Group Health Insurance Plans

Cobb County

Very different from securing your benefits through a chamber of commerce or association. That’s an option to research, of course, although make sure you understand the difference between a true group plan (like MBO — a real corporate group means everyone has the same rates, and aside from some exceptions around pre-existing conditions, everyone is automatically accepted) and a “group discount” plan, which is actually individually rated or age rated, but there is a theoretical group discount.

People out there who are trying to sell insurance will use the word “group” in deceptive ways. The thing to ask is, can my rates go up on just me?

In a real group, the rates are group rates. Jenny pays the same as me, I pay the same as Dave. [May differ by geography, and people will pay more to add dependents to the plan, of course.] If the rates go up next year, they go up the same for all of us, and hopefully not by much.

In an individually rated plan (group discount or no) your rates are specific to you, and if you make claims, your rates might go up more than someone else’s rates.
Some have morbidly called this a “death spiral” becuase the sicker you get, the more expensive your rates get.

Carrie, I can’t believe you had a policy that doesn’t cover the most common way people get hurt, and the leading cause of death for some age groups, car accidents. I think that’s nuts. Thanks for introducing the caveat, as it would never occur to me that an individual insurance plan would pull that kind of exception. Good for you in reading the fine print!

I’m not a benefits expert or a lawyer either, but I do recommend everyone shop for the absolute best program, and educate yourself. Even the healthiest people get hurt sometimes.

I have individual health insurance for a reasonable price, but after looking it over the details learned that it doesn’t cover injuries from auto accidents. I was able to increase the medical coverage on my auto insurance policy to fill that gap.

I’m so glad I figured this out before I ever needed it…