcare provider. No restrictions.
● Personal Care Advocates
Members get one-on-one support from a Care Advocate who can help you navigate the healthcare system and negotiate better prices. For procedures, these advocates often negotiate discounts of 30-60%.
● Crowdfunded Support
When you have major expenses, like surgery or hospitalization, CrowdCare has you covered. This eliminates the risk of major surprise costs. All you need to do is take a picture of the bill and upload it through the app.
● 24/7 Virtual Care
Members get access to virtual urgent care, available around the clock, from board-certified doctors.
● Prescription Discounts
Discounts for prescriptions are negotiated through the CrowdCare pharmacy network.
● No Maximum Cost
There is no imposed maximum coverage limit for a given year.
The CrowdCare model favors simplicity and community-oriented spirit. Together, we all pay less while avoiding massive financial surprises.
CrowdCare vs. Traditional Health Insurance
|
Feature |
Traditional Insurance |
CrowdCare |
|
Monthly Cost |
Around $750/month per person |
$180–$410 flat monthly membership |
|
Deductibles & Copays |
Often $3,000–$10,000 before coverage begins |
None |
|
Freedom of Choice |
Restricted to “in-network” providers |
Choose any doctor, anywhere |
|
Claims Process |
Complicated, slow, and often leads to denials |
Transparent, shared costs |
|
Surprise Bills |
Common due to out-of-network charges or denied services |
None |
|
Care Advocates |
Rare or not included |
Included with every membership |
|
Virtual Care Access |
Often limited or an expensive add-on |
24/7 access included in membership |
|
Prescription Discounts |
Often requires separate programs |
Included with every membership |
|
Transparency |
Complex billing and vague policies |
Full clarity on costs and care options |
|
Community Support |
None |
Included with every membership |
The New Way to Get Health Coverage
Through the power of community, CrowdCare offers health coverage that’s simple and affordable. When you look at the differences above, it’s easy to see why so many people are leaving traditional health insurance for this new model.