I pay more than $10,000 per year for Health Insurance, does that sound reasonable?

Question

I'm self employed and gross about $105,000 / year.
Have wife and 3 small children. (wife stays home)
Premium for family is $857.41 / month and increases about 11% per year.
M.D. visits have $20 co-pay.
Policy through Excellus BC/BS.
We live upstate New York and have no health problems.

Answer 1

That sounds pretty good. I am self-employed, married, with three kids. I was paying $950 a month, and it was raised to $1150 a month. I live in California.

You might want to look into a Health Savings Account (HSA) and a “qualified” High Deductible Health Plan (HDHP). Because the deductibles are high, the monthly premiums are low. Under federal law, the minimum deductible in a HDHP plan is $1,100 for an individual and $2,200 for a family. The maximum deductibles are $5,500 for an individual and $11,000 a family. If you don’t go to the doctor very much, you wouldn’t pay too much of a deductible. Anything you do pay comes out of your HSA account, which is funded with tax-free dollars. In your tax bracket, you might well gain 50% in buying power, since your HSA dollars are not subject to state and federal income tax or self-employment tax.

Best of all, if the money in an HSA account is yours to keep. It rolls over from year to year. If some or all of it is unspent by the time you retire, you can withdraw it tax-free. So instead of paying a health insurance company, you are paying yourself. And the HSA money can be invested to earn even more, and the earnings are tax-free, as with an IRA account.

To find a broker in your area, log on to a website like http://www.healthinsurancewiz.com and fill out a form requesting a quote. Your information will be sent to a broker in your area who will contact you.

Answer 2

There are several comparison sites but I liked this one to get quotes for free: HELP-INSURE.NET

Answer 3

I have 26 years in the insurance business. Bradley S. has the right idea. Follow his suggestions. Besides that, I have to say that each member of your family probably has $2,000,000 of lifetime coverage. If you can't find anyone else who can put aside $2,000,000 for each member of your family to be protected, for the premium amount that you pay, then you have a great deal. Don't consider that you have no health problems. It's not so much about what you don't have, but about what you have that you don't know about . . . , and accidents, etc. Three small children. Anything can happen but, hopefully, won't. Wouldn't it be wonderful if all 3 kids grow up with no serious health problems and you never need to use more than the basic coverage for check ups? That would be great. And, I also hope that you never have to make a claim for your home insurance or your car insurance. But, you won't cancel those, will you? Good luck.

Answer 4

I was an agent for 2 years. I found a company that only charges $280 a month with a low deductible, Health Markets!, but we live in Oklahoma, you live in New York, we are 33, 30, 8, 6, 2, Non-smokers, very healthy, etc. A family plan doesn't mean anything, the price is in the details. Look at your Coinsurance, Deductibles, copays, lifetime maximums, Max out-of-pocket, per person and family, and most important, can you afford it? It doesn't matter how good the coverage is if you can't afford it. I like my plan because it is affordable, it is middle of the road coverage, but just like everyone else, check around, you might find a much better deal, just don't do it online, look at advertising in the phone book or newspaper, online companies share your information and you might get calls for months after you make a decision. Also, the amount you earn doesn't matter.

Answer 5

It does sound reasonable but there may be something better available. In my state BCBS is normally one of the more expensive plans. Visit a local independent agent. This person knows the market in your area and can do quotes with all the major companies for comparison.

With no health problems you may be paying for service you don't need. If you seldom go to the doctor a plan with no or limited doctor co-pays may be better. Consider an HSA qualified plan at least for you and your wife. With 3 small children, though, you'll probably like the convenience of unlimited doctor co-pays for them. There is generally no reason for everyone to be on the same plan. Very few companies have a "family discount" with individual health insurance.

Answer 6

I might suggest that you try this site where you can compare rates from different companies: http://COVERAGEQUOTES.NET/index.html?src=3YAzzdadGI44

RE :I pay more than $10,000 per year for Health Insurance, does that sound reasonable?
I'm self employed and gross about $105,000 / year.
Have wife and 3 small children. (wife stays home)
Premium for family is $857.41 / month and increases about 11% per year.
M.D. visits have $20 co-pay.
Policy through Excellus BC/BS.
We live upstate New York and have no health problems.
Follow 14 answers

Answer 7

I recommend you to visit this web page where onel can get quotes from different companies: http://PROTECTIONQUOTES.NET/index.html?src=2YAmhvjxQG43

RE :I pay more than $10,000 per year for Health Insurance, does that sound reasonable?
I'm self employed and gross about $105,000 / year.
Have wife and 3 small children. (wife stays home)
Premium for family is $857.41 / month and increases about 11% per year.
M.D. visits have $20 co-pay.
Policy through Excellus BC/BS.
We live upstate New York and have no health problems.
Follow 13 answers

Answer 8

Yes, that sounds very reasonable to me, especially when you're self-employed and paying the entire premium yourself. I know someone who pays $400 a month for family coverage through his employer - he's only paying a portion of the premium, and the employer pays the rest. You've got a pretty good deal.

Answer 9

As others have suggested, you are paying a reasonable premium per month. You can do better though in my opinion. Switch to an HSA with Blue Cross of NY.

Answer 10

Yep, sounds about right. Well, family plans with that kinda coverage, usually run between $850 and $1100 per month. So you're at the low end.