The article only tells part of the story – there’s no mention of what the out-of-pocket costs or deductibles might be. Shouldn’t these be discussed along with premiums when determining what these individuals will really pay?
For me currently in IL, My wife and I pay over $1500 @ month with a $5K per person ded. BCBS is offering a plan for both of us with a $1K ded, $35,00 copay physician, script card – all the bells & whistles for $948.00. That’s about $12K less a year total out of pocket.
You’re the first person I’ve heard that has been upset over saving $12,000 a year, FFA.
All the 20 and 30 year-olds that are now forced to enroll are going to make up the difference.
I told two years ago this was going to be the ticket for you, but you didn’t want to listen. (Not to mention all the money you’re going to make selling against the exchanges.)
I am going to enjoy the saving while I can.
Its not that I didn’t listen, I just don’t see this working in the big picture.
its way too much of a reduction to not be concerned about future issues. So, I will live in the moment…
October 10, 2013 at 2:19 pm
Nameless says:
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I hope everyone who voted are happy. You couldn’t afford insurance before so how do they think you can pay these premiums now?
There are many variables to out of pocket – deductible and co-payment vary by coverage chosen (Bronze, Silver…)vary by state and location within the state and also vary by insurance exchange providers in the state. There is too much data to put into an article the length of the typical Insurance Journal article. Google – Bronze Plan deductible and there are samples given by various state and insurance carrier.
Also, remember that there is more coverage available for certain preventative care in these plans then in many of the prior voluntary market plans.
There is also the factor of subsidy that will impact each income level differently on final premium.
ACA Benefits:
Many will have insurance that could not be obtained at all previously. Declined.
Many will have insurance that didn’t have it before because now they can afford it.
Many will have access to lower premiums and better coverage.
Many will have the some coverage with their employer that they have now.
Many will have the flexibility to leave the workplace and know there are options available.
Many who are between jobs will also have the security to know that there are affordable options that could previously not afford Cobra – since they no longer had income.
Lastly – many will obtain lower cost preventative care rather than showing up at the ER with serious conditions.
I’m all for universal healthcare – everyone on this blog knows that. But I don’t know how a fast-food worker making $18,000 a year (bringing home about $1100 a month) is going to have an extra $98 after paying rent, utilities, transportation expenses, food, and hopefully an occastional movie or dinner out.
And believe it or not wvagt, I agree that $6,500 out of the gate is untennable. It would be for me. Something, short of repealing, needs to be done to re-vamp this system.
But wait, I thought that this guy will have to FRONT his subsidy money. That the carrier won’t “discount” his payments and the Gov’t won’t either. He may have to wait until he files his taxes to get a “tax credit” rather than a “premium discount.”
Is this correct? Pls let me know.
Is so, I supsect he’ll get cancelled for non-pay long before he qualifies to get a subsidy at tax time next April.
No. Do the math. $1,500 is gross. Using a 25% tax rate, he’d be bringing home $1,100. At 15%, $1,275. And from what I’ve been told, the subsidy gets paid directly to the insurance carrier, so the insured pays the discounted premium. If it cancels, the carrier will have to return it to the government I would assume. But don’t know for sure…
$900 is probably closer after state & local taxes.
October 11, 2013 at 3:57 pm
InsGuy says:
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How many annual salaries do you see that are quoted net? (It says $18,000/yr)
Hardly any, because the net # doesn’t mean the same thing to people in Ilinois as it does to someone without state taxes.
October 14, 2013 at 7:59 am
jw says:
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18000 / 12 = 1500
October 14, 2013 at 2:58 pm
FFA says:
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Either or. He can elect to have his subsidy sent directly to the carrier and then square up on 4/15. Or he can pay the full premium and then get the Subsidy on his tax refund.
Either way, its too confusing to an ins vet for over 20 years. How is JOe average supposed to figure this stuff out?????
as an insurance professional, I have watched very closely all aspects of the saga of Obamacare (and spent the last ten days attempting to become “certified” online).
to date I have not seen a clear explanation of how the finances of the entire program have been calculated, or what actuarial science was involved in establishing the rating when you have 30 or 40 million uninsured individuals with undetermined health backgrounds suddenly being insured. you don’t have to know much about insurance to see a wreck of monumental proportions. where is money coming from to subsidize these low premiums?
Bob-
you likely won’t see any of that in any publication. If interested you’ll likely have to request a FOI copy of the rate-filing from the state in which it’s filed. some states have free on-line database lookups, others charge a fee to send you paper or e-copies.
Some states like CA, I believe, don’t regulate health rates. But, if they did, there at the state level.
The article only tells part of the story – there’s no mention of what the out-of-pocket costs or deductibles might be. Shouldn’t these be discussed along with premiums when determining what these individuals will really pay?
I hope everyone that voted is happy with their choice. How are people that couldn’t afford to buy insurance in the first place can pay these premiums?
Or the additional taxes????
For me currently in IL, My wife and I pay over $1500 @ month with a $5K per person ded. BCBS is offering a plan for both of us with a $1K ded, $35,00 copay physician, script card – all the bells & whistles for $948.00. That’s about $12K less a year total out of pocket.
who is going to make up the difference?????
You’re the first person I’ve heard that has been upset over saving $12,000 a year, FFA.
All the 20 and 30 year-olds that are now forced to enroll are going to make up the difference.
I told two years ago this was going to be the ticket for you, but you didn’t want to listen. (Not to mention all the money you’re going to make selling against the exchanges.)
Why not just sit back, relax, and enjoy it?
I am going to enjoy the saving while I can.
Its not that I didn’t listen, I just don’t see this working in the big picture.
its way too much of a reduction to not be concerned about future issues. So, I will live in the moment…
I hope everyone who voted are happy. You couldn’t afford insurance before so how do they think you can pay these premiums now?
There are many variables to out of pocket – deductible and co-payment vary by coverage chosen (Bronze, Silver…)vary by state and location within the state and also vary by insurance exchange providers in the state. There is too much data to put into an article the length of the typical Insurance Journal article. Google – Bronze Plan deductible and there are samples given by various state and insurance carrier.
Also, remember that there is more coverage available for certain preventative care in these plans then in many of the prior voluntary market plans.
There is also the factor of subsidy that will impact each income level differently on final premium.
ACA Benefits:
Many will have insurance that could not be obtained at all previously. Declined.
Many will have insurance that didn’t have it before because now they can afford it.
Many will have access to lower premiums and better coverage.
Many will have the some coverage with their employer that they have now.
Many will have the flexibility to leave the workplace and know there are options available.
Many who are between jobs will also have the security to know that there are affordable options that could previously not afford Cobra – since they no longer had income.
Lastly – many will obtain lower cost preventative care rather than showing up at the ER with serious conditions.
I’m all for universal healthcare – everyone on this blog knows that. But I don’t know how a fast-food worker making $18,000 a year (bringing home about $1100 a month) is going to have an extra $98 after paying rent, utilities, transportation expenses, food, and hopefully an occastional movie or dinner out.
And believe it or not wvagt, I agree that $6,500 out of the gate is untennable. It would be for me. Something, short of repealing, needs to be done to re-vamp this system.
But wait, I thought that this guy will have to FRONT his subsidy money. That the carrier won’t “discount” his payments and the Gov’t won’t either. He may have to wait until he files his taxes to get a “tax credit” rather than a “premium discount.”
Is this correct? Pls let me know.
Is so, I supsect he’ll get cancelled for non-pay long before he qualifies to get a subsidy at tax time next April.
Also, $1100/mo is GROSS. He’s not bringing home that amount. Probably closer to $900.
No. Do the math. $1,500 is gross. Using a 25% tax rate, he’d be bringing home $1,100. At 15%, $1,275. And from what I’ve been told, the subsidy gets paid directly to the insurance carrier, so the insured pays the discounted premium. If it cancels, the carrier will have to return it to the government I would assume. But don’t know for sure…
$900 is probably closer after state & local taxes.
How many annual salaries do you see that are quoted net? (It says $18,000/yr)
Hardly any, because the net # doesn’t mean the same thing to people in Ilinois as it does to someone without state taxes.
18000 / 12 = 1500
Either or. He can elect to have his subsidy sent directly to the carrier and then square up on 4/15. Or he can pay the full premium and then get the Subsidy on his tax refund.
Either way, its too confusing to an ins vet for over 20 years. How is JOe average supposed to figure this stuff out?????
as an insurance professional, I have watched very closely all aspects of the saga of Obamacare (and spent the last ten days attempting to become “certified” online).
to date I have not seen a clear explanation of how the finances of the entire program have been calculated, or what actuarial science was involved in establishing the rating when you have 30 or 40 million uninsured individuals with undetermined health backgrounds suddenly being insured. you don’t have to know much about insurance to see a wreck of monumental proportions. where is money coming from to subsidize these low premiums?
Bob-
you likely won’t see any of that in any publication. If interested you’ll likely have to request a FOI copy of the rate-filing from the state in which it’s filed. some states have free on-line database lookups, others charge a fee to send you paper or e-copies.
Some states like CA, I believe, don’t regulate health rates. But, if they did, there at the state level.