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Just like gas and food, my health plan will be following the trend of increasing costs. Human Resources sent out a brief note today notifying us that there are some changes coming to our health plan.
We are going to be switching to a new provider in January. The reason for the switch is to lower costs. Unfortunately, the savings will most likely be for the company and not for the employees. Like most large companies, the company pays part of the premium for insurance. Our company makes sure we know how much they are paying because they put the amount they paid on our paystub.
Currently, we have numerous options for our health insurance. The plans range from a 100% plan with no deductible (most expensive) to a 60% plan with a high deductible of $2500 (least expensive). I currently have a 90/10 plan which costs $36 per paycheck. I elected to have a $500 deductible to lower the monthly cost. Currently, once my deductible is met for the year, my insurance then pays 90% of the bill and I kick in the remaining 10%.
The new plan is supposed to have a larger network of doctors and is supposed to be more flexible. That's the good news of the new plan. The bad news is that there is only one choice - 80/20. I'm not sure at this point what deductibles will be offered and what the cost will be.
We should be getting all the details in a presentation next week and I will give you the details. I plan to increase the amount of money I put aside in my personal flexible savings account to cover the 10% increase is the amount I am required to pay.
Image Credit: Paul Keleher