Ok, so all of you have been hit by the current economy like many others and you’re probably in shock about the cost of benefits for your family. My family is impacted as well. It’s important to know that you and your family have many options. You can continue to pay the cost for your dependents to be on the group plan, but you may also want to consider purchasing individual insurance for your dependents as it may better meet your healthcare needs and cost you less. Based on the current average increases in the market, I would say that you should anticipate the current DWR rates to increase by about 20%.
A few things you need to know:
1. Individual Insurance policies are priced by the applicants’ age, home zipcode and health history. The sample rates I’ve shown you will be different than the rates you can anticipate unless your age and zipcode match the illustration.
2. The process of purchasing an individual policy takes about 30 to 45 days as medical records may be ordered. As a result, if you want to have an individual policy active by January 1st, you should apply by November 15th. The one exception to this guideline is Kaiser.
3. There are many individual policies available, but you need to fully understand what the plans cover. Some plans have limited prescription drug benefits or offer no maternity coverage. Make sure you understand what you are purchasing.
Kaiser Enrollees:
For those of you currently enrolled with Kaiser on DWR, you would pay $833 a month to have your family (spouse and children) on the plan at the current 2009 rates. However, you have several options in purchasing a Kaiser Individual Plan that could save you serious money.
I used pricing for a 40 year women with two children ages 7 and 4 in San Francisco. If you are younger, the rates would be lower and if you are older, the rates may be higher.
Kaiser $25 Copay Plan- $864 mo / Kaiser 50 Copay Plan- $672 mo / Kaiser 30 Copay - $1500 Deductible Plan - $598 mo / Kaiser $0-$1500 HSA Plan - $567 mo.
If you only have a spouse enrolled with Kaiser today, your options and possible savings are different. If you keep your spouse on the DWR Kaiser group plan, you would pay $470 a month using the current rates - again those rates will increase in 2010. I ran sample rates for a 30 year old female spouse in San Francisco. If you purchased an individual plan, you would pay the following: $296 month for the Kaiser 25 Copay Plan or $180 a month for the $30 Copay / $1500 Deductible Plan.
Blue Cross Enrollees:
For those of you enrolled on the Blue Cross PPO or HMO plans, there are many options avaible with Blue Cross and Blue Shield that may meet your needs. The affordable plan options available to individuals are all PPO plans (HMO plans are expensive), but you will typically find your doctors are in the network for both Blue Cross and Blue Shield.
If you were to keep your family (spouse and children) enrolled on the DWR Blue Cross PPO Plan, you would pay $725 a month based on the current rates or $833 a month for the HMO Plan. Again, I’d factor about a 20% increase for 2010 rates under the DWR plan.
Again, I ran rates for a 40 year old women with two children ages 7 and 4 in San Francisco. Anthem has a great plan called the SmartSense PPO 500 with Generic and Brand Name RX Coverage. The rate is just $444 a month! There are also two options with Blue Shield that may make sense for your family, the Blue Shield 3600 HSA Plan at $476 mo and the Blue Shield Balance 2500 Plan at $545 mo.
If you only have a spouse enrolled on the DWR Blue Cross plans today, you would pay $431 a month for the PPO Plan or $470 a month for the HMO plan using the current 2009 rates. Again, you have an opportunity to save money in purchasing an individual plan. The rate for a 30 year old female spouse in San Francisco would be $198 a month on the Blue Cross Smart Sense PPO 500 Plan with Brand and Generic RX Coverage.
Again, the rates shown are sample rates. Health insurance coverage is important and it’s also confusing. We would be happy to talk with you to answer your questions, prepare a specific rate quote for your family and discuss the options. If you would like a specific rate quote for your family, just give us a call at 415-329-4299 or send me an email at samantha@benefaction-ins.com to briefly discuss your health history and obtain basic information such as your names, dates of birth and home zipcodes. We will prepare a quote for you with several options and then we can review the options together so you fully understand the plans. If you decide to apply, we will send you a link to apply right online with Kaiser, Blue Cross or Blue Shield. Please know that there is no obligation or pressure - we just think it is important to know your options and make the right decision for your family.
Tags: DWR
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