"General Insurance" Vs "High Deductible Health Plan"

Another way to put this is “preventative healthcare” vs “chronic issues.” An HDHP is the closest our country's healthcare system gets to a preventative healthcare plan. Let me explain to you how you can make money off of being "generally healthy" with few to no comorbidities (comorbidity = "also having" anything from high blood pressure, diabetes to anxiety, depression, etc)

General Insurance

Chronic Issues, In case of Emergencies, Medication…

General insurance carries some notes of “car insurance” right? It's a "just in case plan" - if you are "high risk" for a big emergency, general health insurance is the way to go. When we have children, chronic issues, or getting older, the risk of “a healthcare emergency” are much higher and general insurance makes sense. If you fall into any other category, though, it's helpful to think outside the box. Let’s shoot this low so say you pay $300/month for your general health insurance. PER YEAR, you’ve spent ($300*12 = $3600). Then, say you get sick twice with a $30 co pay, that’s $3660/year. 

High Deductible Health Plan - HDHP

Relatively healthy (few to no comorbidities), Low risk for Emergency, Medication (?) 

The HDHP, however, though not good for “an emergency” or “regular visits,” it often includes a General Physician’s Visit (so bloodwork, a physical, etc) AND if you’re a woman, an OB-GYN visit, again, as a check in (but if you need it, as well, it’s there). Then, you have to pay for individual sick visits. Say that these are $200 each (my pediatrician charged $70 for individual visits for my daughter, sometimes they are not that bad and it's helpful to call your healthcare provider and ask) then say the source of your HDHP (most likely, your workplace) gives you a preemptive $1000 in your HSA (this is on the lower side). Now, if you only get sick once, well, that’s your included wellness visit, so that’s free.

Okay, you get sick twice like the above example, that’s your included visit plus $200. Well, that’s free too because of your HSA, and now you’ve $800 left in your HSA. And, that’s it. You’re a relatively healthy person that only requires the doctor when you get sick, and now, you’ve ACTUALLY EARNED $800. PER YEAR, you’ve spent, let's say, $50/month on your HDHP ($50*12 = $600). Then, say you get sick twice and you’re up $800, so the overall cost is $800-$600= you’re POSITIVE $200)

How the HSA Makes You Money

And, guess what? The HSA rolls over. Some clever people actually USE IT AS A RETIREMENT ACCOUNT - why? Because it rolls over (this is why they cap it - because it’s so lucrative if you’re reasonably healthy); it reduces the amount of taxable income you’re charged for at the end of the year if you invest in it each paycheck (which also reduces the amount you pay for your monthly college loans…) AND you can use it for an incredible amount of grocery items. So, check it out. How about you still pay that $300/month but instead of to General Health Insurance - you pay $50/monthly for your HDHP and $250 monthly to your HSA (why, hello there, benefits...).

Conclusion

The general United States Healthcare system is based on sickness = profit. These are facts that everyone should know. It’s upside down instead of encouraging people to come in when something first hurts, it encourages people (especially with that General Health Insurance plan) to sit on their injuries because if it doesn’t really hurt then they can’t be bothered to go in. Folks with an HDHP tend to use their 2 Included Visits BECAUSE THEY'RE INCLUDED and are actively working to reduce their sick visits so they can save/make money so they tend to be more on top of their health.

At Second Arrow, we are working to create a model that is “rightside up.” We are focusing on Preventative care (how do you prevent - or even best treat - those comorbidities that make general health insurance such a necessity like blood pressure and diabetes type 2? With regular, safe activity that makes you breathe hard and keeps you strong/mobile ->like yoga) while making healthcare more accessible. 

For example, we liken our Wellness Packages to the HDHP. 

1. You’ve yoga for regular prevention of injury (improves circulation, lowers blood pressure, reduces your weight, reduces your stress) 

2. You’ve access to PT wellness checks for a full review of those aches and pains BEFORE they become an injury

And, if they become an Injury?

Then, we have Physical Therapy Packages (and, no, we don't accept insurance BUT we do accept that HSA...) Watch Preventative Healthcare work!