Re: HSA's a Shot in the Arm

On Fri, 03 Feb 2006 17:12:41 GMT, Rita <nitany_98@xxxxxxxxx> wrote:

On 3 Feb 2006 08:03:34 -0800, "js" <jonathansmith99@xxxxxxxxx> wrote:

Rita, there is a fundemental difference between pre-paid medical care
and medical insurance. Most Americans today have a saystem that would
be considered a pre-paid medical care system WITH a catastrophic
incident rider.

What I mean is - when you have a $10 copay at the doctors office, a $20
copay at the pharmacy, with the rest paid out of a "pool" to which you
contribute $270 per month, and these payments start with the very first
use, that's not insurance, that's pre-paid medical care.

When you have an MSA and get 100% insurance coverage for inpatient care
in excess of $5000, for example, that's insurance.

No judgement - just a point of clarification.

js


This is an arcane point and it sheds no light on the discussion.
I would like to know the cost of the premiums for catastropic health
insurance. I gather the premiums vary as to age and health of the
applicant and that pre-existing conditions would not be covered or at
the least have some strings attached.

What you call prepaid medical care has no strings in a group plan.
Is catastrophic insurance offered in a group or single plan?

Seems to me the catastrophic coverage has a lot of minuses and
no one so far who has discussed it actually has such a plan and
is able to explain in detail how he or she applied for it, what it
costs, etc.

I expected Connie to have this info since she touts this kind of
insurance constantly. But she has been unable to tell me where one
can find policies offered and cost and anything about prexisting
conditions, etc.

I have some catastrophic coverage. But I don't know the exclusions
etc, and I don't know if I'll be able to keep it once I need it. Quite
often insurance companies drop coverage when they have to pay. For
example, after hurricane Iniki here, all insurance companies left the
market and dropped their policies. Claims were difficult to process
because they enforced exclusions in fine print, to the letter of the
law. IIRC there may still be some unresolved suits years later on the
coverage of the hurricane policy at that time.

This is actually quite common in health insurance too. My dad had a
thirdparty insurance to cover what medicare and his group health
insurance did not cover. But even with my help in filling the claim
forms, we could not collect for his new serious illness. Eventually,
he decided to drop this insurance which would not pay. IIRC the crux
of the problem was showing that the current illness was not related or
somewhat connected with some pre-existing condition that his other
insurance policies would not cover completely.

Anyway, it makes sense that these HSA accounts should only go to those
who cannot get adequate medical coverage. If anyone has any
opportunity to buy into a group plan, then they should not be allowed
these accounts. I have an individual plan which I have waited too long
to upgrade. There is no drug coverage. Now at my age, they don't want
to upgrade the individual policy-- just when I'm beggining to need it.
It's really too late for me to start this kind of savings account. I
don't have a group retirement health policy. And I have to wait a
couple years to get medicare. What I would prefer to do is to move a
substantial part of my savings into the HSA account and then put it
back into savings or an IRA when and if I do get adequate health
insurance.
.

Relevant Pages

  • Re: HSAs a Shot in the Arm
    ... use, that's not insurance, that's pre-paid medical care. ... I would like to know the cost of the premiums for catastropic health ... As a matter of fact Medicare is not available until age 65 except for ...
    (soc.retirement)
  • Re: A health care plan.
    ... If the public health insurance option ... Anyone that has dealt with Medicare coverage, knows that it is NOT Free, it is a bureaucratic nightmare, and it already rations health care. ... The public health insurance option will always be ...
    (misc.news.internet.discuss)
  • Re: Question about "Medicare Questionairre for Beneficiaries with Prescription Drug Coverage"
    ... I do NOT have hubby's insurance from work, ... Medicare and my states Medicaid. ... Does your family member have group health insurance coverage through ... One of the best parts of being an employee there ...
    (alt.support.chronic-pain)
  • MS Patient Falls Into American Insurance Gap
    ... Oatley is in a mirror-lined room filled with cheerful blue workout mats, big red and orange exercise balls, weight racks and other devices. ... It's a government-run system, funded by income taxes, that provides health care to all residents. ... Oatley's situation is a stark contrast to that of Americans diagnosed with MS who have limited or no health insurance. ... When Congress and the president expanded Social Security and Medicare to the disabled in 1973, they put a two-year waiting period onto Medicare to keep costs down. ...
    (soc.retirement)
  • Re: Milestone
    ... Paying almost $1k a month for medical insurance for 3 years ... can qualify for Medicare. ... coverage in the event of serious illness. ... under the family plan. ...
    (misc.rural)