I can't say that I disagree with his plan.
I've decided to not renew my coverage when the bill comes in for the 4th quarter. I currently pay $320/mo for a $2500 deductible BCBS plan. I have an HSA and have saved up a fair amount of money in it. Pretty good deal. So why drop it?
1. I have never even come close to meeting my deductible. Everything I have done since HSAs came in has been paid for from my HSA. In fact, never in my life have I ever incurred more than $2,500 in medical expenses in one year. The odds are that will not change, even though I am older.
2. I expect a pretty substantial increase in my premiums, but it doesn't really matter. I would make the same decision anyway.
3. If I guess wrong and my health does change, I will be able to sign up for the new federal risk pool - but ONLY after I have been uninsured for six months. I might as well get started on that six month qualifying period now while I am still healthy.
4. There is no penalty for doing this. The federal risk pool is not allowed to charge me more than standard rates.
5. Meanwhile I will be able to save $4,000 a year on insurance premiums, which is no small matter these days that I am semi-retired.
6. I will not be able to contribute additional money to my HSA, but my income is low enough now that there is virtually no tax advantage to making an HSA contribution. My main tax issue today is the payroll tax, and the HSA has no effect on that.
So, I am joining the ranks of the uninsured. Thank you, Mr. Obama.
Wednesday, August 18, 2010
ObamaCare is Already Creating More Uninsured Americans
I received an e-mail from a fan that goes like this: