Which Medical plan?
10-25-2016, 08:21 AM
#21
Thx Age 65
Joined APC: Jul 2005
Position: MD11CAP
Posts: 1,041
I voted no, and was initially very suspicious of the hsa. But after attending the seminar, looking at our historical health care family usage, and running the numbers they came out out better for us using purple. If you have a lot of healthcare usage, youre probably better using the buy upend paying up front for the costs. I've only used buy up two years here, when we were having kids. Otherwise I've got a rainy day fund that covers the gap in the buy up and the base. With purple, I can build a tax free rainy day fund for those sucky years, and keep my money otherwise.
Some people pay for peace of mind. My thinking has always been to have the least amount of insurance that I can with savings to cover the gap. Everyone's different.
Some people pay for peace of mind. My thinking has always been to have the least amount of insurance that I can with savings to cover the gap. Everyone's different.
10-25-2016, 01:05 PM
#22
Gets Weekends Off
Joined APC: Nov 2013
Posts: 2,756
I just talked to someone who has had those consumer driven plans at FedEx, and she said that this year it was very inexpensive, with almost nothing out of pocket. They barely went to the doctor, and it was only for preventative care. However the year prior, it was costly, because she had to get a minor operation, and the deductible was 5K, so plenty out of pocket.
So I suppose it really does depend upon how much medical care you need. It would be really nice if there was a way to analyze prior years....ie, I used these services, how much would it have cost me on one of the new plans. That would be the obvious way to compare. Of course, one can try to decipher it from the plan information, however, that seems completely up to interpretation, and you know how health care is...you really don't know if/how much something is going to be covered until they actually pay for it, no matter what they claim ahead of time.
So I suppose it really does depend upon how much medical care you need. It would be really nice if there was a way to analyze prior years....ie, I used these services, how much would it have cost me on one of the new plans. That would be the obvious way to compare. Of course, one can try to decipher it from the plan information, however, that seems completely up to interpretation, and you know how health care is...you really don't know if/how much something is going to be covered until they actually pay for it, no matter what they claim ahead of time.
10-25-2016, 01:50 PM
#23
Gets Weekends Off
Joined APC: Nov 2013
Posts: 2,756
I am going to look at the videos myself, however, I'm sure some of you have already done it will know the answers.
Can you switch back and forth from the buy up plan to a CDHP every other year if you like?
A visit to your PCP about a sinus infection (or a FedEx mandated doctors letter) could cost upwards of $200 at my doctors. That's not preventative care, and right now I only pay a $20 deductible. Would I be responsible for the full cost every time I go to the doctors for the sniffles, until I hit my 5K deductible?
Did I read that correctly?
Also, I think our overall medical costs last year were about 3K, and 8K the year prior. Don't know how much of that would have been preventative, maybe a few doctors visits and a colonoscopy. However, if having to get a colonoscopy is not necessarily going to be preventative (ie you have to get it every 3 years because they removed something), that is a LOT of money. Maybe you could switch to the buy up plan in the year you know you need to get stuff done, and it would be worthwhile to consider.
Can you switch back and forth from the buy up plan to a CDHP every other year if you like?
A visit to your PCP about a sinus infection (or a FedEx mandated doctors letter) could cost upwards of $200 at my doctors. That's not preventative care, and right now I only pay a $20 deductible. Would I be responsible for the full cost every time I go to the doctors for the sniffles, until I hit my 5K deductible?
Did I read that correctly?Also, I think our overall medical costs last year were about 3K, and 8K the year prior. Don't know how much of that would have been preventative, maybe a few doctors visits and a colonoscopy. However, if having to get a colonoscopy is not necessarily going to be preventative (ie you have to get it every 3 years because they removed something), that is a LOT of money. Maybe you could switch to the buy up plan in the year you know you need to get stuff done, and it would be worthwhile to consider.
Last edited by busdriver12; 10-25-2016 at 02:15 PM.
10-25-2016, 04:21 PM
#24
Line Holder
Joined APC: Sep 2007
Posts: 31
What's the catch?
The way I read it, my buyup plan is going to cost me $5000 out-of-pocket no matter what (
Monthly premiums). The Purple is going to cost $400 out of pocket ($5000 - $4600 HSA and incentives).
So, the out of pocket starting point is $5000 (buy up) -vs- $400 (Purple)
Next, I would consider how many $20 Dr. Visits (buy up) it is going to take compared to the 10% of medical cost under the Purple plan to make up the difference from the starting point of $4600 less if you go Purple.
Then there is the max out of pocket for the year. $9750 for buy up -vs- $3900 for Purple ( I got that number from the video 8500 - 4600 = $3900 out of pocket).
It seems like Purple wins hands down, but if it's that good of a deal, what's the catch?
P.S. I know I breezed over some other details, like prescription costs, but isn't the max out of pocket a hard number?
Monthly premiums). The Purple is going to cost $400 out of pocket ($5000 - $4600 HSA and incentives).
So, the out of pocket starting point is $5000 (buy up) -vs- $400 (Purple)
Next, I would consider how many $20 Dr. Visits (buy up) it is going to take compared to the 10% of medical cost under the Purple plan to make up the difference from the starting point of $4600 less if you go Purple.
Then there is the max out of pocket for the year. $9750 for buy up -vs- $3900 for Purple ( I got that number from the video 8500 - 4600 = $3900 out of pocket).
It seems like Purple wins hands down, but if it's that good of a deal, what's the catch?
P.S. I know I breezed over some other details, like prescription costs, but isn't the max out of pocket a hard number?
10-25-2016, 04:39 PM
#25
Gets Weekends Off
Joined APC: Nov 2013
Posts: 2,756
Actually, Skyler, I don't think the max out of pocket is generally much of a player, unless you have some serious medical issues. Which certainly can happen, but it seems somewhat unlikely that it will happen. Hopefully. And then you probably aren't caring too much about paying a little bit more!
I am starting to look at it more carefully and wondering what the catch is. Because the purple plan does look pretty good. Uh oh, here I was so certain....
I am starting to look at it more carefully and wondering what the catch is. Because the purple plan does look pretty good. Uh oh, here I was so certain....
10-25-2016, 04:44 PM
#26
done, gone skiing
Joined APC: May 2005
Position: Rocking chair
Posts: 1,601
Originally Posted by skyler
It seems like Purple wins hands down, but if it's that good of a deal, what's the catch?
P.S. I know I breezed over some other details, like prescription costs, but isn't the max out of pocket a hard number?
P.S. I know I breezed over some other details, like prescription costs, but isn't the max out of pocket a hard number?
The harder decision is if you don't have known, fixed health care expenses and are trying to figure which is going to reward you (less $$$) or better protect you, and provide better value for your contribution. It appears that for a healthy family, with no known built in health issues, the new plans may save real money.
The fact that Fedex kicks in $4000 for a family up front and $600 more (if you meet the quals) plus the lower caps, suggest to me that the purple plan may be the best option. Don't full understand the HRA part and the wife is asking questions about how we would actually play the out of pocket portion and than get the money back (from the $4600 company money). Anyone with more knowledge about how this is suppose to be adminestered, please chime in!
10-25-2016, 05:50 PM
#27
Line Holder
Joined APC: Jul 2013
Posts: 98
Dckozak,
For the HRA plans, I was told that you'll get a debit card in the mail with your money "on" it. The recommended method is have the office submit the bill to anthem, who will reduce it to in-network contracted rates and then you'll pay that bill when you get it in the mail from the doctor.
There are some "advanced" things you can do as well, like pay with a credit card for the points and pay yourself back with the debit card, but if you want ultimate simplicity, you can just give the debit card to the receptionist at the doctor's office at the time of service.
For the HRA plans, I was told that you'll get a debit card in the mail with your money "on" it. The recommended method is have the office submit the bill to anthem, who will reduce it to in-network contracted rates and then you'll pay that bill when you get it in the mail from the doctor.
There are some "advanced" things you can do as well, like pay with a credit card for the points and pay yourself back with the debit card, but if you want ultimate simplicity, you can just give the debit card to the receptionist at the doctor's office at the time of service.
10-25-2016, 06:50 PM
#28
Gets Weekends Off
Joined APC: Aug 2006
Position: B777 FO FDX, C130 ANG
Posts: 538
I was torn between Purple and BuyUp, and decided to ultimately keep the BuyUp plan.
We tend to use the basic HC services like Chiro quite a bit and my wife has a prescription which otherwise would cost $100/month ($35 Copay w/BuyUp Plan) and can't use generics ($1200/yr). Couple our cost of basic care with two kids and little stuff that pops up like an MRI and I'd likely be in the over $4600/yr camp; the $480/yr difference in premiums doesn't look that large.
The deductibles do not cross accumulate between Out of Network and In Network care; imagine when you find out the Dr you were referred to isn't in network; I just see that being a possible debacle. Take it a step further, and say your kid's in the hospital and now you have to deal with the additional headaches of getting your tens of thousands of dollars reimbursed. There's a significant penalty with the CDHPs for using out of network care.
The Purple CDHP is a good option for people who seldom use healthcare in general, and you can basically cover the premium costs (approximately $4150/yr) if you don't use the $4600 they credit you with; couple that with it growing at 4% a year you could have a good chunk of change in there after a number of years.
The real question is how much risk are you willing to handle. The CDHP puts more of the risk in your court, but there's more reward for those that don't need much healthcare that year. Overall I think the BuyUp plan is a superior health plan for those who actually need to use it.
Does anyone know if the the Health Care Debit card is only associated with the HSA that you put money into or does the HRA (i.e. $4600 company contribution acct.) also have a debit card associated with it? In my reading I only see the debit card associated with the HSA account.
We tend to use the basic HC services like Chiro quite a bit and my wife has a prescription which otherwise would cost $100/month ($35 Copay w/BuyUp Plan) and can't use generics ($1200/yr). Couple our cost of basic care with two kids and little stuff that pops up like an MRI and I'd likely be in the over $4600/yr camp; the $480/yr difference in premiums doesn't look that large.
The deductibles do not cross accumulate between Out of Network and In Network care; imagine when you find out the Dr you were referred to isn't in network; I just see that being a possible debacle. Take it a step further, and say your kid's in the hospital and now you have to deal with the additional headaches of getting your tens of thousands of dollars reimbursed. There's a significant penalty with the CDHPs for using out of network care.
The Purple CDHP is a good option for people who seldom use healthcare in general, and you can basically cover the premium costs (approximately $4150/yr) if you don't use the $4600 they credit you with; couple that with it growing at 4% a year you could have a good chunk of change in there after a number of years.
The real question is how much risk are you willing to handle. The CDHP puts more of the risk in your court, but there's more reward for those that don't need much healthcare that year. Overall I think the BuyUp plan is a superior health plan for those who actually need to use it.
Does anyone know if the the Health Care Debit card is only associated with the HSA that you put money into or does the HRA (i.e. $4600 company contribution acct.) also have a debit card associated with it? In my reading I only see the debit card associated with the HSA account.
10-26-2016, 02:27 AM
#29
Line Holder
Joined APC: Dec 2008
Posts: 43
Originally Posted by skyler
The way I read it, my buyup plan is going to cost me $5000 out-of-pocket no matter what (
Monthly premiums). The Purple is going to cost $400 out of pocket ($5000 - $4600 HSA and incentives).
So, the out of pocket starting point is $5000 (buy up) -vs- $400 (Purple)
Monthly premiums). The Purple is going to cost $400 out of pocket ($5000 - $4600 HSA and incentives).
So, the out of pocket starting point is $5000 (buy up) -vs- $400 (Purple)
10-26-2016, 05:13 AM
#30
Line Holder
Joined APC: Feb 2007
Posts: 74
Can't deal with the paperwork
Its my understanding that with the CDHP.....we must file receipts to get expenses "approved" for funding similar to the previously touted HSA cards.
I am willing to pay a slightly higher cost of the Buy-up plan to avoid the hell associated with the receipt system. My HSA card was literally shut down over a $1.50 receipt that I never could resolve. Not worth it for me.
Buy Up
I am willing to pay a slightly higher cost of the Buy-up plan to avoid the hell associated with the receipt system. My HSA card was literally shut down over a $1.50 receipt that I never could resolve. Not worth it for me.
Buy Up
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