Healthcare cost..not what I expected..

[rayinpenn]

When my knees were failing 2 years ago I called HR to get a quote on what my retiree health insurance would be. After much ado I got a quote of $1953 a month for the 4 of us. You should know that I get a subsidy because I was there when megacorp killed healthcare for retirees. I was told the unsubsidized cost was $3,300 a month. Well today the paperwork arrived today cost $2,500 a month. Unsubsidized is 49,000 a year so roughly $4,000 a month. Before you blow a cork it all changes in July when ill be 65. So like 6 months.

I should add its only 3 of us as DD has her own plan. My single SIL is unsubsidized and pays $17,000 a year

 

[kevdude]

Glad I don't live in Penn. We pay ~$1900/mo including dental for kids, but not us. $6500 deductible each and $13000 max out oof pocket. No subsidy for us and on individual plan.

 

[VanWinkle]

It seems that healthcare costs are never what we expect. How would you handle healthcare if you couldn't afford those premiums? Just don't get sick I guess. Or make sure you are "poor" enough to have it subsidized by someone else. Seems like there should be a better way, but I am not a proponent of single pay. How do you in incentivize people to create new cures and treatments without the promise of financial rewards for doing the work? Wage and cost controls do not seem to work long term. I guess it is not supposed to be easy.

 

[Spock]

My megacorp insurance was $102/mo while working.
The last 6 months of COBRA was $786/mo... this is significant because this cost is legislated to be 102% of the cost of ins... you pay the cost plus 2% to cover admin fees.
BUT... when COBRA ended, the retiree cost was $1520/mo.

Retirees are in their own insurance pool, and since old people use medical services their insurance cost doubles 1 day after retiring.

 

[jollystomper]

Sounds similar to my former Megacorp. the unsubsidized retiree health care for 2 is around 1900/month. I'm enjoying COBRA while I can.

 

[MRG]

In the 5.5 years since retiring I've seen my unsubsidized individual monthly insurance premiums go from $500 to $2000! What's that about?.

A disturbing practice I've noticed is the amount of meds that now need step therapy, or prior authorizations.

 

[pb4uski]

Have you checked out ACA plans in your area?

While you will go on Medicare in 6 months, what about DW and DD?

 

[rayinpenn]

Have you checked out ACA plans in your area?

While you will go on Medicare in 6 months, what about DW and DD?

Ill have the option to continue them.
We will evaluate that as we get close to that date

 

[Big_Hitter]

ACA plans may be cheaper than COBRA

 

[Teacher Terry]

I have coverage through my former employer and it’s 1k/month for the 2 of us. No high deductibles.

 

[CardsFan]

After seeing some of the costs here, I guess I should be thankful for my subsidized HI from former Megacorp. $800/month for two. $1,000 deductible, $3,000 max OOP (each).

 

[ExFlyBoy5]

After seeing some of the costs here, I guess I should be thankful for my subsidized HI from former Megacorp. $800/month for two. $1,000 deductible, $3,000 max OOP (each).

You aren't kidding. Being a military retiree, I have Tricare...which is a God send. Never in my 22 years did I think that Tricare would be such a fantastic retirement perk.

 

[ABQ2015]

As a point of reference the federal government employee unsubsidized cost of a BCBS Standard plan is $8900/year for one and $20,600/year for a family. The costs have been fairly constant over the years only going up a few percent a year. And this is for a very large pool of employees and retirees. And there are other plans offered for federal employees/retirees that cost much more. Subsidized cost is about 30% of total cost. So I have never understood those on this forum who are shocked at paying $700-1000 a month for one or $2000 a month for a family plan upon ER with no subsidy. Not sure why they expected to pay less.

But $17,000 for a single plan and $40,000 and $50,000 a year for a family plan unsubsidized is disturbing. Assume these are for the retiree insurance pool and not employees and retirees?

 

[mamadogmamacat]

In the years leading up to my ER three years ago, i researched the mega corp retiree plans. Called HR about three times total to see if I got the same answers, as the reputation of HR at my mega corp for truth telling on a number of issues was none too positive. On this topic, I only had a problem with the first rep, who was simply clueless. The other two gave what turned out to be accurate info. So, I was well aware that the pool for the retiree options, both the high deductible and lower deductible plan, the latter being very similar to employee coverage, I knew going in would include only retirees. SO the cost at the time was just over $600. per month for a single, about ten times what employee coverage cost. The premium has gone up about $50 each year since, so in my now 4th year or ER, I will be paying $750 per month. The deductible has remained the same at $2000. (as compared to $500. for the other retiree plan available that would cost me $1250. per month). So, in the three rather healthy years i have been blessed with so far in ER, I spend about 10k per year, most all of it in premiums on my health care. For perspective, I easily spend about twice that on my pets. All of these expenses were known prior to ER.

 

[rayinpenn]

But $17,000 for a single plan and $40,000 and $50,000 a year for a family plan unsubsidized is disturbing. Assume these are for the retiree insurance pool and not employees and retirees?

Insurance is offered as a retiree... it gets better with dental $18.5K per year is SILs actual bill, $26.5k with dental for the wife, son and I.

 

[Dreaming of Freedom]

The true cost of health insurance/healthcare for my large group, self insured employer is $19,500/year for a family in Kansas City. Crazy! I am working hard trying to talk my husband into retiring to Mexico. I don't think things are going to get better anytime soon with respect to health insurance and healthcare costs in the US. In fact, I am worried Medicare is going to get a big haircut before my husband or I get to enjoy the benefits, and then we will regret not leaving the US when we were younger, in better health, and able to adapt easier to living in another country.

 

[ncbill]

The true cost of health insurance/healthcare for my large group, self insured employer is $19,500/year for a family in Kansas City. Crazy! I am working hard trying to talk my husband into retiring to Mexico. I don't think things are going to get better anytime soon with respect to health insurance and healthcare costs in the US. In fact, I am worried Medicare is going to get a big haircut before my husband or I get to enjoy the benefits, and then we will regret not leaving the US when we were younger, in better health, and able to adapt easier to living in another country.

Not too long ago on another forum I recommended an extended trip to Mexico for a couple in their early 60s who were facing nearly $30,000/year in unsubsidized health insurance premiums.

IIRC at that time their combined premium for one popular brand of expat health insurance ($5 million lifetime benefit each, $2500 deductible, no copay) would have been under $5000/year, for "outside the U.S. & Canada" coverage...or under $1000/year for the national health plan, which many expats purchase as catastrophic coverage.

 

[GravitySucks]

So you had a bit higher than 20% increase each year. Yup. I've had a couple years my subsidized rate went up close to 20% over the last 6 years. Oddly, even had one year it went down 2% or so.
Not unthinkable as the initial rate was an estimate.
5 more years to Medicare!

 

[Breedlove]

This sounds crazy , ACA is less then that . Monday DW and I went to our dentist of several years for teeth cleaning . I am starting Medicare ( No ) Dental DW is talking retirement again . Our dentist told us DO NOT buy dental Insurance . He said we could stay with him for 200.00 each annually full work .