Mic1

Hi all,

We're moving quite soon and pulling some quotes in for medical insurance. I had a figure in mind for a decent policy of around $24,000 per year based on a loose quote we had back when we were initially going to relocate in 2019 of $21,000.

However, the same policy with Blue Shield (platinum full) is now coming back at $33,132. The company is covering the total amount so I'm very fortunate in that respect but has health insurance really gone up by this much in the last couple of years???? Also dental and opti is on top of this!

Thanks,

Mic

SanDiegogirl

Rates have gone up and you've aged by a further 3 years!... so yes, that Platinum policy could very well have increased by that amount.

tht

What is “platinum full” I looked at a platinum with $5k family deductible and $8k OOP maximum for a family of 4 for 2022, and that was a premium of about $28k So if you have a lower deductible it sound like it’s in the ballpark. If you mean “Blue Cross Blue Shield” I have no experience, our kids pediatrician won’t accept that carrier so we have never used it.

I ran the numbers a few years ago and found that HDHP with an HSA works out better, assuming no catastrophic event… and after 2 or 3 years the balance would cover that higher deductible and OOP as well.

Pulaski

I don't know, but I suspect that most Americans don't know either as most people in employment have insurance through their employer, and the trend over the past 15 years has been towards high deductible insurance which is a lot cheaper and is also tax efficent, as high deductible insurance allows a Health Savings Account (HSA) to be opened, that is funded pre-tax like a 401k. The funds in an HSA can then be used for "out of pocket" medical expenses, and unused funds roll up from year to year. ...... I can't imagine how my HSA could run dry as it currently holds somewhere around 10-12 years of maximum OoP medical expenses, and I am still adding to it every year. We are paying around $3,200 for a family of three for medical insurance; vision and dental adds a little under $1k.
I think "all the bells and whistles, everything is covered with minimal copays and OoPs."
Exactly! We looked at what we were paying for traditonal insurance, and realised that we were even reaching the annual deductible on the traditional "low deductible" insurance, so it was a no-brainer to switch to an HD plan - our annual out of pocket was the same either way, and we got to salt away tax free money in our HSAs. That was 15 years ago, and I don't think we have ever hit the deductible on the traditional insurance, and the savings on the insurance premiums have funded the money going into our HSAs. So our HSA balances are as good as free money.

civilservant

Not for me. My employers Tier 1 'traditional' plan has identical premiums to the Tier 2 HDHP with HSA. Quite why I don't know.

PetrifiedExPat

My companies plan is BS, my wife's on the other hand, golden. How people survive without a good company plan I still can't figure out..

Pulaski

Yeah, I recall that you have posted that before, and I still can't fathom why that would be the case?

I can only assume that they haven't figured out that they can shovel off responsibility for most of the small bills to the employees on HD plans. That said I suspect that there is some inertia among employers, just as there is inertia among the employees - some on both sides are slow to recognise the benefits. ..... There have been one or two BE'ers here in the past who have consistently argued with me that somehow I am taking a gamble on my family's health and wellbeing by having a HD policy, and refuse to believe it when I tell them that the regular and HD plans are the same plans, with the same insurance company, and the same terms and conditions, and in the case of a catastrophic medical issue, the same converage. The only difference is that each year we get to pay the first roughly $3k of my medical expenses*, and that of Mrs P and little Miss P, and there's a family cap of about $8k, IIRC too. But even the family cap of $8k is only a small percentage of my HSA balance so where's the risk that I am taking? I am not going to tell you what my HSA balance is, but as I am contributing as much as the IRS allows, even if we were reaching the family deductible every year, it would take many years to drain my HSA .... and Mrs P has an HSA too.

* There has only been one year since we switched to the HD plan that I came anywhere close to reaching my deductible, and I don't think I exceeded it even in that year.

Mic1

Thanks everyone, it looks like it's right then. And thanks Sandiego Girl for bringing to my attention that the lines on my face are getting a little deeper !! ;-)

On a slightly different note, has anyone got dental cover that takes care of some of the cost of orthodontic work? Our kids are 11 and 13, the eldest has just been fitted with a palate expander and lower jaw extender for a year before she gets into braces. Had to go private, NHS waiting lists were 18 months for these contraptions.

Mic

tom169

I've found the dental plans I have had to have a lifetime cap on orthodontia per person, generally $1-2k.

OldJuddian

Same here, very low lifetime cap that pays a small fraction of the cost.
I was also caught out that they may suggest to start the ortho work at a young age, but neglect to tell that they will then still need to do the main ortho work later - and the cost of the later one does not go down. So if you start early you pay far more (not twice but close).
I don't know how the average person can afford ortho work here - but everyone seems to get it done.

civilservant

CareCredit.

tom169

I had Invisalign to fix my "British teeth". Cost something like $7k? My wife is getting ready to embark on the same, having not worn retainers since her childhood/teenage braces.

Unfortunately probably correct. I've seen financing options pop up on just about everything in the last few years.