New HC rates with Obamacare

[Retire44]

Just got our Obamacare scare in the mail today. To keep our same HSA policy for me & two kids, going from $259 to $433, a 67% increase and $2,100 we'll be spending on insurance rather than anything else. That doesn't even include my wife, who has a separate policy at work.

How can Obamacare not crash an already fragile economy?

Anyone else get their new rate info yet?

 

[homestead]

I posted mine recently similar to yours...

Got my Regence Blue Cross letter today , I have a 3500 deduct. Hsa at $257/mo, they are changing
the policy to std bronze plan 5000 det. at $486/mo.

 

[Fermion]

How much does the subsidy reduce that premium?

 

[brewer12345]

All these letters mean is that you should shop your policy. With the exchanges open to all, you should have a lot of choices and prices may be a lot lower than your old policy and/or offer better benefits. Turn off Fox "News" and do a little shopping next week.

 

[MichaelB]

To keep our same HSA policy for me & two kids, going from $259 to $433, a 67% increase and $2,100 we'll be spending on insurance rather than anything else. That doesn't even include my wife, who has a separate policy at work.

Anyone else get their new rate info yet?

There are lots of threads where people have shared their rate information. Unfortunately, many have had multiple large increases dating back to before the PPACA was even passed. This is nothing new, and the legislation did not impact existing plans to nearly that degree. Sharp increases are more likely when one hits an age bracket rate change. How does this rate compare with the state exchange plans?

 

[homestead]

How much does the subsidy reduce that premium?

That price is buying directly from ins co. without going through the exchange
and getting a subsidy.

 

[Fermion]

That price is buying directly from ins co. without going through the exchange
and getting a subsidy.

Ah, well there is your problem. The insurance companies now have to insure people with pre-existing conditions, so rates have to go up for all. The exchanges will be able to negotiate a better rate than individuals buying off exchange policies.

It kind of makes sense...if I have to insure someone who is on a $80,000 a year wonder drug, I can't make a lot of money charging them $600 a month premium.

 

[homestead]

Ah, well there is your problem. The insurance companies now have to insure people with pre-existing conditions, so rates have to go up for all. The exchanges will be able to negotiate a better rate than individuals buying off exchange policies.

It kind of makes sense...if I have to insure someone who is on a $80,000 a year wonder drug, I can't make a lot of money charging them $600 a month premium.

Yeah, I am now covered for maternity benefits but will have to get a sex change to use it. Change is good?

 

[Fermion]

Yeah, I am now covered for maternity benefits but will have to get a sex change to use it. Change is good?

And I pay school tax even though we never had kids and I went to a private school growing up. Who said life was fair?

 

[gozer]

Yeah, I am now covered for maternity benefits but will have to get a sex change to use it. Change is good?

Is the sex change covered?

 

[homestead]

Is the sex change covered?

They are working on that too.

 

[brewer12345]

That price is buying directly from ins co. without going through the exchange
and getting a subsidy.

Exactly. So go shop your policy next week when the exchanges open. You may be pleasantly surprised.

 

[Midpack]

Just got our Obamacare scare in the mail today. To keep our same HSA policy for me & two kids, going from $259 to $433, a 67% increase and $2,100 we'll be spending on insurance rather than anything else. That doesn't even include my wife, who has a separate policy at work.

While that's a huge increase, it still seems cheap compared to what health care actually costs from everything I've read. I have to assume costs in 2013 are even higher than 2009.

Kaiser’s 2009 survey found that employer health insurance premiums were $13,375 [$1,114/month] for a family and $4824 for a single person.

If my wife and I get coverage for $433/month when/if we go on an ACA exchange, we'll be over the moon pleased...

I've been surprised at how low the rates are on all the exchanges I've looked at, thanks to other members posts here.

 

[explanade]

I posted mine recently similar to yours...

Got my Regence Blue Cross letter today , I have a 3500 deduct. Hsa at $257/mo, they are changing
the policy to std bronze plan 5000 det. at $486/mo.

I'm curious. Is the old plan here one of those high-deductible, low premium catastrophic plans?

Does it have lower co-payments for doctors visits, prescriptions, lab tests, etc. or do those cost full price until you hit the deductible?

What is the max lifetime benefits?

 

[Mulligan]

Yeah, I am now covered for maternity benefits but will have to get a sex change to use it. Change is good?

Homestead I am of the same mind of you. I first thought it was insane to have to be forced to pay for prenatal, and mental/ drug issues without signing up for it. But I guess it is what you are used to. Several states have already had unisex policy and these type coverages for several years already, unbeknownst to me.

 

[homestead]

I'm curious. Is the old plan here one of those high-deductible, low premium catastrophic plans?

Does it have lower co-payments for doctors visits, prescriptions, lab tests, etc. or do those cost full price until you hit the deductible?

What is the max lifetime benefits?

3.5k deductible 257 premium, 50% Coinsurance, 5k max out of pocket, 2M lifetime I believe.

 

[tomz]

I got a notice from Florida BCBS in August that my monthly premium for the same plan from October - December was going from $579 to $719. The plan has a $2k deductible for hospital related costs only and a $10K out of pocket max. The ACA made routine doctor visits no charge. It also eliminated the lifetime and annual max. For the entire time we have had this policy, that's all the medical services we used. Based on my research, with the subsidy, we'll be able to get a silver plan for $102 a month with better coverage. For us, the ACA is a great deal.

When you don't use medical services, you are paying for someone else. That's how insurance works. Eventually, you are going to use the services. I don't have any kids in school any more, but I pay my school taxes. It's called the social contract.

 

[2B]

3.5k deductible 257 premium, 50% Coinsurance, 5k max out of pocket, 2M lifetime I believe.

The lifetime max goes away. Feel free to develop a serious, longterm illness requiring decades of expensive care.

Until the whole truth is revealed, the true costs are not known. There are going to be a series of plans on the public exchanges were subsidies are available and private exchangers where they are not. The size of the medical networks will vary significantly between plans based on reports I've heard. This will become a major research project for thinking people or a buy & hope exercise for the rest.

We can assume the basic premise of the ACA will remain. Younger people will subsidize the older people in the plan. The healthy will subsidize the sick. We will all pay for more coverage than we might have selected had we had a choice. You can call that the "social contract" or something else.

 

[tomz]

We can assume the basic premise of the ACA will remain. Younger people will subsidize the older people in the plan. The healthy will subsidize the sick. We will all pay for more coverage than we might have selected had we had a choice. You can call that the "social contract" or something else.

I, for one, will not be paying for more coverage than I might have selected. My current coverage is expensive and it sucks. The new coverage I will be getting will be cheaper and more extensive.

It would be so much simpler if we just adopted the Canadian system. Uh, oh, I guess I just turned this thread into bacon.

 

[Malcolm2]

We can assume the basic premise of the ACA will remain. Younger people will subsidize the older people in the plan. The healthy will subsidize the sick. We will all pay for more coverage than we might have selected had we had a choice. You can call that the "social contract" or something else.

You could assume that, but I don't think it would be wise to plan for that actually happening. Many singles in their 20's will undoubtedly decide not to subsidize the rest of us.
Other than being 'encouraged' to do so by their folks (which as we know is not very effective at that age), they don't plan to get sick so why would they?

 

[Fermion]

You could assume that, but I don't think it would be wise to plan for that actually happening. Many singles in their 20's will undoubtedly decide not to subsidize the rest of us.
Other than being 'encouraged' to do so by their folks (which as we know is not very effective at that age), they don't plan to get sick so why would they?

Well, yes, until the fines become 2.5% of their income. I was making $70,000 a year at age 27. The fine for not having HC would be $1750 plus I would be out of pocket $5000 or so when I get a compound fracture in my arm riding dirt bikes

 

[photoguy]

Many singles in their 20's will undoubtedly decide not to subsidize the rest of us.
Other than being 'encouraged' to do so by their folks (which as we know is not very effective at that age), they don't plan to get sick so why would they?

Well they could still be financially ruined by an emergency visit as you can't buy insurance on the way to the hospital. Bronze plan rates for young people (less than 30) don't really seem very high (maybe a little more than employer subsidized plans) so why not?

 

[M Paquette]

If you get a high rate quote in a letter from your insurer, it might be worth your while to take a look at the state insurance exchange. The 'old reliable' companies are getting competition, something that they aren't used to.

I've already got our new rates for Bronze plans. For DD, we got a 'huge' rate increase for her individual insurance, one of those really scary percentages that the editorial writers like to carry on about. It's about $60 a month. The rates for DW and I went down a bit, slightly more than DD's went up. Considering that unsubsidized individual insurance for the three of us is well over $1000 a month for our HD/HSA plans, and the rates for DW and I dropped slightly, it's a wash for our budget.

Folks seeing large rate increases should check the exchanges for better rates for the same level of coverage. It might also be educational to compare the level of coverage, exclusions, and limits of old policies against the exchange plans. DD had one of those college student Mega-Life plans that had fairly silly carve-outs and caps ($2,500 max for hospitalization? That's 30 minutes in the ER if they don't do anything!) I'm not surprised that a real insurance policy costs more.

 

[FIRE'd@51]

While it appears that premiums may be lower, is anyone really sure what specifically you are purchasing when you buy an exchange policy? This article is from the New York Times.

Lower Health Insurance Premiums to Come at Cost of Fewer Choices

 

[Mulligan]

While it appears that premiums may be lower, is anyone really sure what specifically you are purchasing when you buy an exchange policy? This article is from the New York Times.

Lower Health Insurance Premiums to Come at Cost of Fewer Choices

Being a person who will be forced to pay for more coverage and services than needed or used, I actually welcome this idea as it will keep the cost down for me. Although I have a doctor, I have no problems switching to someone else, as I have no medical issues. All I need to do is when I purchase the plan is find out where I can go for services and/or emergencies and that is where I go if I have to.