Health Insurance - Help!

[newton]

I'm sure there has been other discussions about this:

I work for a company and have been with the same company for about 13 years.  Married, one daughter who will be 21 in October.  We take the middle of the road family plan at work and pay about $750 a month out of pocket.  My wife and I both have prescriptions.  There is no chance of any more children being born :)

Any suggestions for how to reduce the amount of money spent on health insurance?  I live in Kentucky.

[TheThirstyStag]

Can you give more information on the available plans?  HDHPs?  PPOs?  Is that $750 just for premiums, or are you averaging that amount through premiums and out-of-pocket expenses?

[forummm]

What are your other insurance options? How would your prescription costs be affected by being on those other plans?

[newton]

Can you give more information on the available plans?  HDHPs?  PPOs?  Is that $750 just for premiums, or are you averaging that amount through premiums and out-of-pocket expenses?

Hi there.  3 Options at work are: (and yes that $740 is just premiums)

Premium - $3K ind/$6K family deductible.  20% coinsurance.  Basically you cover everything until deductible and then 20%.  Prescriptions are deductible and then 20%.  About $400 a month for family.  Includes access to an HSA. 

Mine (Base Plan) - $1K ind/$2K family deductible.  30% coinsurance.  Has prescription benefits ($10 copay for generic $30 for brand).  About $740 a month for family. 

Buy Up - $500 ind/$1K family deductible.  30% coinsurance.  Same prescription benefits.  About $890 a month for family. 

[newton]

What are your other insurance options? How would your prescription costs be affected by being on those other plans?

Other options to reduce costs would be to change to the premium savings plans (see my response to earlier post) but the for prescription benefits I would have to reach $3K deductible and then 20%.  I could move by daughter to a plan at her college for about $200 a month but almost break even as it costs about $540 for an employee + spouse.

Any thoughts?

[cjosix]

Check out the healthcare.gov website, which will direct you to your state's exchange, and shop around on the marketplace there (you'll probably have to wait until the open enrollment period to actually buy). I was able to purchase the exact same insurance plan, from the exact same provider, for about 30% cheaper directly there than through my job. Your company negotiates rates with the insurance company based on the number of employees, average claims, etc. The high rate of claims through my workplace pool was actually driving all of our premiums up. In other words, you may be better off on your own.

[Gen Y Finance Journey]

Would your employer contribute to the HSA if you choose that option?

[forummm]

Check out the healthcare.gov website, which will direct you to your state's exchange, and shop around on the marketplace there (you'll probably have to wait until the open enrollment period to actually buy). I was able to purchase the exact same insurance plan, from the exact same provider, for about 30% cheaper directly there than through my job. Your company negotiates rates with the insurance company based on the number of employees, average claims, etc. The high rate of claims through my workplace pool was actually driving all of our premiums up. In other words, you may be better off on your own.

Good idea. You can also buy outside of the open enrollment period if you have a qualifying life event.

What are your other insurance options? How would your prescription costs be affected by being on those other plans?

Other options to reduce costs would be to change to the premium savings plans (see my response to earlier post) but the for prescription benefits I would have to reach $3K deductible and then 20%.  I could move by daughter to a plan at her college for about $200 a month but almost break even as it costs about $540 for an employee + spouse.

Any thoughts?

Great, but you didn't tell us how many drugs you are on or whether they are brand/generic. Why don't you just figure out how much your drugs will cost you on each plan and provide that info?

[newton]

Check out the healthcare.gov website, which will direct you to your state's exchange, and shop around on the marketplace there (you'll probably have to wait until the open enrollment period to actually buy). I was able to purchase the exact same insurance plan, from the exact same provider, for about 30% cheaper directly there than through my job. Your company negotiates rates with the insurance company based on the number of employees, average claims, etc. The high rate of claims through my workplace pool was actually driving all of our premiums up. In other words, you may be better off on your own.

Thanks.  I will check it out!

[newton]

Would your employer contribute to the HSA if you choose that option?

No, they wouldn't contribute.  I think you can save like $3K per year in the plan.