Thinking on Alaska residency and health insurance

[Fermion]

We are thinking now of heading up to Alaska in our RV and spending some significant time there (most likely 3+ years).

We are currently residents of Washington state since that is the last place we had a permanent home (and our vehicles and voter registration are still done there).

For now, healthcare in Alaska in our situation seems to be massively cheaper than Washington state under the ACA because Alaska has no competition to Premera Blue Cross (which is our desired PPO provider in Washington).

In Washington for both of us the silver plan premium is about $1000 a month and $480 a month after subsidy. Family deductible is $500. This is for a MAGI of $23,000

In Alaska the same plan is $2200 a month and only $23 (yes, $23!) after subsidy. You get a massive $2200 a month subsidy with a MAGI of $28,000 (under that and you are in poverty level). Same deductible of $500 family.

So right now, becoming Alaska residents would save us $450 a month in healthcare costs over Washington state. Obviously this may and probably will change in some way, but who really knows how or when?

I do not think we could really stay Washington residents if we settle down in Alaska for three years. On the other hand, living in an RV, I am not certain how we prove Alaska residency. Do you think vehicle and voter registration, plus perhaps some campground receipts would be enough or should we give serious thought to buying a small plot of land with a mailing address?

What would you do?

 

[Another Reader]

I would not change anything until the future of the ACA is clear. We might have some clarity by mid-2017, but I would do nothing until the new law(s) are passed and signed by the president.

ETA: Most policies have limited networks and only work with in-state providers. That could be a huge problem if you don't actually live in Alaska.

 

[Fermion]

I am not going to put our life on hold waiting for some clarity. I do wonder what people in Alaska will do for insurance if it is $2200 a month for a couple in good health in their mid 40s.

I have to hope we would have access to a simple catastrophic plan or something.

Like the stock market, you kind of have to go with the information you have now, not what if's of the future.

 

[Bamaman]

I too am a RV'er, but I cannot imagine living full time in a RV as far north as Alaska during winter.

Temperatures are why so many Norfers spend winters in Yuma, McAllen, TX and Florida.

 

[REWahoo]

...I cannot imagine living full time in a RV as far north as Alaska during winter.

+1

Life is short, Alaskan winters are long and cabin fever is a serious illness...

 

[MichaelB]

Alaska residency is a tricky thing because of the Permanent Fund. It is definitely more demanding than other states. Here's their web page https://pfd.alaska.gov/Eligibility/Establishing-Residency

This defines eligibility to receive the fund dividend. Simple "state residency" is most often defined by your stated intent, which you demonstrate by domiciling your financial accounts, voter registration, auto registration, and declaring your address as "primary".

Whatever happens to health care insurance access, availability and cost will most likely apply equally to residents of Alaska and Washington. It might take a couple of years, so you might have time to get there and spend a couple of years before there is any change.

I think any plan that depends on a subsidy should have a back-up or "Plan B" in case the subsidy goes away or eligibility rules change.

 

[Fermion]

We are not planning on huddling in the RV during the winter, although the anchorage area has had some pretty mild winters recently (they even had to truck in snow for the dog race).

We like building and are toying with the idea of building a small cabin, but maybe just renting a place for the winters or using that time to crew on a sailboat in the Pacific to gain experience in that before we buy a big boat.

 

[Sunset]

Alaska residency is a tricky thing because of the Permanent Fund. It is definitely more demanding than other states. Here's their web page https://pfd.alaska.gov/Eligibility/Establishing-Residency

This defines eligibility to receive the fund dividend. Simple "state residency" is most often defined by your stated intent, which you demonstrate by domiciling your financial accounts, voter registration, auto registration, and declaring your address as "primary".

.....

Not really that hard, but trick is to do it all prior to Jan 1 in order for it to count that year.

 

[braumeister]

Life is short, Alaskan winters are long and cabin fever is a serious illness...

This is a very serious concern, and has caused a great many would-be Alaskans to head back down to the lower 48 after the first year.

Personally, I love Alaska and have visited at almost every month of the year (including January), but I've never stayed more than a few weeks at a time. Not sure if I'm hardy enough to handle it long term.

A friend was bitten by the romance of "the last frontier" about 40 years ago, and packed up his family and moved to an Anchorage suburb. His job afforded him frequent travel down south so he was always able to scratch the itch. Now that he's on the verge of retirement he's considering moving back to Nevada.