What might be a potential drawback of a high-deductible health plan (HDHP)?

A high-deductible health plan (HDHP) is designed to have lower monthly premiums but higher deductibles, which means that policyholders must pay a more significant amount out of pocket before the insurance starts covering costs. This structure can create a greater financial burden until the deductible is met, as individuals may need to pay for all their medical expenses up to that amount without assistance from their insurance.

This can particularly affect those who require frequent medical care or have chronic conditions, as they may face substantial out-of-pocket costs before receiving any benefit from the insurance policy. Understanding this aspect is crucial for individuals when weighing the pros and cons of enrolling in an HDHP, as it can significantly impact their financial well-being and access to healthcare during the deductible period. In contrast, while other choices may touch on aspects related to HDHPs, they do not address the immediate financial impact related to out-of-pocket costs in the same direct way.