When you picked your Obamacare health insurance plan, did you choose something with a monthly premium that felt manageable to you? It’s common for lower monthly premiums to come with higher deductibles, especially in today’s health insurance marketplace.
This arrangement may seem okay until you or your family members need to see the doctor. Many Americans with high deductibles struggle to meet them when medical bills appear.
As a matter of fact, the Commonweath Fund Biennial Health Insurance Survey found that in 2014, 31 million U.S. adults age 19 to 64 had such high out-of-pocket costs or deductibles relative to their incomes that they were underinsured. As defined in an issue brief related to the survey, someone who is insured all year is underinsured if any of the following apply:
- Out-of-pocket costs, excluding premiums, over the prior 12 months are equal to 10 percent or more of their household income
- Out-of-pocket costs, excluding premiums, are equal to 5 percent or more of household income if income is under 200 percent of the federal poverty level ($22,980 for an individual and $47,100 for a family of four)
- Deductible is 5 percent or more of household income
The survey also found that, in 2014:
- 11 percent of privately insured adults had a deductible of $3,000 or more, up from 1 percent in 2003.
- 651 percent of underinsured adults reported problems with medical bills or debt
- 44 percent reported not getting care because of cost
- Among those paying off medical bills, half of underinsured adults and 41 percent of privately insured adults with high deductibles had debt loads of $4,000 or more
Bottom line: A lot of individuals and families are looking for solutions to help with high deductibles and out-of-pocket costs. We put a video together that shows why you don’t have to live your life in a bubble, trying to avoid illness or injury, and how The IHC Group can help.
Metal Gap, a supplemental product from The IHC Group, can help pay your deductible and other accident- and illness-related costs.