Going bare on insurance...

[Nords]

I am seriously considering going mostly bare on insurance.

Think about what UncleMick is telling you, read some of the threads by OAP & Sheryl, read John Galt's thoughts on the subject, and then consider whether you want to be caught without medical insurance in any of these people's situations.

I know OAP & Sheryl are thanking their lucky stars that they kept their insurance.

You can rebuild a home, buy another car, and even work through a liability lawsuit.  But if you don't have health insurance then you can't recover from a cancerous mole or from getting smacked by a hit&run driver.

 

[unclemick]

To put it bluntly - hindsight is 20-20.

Get Heatlh Insurance!

heh heh heh heh heh

 

[Caroline]

But I am considering skipping everything else, in particular umbrella, long-term care, dental, and...gulp...health insurance.

As an old Navy chief once said to me as we both watched a jet pilot take off into a thunderstorm...

"That takes GOnads!"

 

[Gone4Good]

If your health is good, you can get a $5000 deductible for very little

Not available in every state. If you're my neighbor here in NJ, you are out of luck on the high-deductible, low-cost policy. We only have full-cost, full-frills, everyone-is-welcome policies.

 

[ferco]

Has anyone heard of simple care? Apparently they have a web site simplecare.com. These docs apparently "cater" to the working uninsured..the patients pay cash at the time of service(discounted fees).

 

[tryan]

We only have full-cost, full-frills, everyone-is-welcome policies.

Add MA to this list.

 

[haha]

This health insurance lottery is not one to play. I know a 25 yo woman who was just diagnosed with cervical cancer. She is in school and has insurance, but who would predict something like this?

Ha

 

[SecondCor521]

Popping back in.

I think the more I think about it the more I am leaning toward an HSA w/ a high-deductible plan approach. I actually don't have a probem with what I would call traditional insurance, where catastrophic risk is spread over a large population, but I do disagree with an expensive first-dollar approach.

2Cor521

 

[free4now]

I'm travelling right now through the South... Tennesee and Georgia. Going through some places with real poverty. What amazes me is the number of people walking with limps. It reminds me of Vietnam where there were lots of people missing limbs from landmines, but this is the USA for chrissake. Out in California where I live people just seem much healthier.

I wonder how many of those people with limps would be okay if they had gotten decent healthcare for their injuries. Makes me glad I'm covered... I pay less than $100/month for BC HSA high deductible coverage for myself (age mid 30's).

 

[Nords]

What amazes me is the number of people walking with limps.

Would any of these people by chance be grossly overweight?

 

[perinova]

I may not have the full picture but I have a propostion.
Remember that there is a good time for evrything.
Example Car Insurance:
Drop the protection when your car reaches ~7years
Buy a new car when the maintenance exceeds a new payment.

For health insurance it would be:
Drop insurance when you are sure you won't have a kid anymore. Hop back in when statisticly your health may degrade. Or maybe even only after you are diagnosed with anything. In the meantime invest the premiums.

Most people compute health insurance cost yearly as if something may happen during the year. This is bad assumption the probability to need to make payments exceeding the deductible is probably once in 20 years (I have no data to back this up).

- if you are involved in some high risk activities that's another thing.... Get covered.
- if you opt out of health insurance make sure you do get MEDICAL COVERAGE ON YOUR CAR INSURANCE. If you have health insurance make sure you DON'T.

 

[SteveR]

I for one am very happy to have medical insurance; especially this year. 

DW hurt her back 2 years ago.  Pain was isolated to several pinched nerves in her lower spine.  The cause was an unstable spine caused by shrinking disks and a prior surgery for a herniated disk.  The solution was a spinal fusion to prevent the bones from compressing the nerves to her legs.  (More painful than you can imagine).

Surgery was done in early June. 
Surgery created additional pain which lead to a visit to the ER and hospital admission and a stay for 6 days for tests and pain management.

A second surgery was indicated after much testing and it was discovered that a screw used to secure rods to the spine was pressing on the major nerve to her leg. 

She continues to recover but is not able to work yet. 

Hospital costs to date: $260,000
Surgeon charges:          $25,000
Drugs:                              $5000
Physical Therapy               $2500
Medical Appliances            $5000
Tests                               $15000


Go bare if you dare but do so with caution.

 

[d]

my spouse has more than recoverd the medical insurance premiums we have paid over the years (which is, of course, not a good thing) ... is currently taking a bunch of drugs, one of which costs $750 per month, totaling about $2k per month. i am happy to pay the premium for the insurance which covers this.

 

[2B]

Most of us RE types can afford a high deductible but the "big one" is beyond our resources. The medical coverage is a necessity.

 

[SecondCor521]

Checking with my local Blue Cross today, it's something like $66 per month for a HDHP with a $5000 deductible. That's a pretty reasonable cost I think.

2Cor521

 

[rmark]

When I was self employed I had health insurance with a $3500 deductible, with co-pay I would be out $5000. Tended to make me careful. But if I had been hurt, I would minimized the long term financial damage. Someone I worked with went bare, ended up selling off several classic cars to cover the cost of his surgery. I prefer to show up with an insurance card in my hand.

 

[Martha]

For health insurance it would be:
Drop insurance when you are sure you won't have a kid anymore. Hop back in when statisticly your health may degrade. Or maybe even only after you are diagnosed with anything. In the meantime invest the premiums.

The problem is that you can buy individual health insurance when you are healthy. Once you buy it they can't cancel you for poor health. If you try to buy when you are older and less healthy, odds are you can't get it or it will be very costly. Also, you will have at least a six month pre-existing condition waiver. And, as many other posters have said, bad stuff can happen to young and apparently healthy people.

 

[SteveR]

One more comment on the "Young and Healthy" concept for not needing health insurance.

Accidents happen as do illness and other medical conditions that have nothing to do with health or youth. High deductable maybe but don't go bare unless you are willing and able to pay your way through some pretty expensive bills at the cost of your FIRE dreams.

I would never consider not having some form of health insurance. When DW and I retire we will both have access to health insurance so even if one company retracts the benefit we will still have coverage with the other. Belt and suspenders for sure but with our family history we would be foolish to not do so.

 

[haha]

I didn't buy health insurance until my kids were born.

I was stupid and feckless; I should have had this board to wise me up.

Ha

 

[FinanceDude]

I was stupid and feckless; I should have had this board to wise me up.
Ha

It was a mistake many people make............at least you have it NOW...........