Monthly Archives

February 2016

For Middle Income Americans Obamacare Coverage Is Worse than Nothing

By | Health Insurance, Health Reform

Under Obamacare people with health coverage can rack up huge medical bills despite having insurance. That’s Obamacare Alternativebecause, for the majority of middle income Americans, the only coverage they can now afford are plans that feature excessively high deductibles – and because those are so expensive they do not have money left over to fund a health savings account to pay for the cost of deductibles and co-pays.

Here’s an example:  A couple in their mid-40’s with no pre-existing conditions will pay an average of $800 per month and have a deductible and co-pay that will require them to spend $13,000 before their insurance kicks in.

By design, Obamacare is a bad deal for most people.   Except for the unlucky few who experience catastrophic health issues, the vast majority of Obamacare enrollees would be better off without Obamacare.

According to Deveon Herrick, health economist and a senior fellow at the National Center for Policy Analysis (NPCA), this is because deductibles in the exchange have risen to the point that most enrollees pay virtually all their routine medical needs out of pocket. With deductibles of $5,000 or more becoming common, Obamacare is becoming little more than a sickness tax on people who don’t expect to reach their deductibles. It’s an unofficial tax on most enrollees to reward insurers and offset some of the cost of insuring the few people with major health conditions.

It’s rather sad when you realize the Affordable Care Act made health care unaffordable for most Americans.   However,  in 18 states (Alabama, Arkansas, Florida, Illinois, Iowa, Kentucky, Mississippi, Nebraska, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Tennessee, Texas, Virginia, West Virginia, and Wisconsin) there is an alternative.  For more on that visit us by clicking here or call us at 1-800-257-1723.

Feds Predict 60% Health Insurance Premium Increase in This Decade – Here’s How To Hedge That Cost

By | Health Insurance, Life Insurance

The Congressional Budget Office predicted rate increases for health insurance plans purchased through the Affordable Care Act marketplace to be 8 percent a Affordable Health Insuranceyear until 2018, then 5 to 6 percent a year until 2025 — that outstrips income gains by 6 percent a year.

That would take average annual 2025 premiums for those plans to about $5,000 for a single 21-year-old, $7,500 for a single 46-year-old, and $18,200 for a family.

Those plans are currently a little cheaper than job-based ones, the budget office said, because their coverage is less extensive and requires higher out-of-pocket payments for care.

However, job based health insurance will rise about 60 percent, to $10,000 for singles and to $24,500 for families by 2025.

For those that are healthy, now is the time to bank on that good health by purchasing insurance programs (like the Life Protection Pyramid) that provide coverage with Living Benefits.  Why the emphasis on Living Benefits?  Because once you have a pre-existing condition and have no option but to purchase job-place or Affordable Care Act marketplace policies, the cost of deductibles and co-pays will add significantly to your total cost of healthcare.  Living Benefits coverage is the best hedge against the cost of high deductibles that are an inevitable part of a major illness.