Vision Insurance

Vision insurance is a type of insurance policy that provides coverage for the various vision-related services provided by ophthalmologists and optometrists. Specifically, a vision policy usually covers the costs of regular eye exams as well as some or all of the cost of prescription glasses and contact lenses. These items can often run several hundred dollars or more.

Insurance for vision coverage does not necessarily cover all medical problems involving the eye. In many cases, insurance provides only what is called "healthy eye care" coverage for exams and treatments for vision problems but not the costs of surgery for cataracts and glaucoma. This type of policy is often a very specific and narrow set of coverage for the expenses related to near-sightedness, far-sightedness, astigmatism, and other causes impacting people's need for glasses or contacts. In most cases, these types of costs are not covered under a regular medical insurance policy, and so additional insurance is required.

Similarly, in most cases, the costs of surgery and other eye treatments that go beyond the limitations of an insurance policy are provided for by a patient's regular medical insurance policy, Medicare, or Medicaid. However, policy specifications vary, and anyone shopping for a vision policy should make sure that he or she understands all the coverage provided so that enough insurance is purchased and there is no duplication or overlap with an existing medical insurance policy.

While everyone can benefit from regular eye exams, there is only a small subset of the population that requires corrective lenses for their vision. For these individuals, eye insurance is extremely important, especially in a family with many members that require glasses or contacts. People without vision problems may not require as much, or any, insurance. Some employers offer eye insurance as part of a suite of employee benefits, either paid for by the employer or by the employee through a paycheck deduction. Other individuals and families may need to seek out vision insurance on their own, through an individual plan.

Discount plans are also available. With these plans, individuals pay a fee to participate and get a card that allows them certain discounts at a list of eye exam and eyeglass providers.

Additionally, some of the costs of vision care can be paid for through a health savings account (HSA) or flexible spending account (FSA) if an individual qualifies.

Vision Insurance Plans

A vision discount plan is similar to vision insurance in the sense that it provides some payment for vision care-related products and services. As a practical matter, however, insurance plans work more like a membership for people who do not have comprehensive vision insurance.

With this type of plan, the consumer pays a monthly fee (such as $10) in exchange for a set number of regular discounts on certain products. For example, a discount plan may provide a flat rate for eye exams through doctors accepting the plan or a percentage discount (such as 25%) on prescription eyeglasses. Usually the plan provides the consumer with a card to show providers for the discount as well as a list of providers who offer the discounted services. In some cases, discount plans may be given to members of a specific group or association as one of the participation benefits. Some employers may offer membership in a discount plan, either subsidized or not, in lieu of traditional insurance.

As with other types of insurance, it is important for any consumer considering a discount plan to weigh the benefits against his or her vision-care needs. Someone with no need for prescription glasses may not find the other discounts offered by the plan to be worth the cost. Individuals or families with expensive vision care needs may discover they are still paying a lot out of pocket even with a discount plan and may want to look into a more traditional insurance policy.

Another concern with discount plans is the list of providers. If someone has a preferred eye doctor or glasses shop, he or she will need to check to see if that provider is on the list. Some types of expensive designer frames may be excluded from the discounts offered by the plan. Other plans may not provide discounts for coatings or specialized lenses.

However, for individuals or families that do not have any eye insurance-or small businesses that would like to provide this benefit to their employees but do not have the funds for a full coverage insurance policy-this kind of discount plan can sometimes help to save hundreds of dollars a year on the cost of vision care.