A 40-year-old male non-smoker in North Carolina can get health insurance with a $2,000,000 annual benefit, no deductibles and first dollar coverage for $329 monthly. This plan has an app that tells you the amount that the health insurance company will pay for over 170,000 procedures and it includes an optional prescription drug benefit. The challenge with this plan is that you can be left with medical bills that exceed what the plan would pay. By adding a Medical Bill Negotiation Service ($20 monthly) to the plan this risk can be minimized.
For the same 40-year-old male non-smoker who is willing to pay for most routine expenses himself/herself a plan with a $5000 deductible and 50% coinsurance on the next $10,000 (total out-of-pocket = $10,000) can be purchased for $237 monthly.
Here we combine the best of two plans above. With some tweaks to the design you can get comprehensive coverage with minimal out of pocket liability.
By reducing the Option 1 health insurance policy’s annual benefit from $2,000,000 to $25,000 and retaining the prescription drug benefit you get first dollar coverage with no deductible and a premium of $215 monthly.
Next by changing the deductible in the Option 2 health insurance plan to $10,000 and increasing the total out-of-pocket liability to $20,000 the premium drops to $167 monthly.
With a combined premium of $382 you get the most comprehensive coverage possible with first dollar benefits for 170,000+ procedures and very little out of pocket. For the budget conscious we can add a $500 deductible to the first dollar plan which reduces the premium by an additional $36 a month or $432 annually (almost the amount of the $500 deductible). And if we eliminate the prescription drug benefit, we save another $54 a month. The total monthly premium now is $292 monthly. This person can use any doctor or hospital, anywhere in the country. Now that is great coverage!