A friend of mine said his company came out with a salary-tiered plan. The higher salaried employees pay more because the “company” had done a study that higher paid people go to the doctor more.
My answer was yes, but to prevent care check-ups, in office visits, and urgent care, we don’t go to the ER at the drop of a hat.
I b!tched about my 7 grand out of pocket this year, but as a percentage of the 65 grand for my operation, it looked pretty good.
Use those HSAs, especially if your company kicks in some money..it’s like another 401K, it is NOT “use it or lose it”, like a Flexible Spending Account (FSA).
Our company based in Newport News did the same thing. UP UP UP!
This sounds like what health insurance SHOULD be, not the cradle to grave coverage people are used to these days. Why should health insurance cover basic maintenance? Your car insurance doesn’t cover oil changes, and new tires.
This sounds pretty reasonable to me.
Much better than nobamacare’s debacle.
Large insurance employer here - we jumped two years ago.
I have had an individual policy since 2001 with a $5000 deductible and $10,000 out of pocket per year. No drug coverage, but a few preventative tests are covered.
Costs have ranged from $675 - $825 per month.
Will be on medicare soon.
Both daughters have selected HSA plans from their employer, they actually get better coverage for less money than they were paying for traditional policies with a fairly high deductible.
The company contributes $800 annually to the HSA each year. This more than pays for their typical expenses and they are covered for catastrophes. Statistically this works out to meet the actual costs of more than 95% of the employees.
These accounts are portable, and the amounts not used carry forward to the next year. Employee contributions reduce your taxable income. When you retire and are age 65 (IIRC) you may use the funds for other purposes other than health care if you need to.
Since the patient just writes a check, it cuts down a lot on Administrative overhead costs hence helping to reduce health care costs.
I think HSAs are the best type of insurance for younger people, and it would save everyone a lot of money to convert to this type of Ins.