Hey everyone,
I'm trying to determine whether I should get a high deductible plan or a PPO for health insurance. I like the idea of a high deductible plan and being able to open and invest in an HSA, but when looking at the difference in cost between an HDHP and PPO, it doesn't seem that great/worth the risk.
The annual cost of a PPO would be $866, whereas the annual cost of a HDHP would be $601, so I'd only be saving $265. The PPO deductible is $300, whereas the HDHP deductible is $1300. Before I was actually offered the option of an HDHP, I expected the savings to be more than just $265. I do believe that my employer contributes $300 every year to put in my HSA, so there's that to consider too.
I'm a healthy twenty-something and rarely even get a cold. But I do wear expensive insoles in my shoes which my last PPO plan covered (not sure what that would look like under the HDHP) and 99% of my transportation is on my bike in an urban setting. In 4 years of biking, I've never had an accident, but it'll probably happen some day!
On another note, between meeting my 401k match and maxing out my IRA, I'm not sure how much money I'll have leftover for my HSA.
Is this a typical difference between a PPO and an HDHP? Is it a good deal to take the HDHP or is it not worth the risk?