At 63, Mary is about to lose employer sponsored coverage. Recent news about the revival of short term medical plans had her considering those as an option until she turns 65.
Absent tax credits, an ACA plan with a $7,900 deductible (100% co-insurance) would cost her $889.96/month; a short term plan with a $5,000 deductible (60/40 co-insurance, OOP $10,000) is just $180.90.
That’s a tempting difference.
But, you have to medically qualify for short term plans and they do not cover pre-existing conditions. Mary said that’s OK; she enjoys “excellent” health. (Never heard that before!) I pressed the matter. (It’s my job.) Turns out she’s taking medication for high blood pressure. So, would she be OK with no coverage if
she had a heart attack?
And what else has her doctor entered into her medical record she might not even know about?
Maybe a short term plan makes sense for a 29 year old invincible. The same plans are $215.14 vs. $65.40 (the latter with no coverage for maternity); emphasis on maybe because experts argue if more 29 year olds were in the ACA pool, Mary’s premium for comprehensive coverage wouldn’t be so high.
Having choices is great, as long as you don’t need the luck of the Irish to collect benefits!
Happy St. Patrick’s Day.
