Should I get health insurance or money?

[Leo]

My new job gave me a choice either I get $100 per month, or I can join their health insurance (HMO or PPO). I looked at the details and looks like HMO is better and cheaper. For HMO, they will deduct around $68 per paycheck(biweekly) or $180 if I included my wife.

My previous job I have the best insurance (Kaiser PPO) and I don't pay anything and it covers both myself and my wife. This time I don't like the feeling of paying for insurance. Wife old job doesn't have insurance and she's now in the process of looking for a new.

We are both healthy (Mid 20's) and we rarely get sick. Last year we only went to the Hospital once for an ear infection and the Urgent Care dept just gave us some prescription drugs. We don't really have a primary doctor. Bottom line, we don't really go to doctors or Hospitals.

Is it wiser to get $100 and save it and use it if we get sick? That's $1200 for a year. Or get the health insurance for both of us (which I can't really afford $180)?

[greenskeeper]

you'd better get some kind of insurance, even if it's only catastrophic or high deductible. $180/month is relatively cheap in my opinion depending of course on how the plan is broken down for copays, etc.

[tripods68]

It's STUPID if you don't get INSURANCE. It NO brainer. No one is bullet proof. Eventually everyone will need some medical attention at some point--even if you are both young and healthy. I had that mindset myself...thank god I did not fall into thinking I was SUPERMAN!

[Leo]

you'd better get some kind of insurance, even if it's only catastrophic or high deductible. $180/month is relatively cheap in my opinion depending of course on how the plan is broken down for copays, etc.

The HMO Plan is actually good in my opinion. Copays for usuals: ER $150 (waived if admitted) , Ambulance $100 , Urgent Care $75, Inpatient Hospital $700/day; max 5 days. It's actually going to be $360 per month(4 weeks). (180 biweekly paycheck).

[marvholly]

YOU might be a VERY healthy 20 something but what happens when that......jerk driving an old beater who has no assets, no job & no insurance tbones you and you are MAJOR injured?

GET the insurance. The $100 per months is only = to about $80 after fed & fica taxes. You do NOT pay taxes on the health insurance (at least yet).

[herdjohnson]

I'd say go with the $100 for now and maybe your wife will be able to find a better health insurance plan when she finds a job. But you know, mid 20s doesn't say you won't get sick. Besides, you may be expecting a baby if you're thinking about it. Nevertheless, it really is about either +100 or -180 and I'm thinking +100 is the way to go. Maybe you can ask if you can switch later.

You can't say it's about either +100 or -180. You're ignoring the value of the -180. The 100 will be 75 a month after taxes, and even less after you pay a penalty when you file your taxes for not having health insurance.

Just get health insurance. You're an adult now.

[rodi0017]

Ever heard of Obamacare?

Thanks to Obama if you have no health insurance you will get penalties when you file tax - they charge you a fee for each month you don't have insurance and you pay that at tax time. It is probably cheaper to pay for the insurance instead of paying the tax fees. Each year the tax fees are supposed to go up.

[Leo]

Thanks for the reply guys. I think I sound confusing. Its actually 180 per paycheck (biweekly) so thats -360 per month (month in this context is 4 weeks exactly) vs +100 add to my pay at the end of the each month.

[disneysteve]

Get the insurance. No brainer in my mind but I'm biased. I'm a family practice physician. Trust me. People in their 20s do can sick. They do get injured. They do require medical care, and sometimes very expensive medical care. Don't go uncovered to save a few bucks.

[greenskeeper]

Thanks for the reply guys. I think I sound confusing. Its actually 180 per paycheck (biweekly) so thats -360 per month (month in this context is 4 weeks exactly) vs +100 add to my pay at the end of the each month.

If you can't afford $360/month for you and your spouses health (which is your best asset) then I don't know what to say.

[herdjohnson]

Get the insurance. No brainer in my mind but I'm biased. I'm a family practice physician. Trust me. People in their 20s do can sick. They do get injured. They do require medical care, and sometimes very expensive medical care. Don't go uncovered to save a few bucks.

Same here, I'm probably biased. I manage the reimbursement dept at a hospital... I see what happens to people who think they don't need health insurance, and to all ages.

[Drake3287]

It's a no brainer, insurance without question. I sort of understand your position though, I've had Kaiser family rate paid 100% by my employer for ever (including retirement) and the thought of having to ever pay for health insurance would be difficult. I realize how lucky I am.

How did you not get dinged by the Obama Tax penalties when you did your 2014 taxes?

[Leo]

Thanks guys for the reply. I am leaning towards in getting the health insurance but I have time to decide because I'm still not eligible til next month.

I also didn't say that I am only planning to stay in my current employer for a year then switch job after I got masters degree. I am planning to ask for a good health benefits when that time comes and also my wife is in the process of looking for a new job so she might get a company which offers a good one.

[herdjohnson]

Thanks guys for the reply. I am leaning towards in getting the health insurance but I have time to decide because I'm still not eligible til next month.

I also didn't say that I am only planning to stay in my current employer for a year then switch job after I got masters degree. I am planning to ask for a good health benefits when that time comes and also my wife is in the process of looking for a new job so she might get a company which offers a good one.

If your wife gets a job with good health insurance, you can cancel it at that time. It's not a big deal.

[doingitallwrong]

I was young and in good health, too, never went to the doctor for anything except routine visits, until my appendix ruptured. The surgery alone was $55,000 -- not including anesthesia, ER visit, overnight hospital stay, antibiotics and pain meds, checkups, nor two more nights in the hospital and a pic line when I developed an abscess.

It really is a no-brainer. Get the insurance. Even if I'd banked the 15 years of premiums paid when I didn't need any medical care, I wouldn't have come close to having the amount necessary to pay for that one event.