The random political thoughts thread (Part Deux)

[Ghoulish Delight]

Originally Posted by MouseWife

Insurance is expensive. When the Hubster was laid off for four months, we had Cobra. It was almost/over $800. a month. I think that was also not the normal price, but, what his company would be paying {minus his portion}. And remember, he was unemployed.

There are a couple factors to consider there. First off, employer-provided health coverage tends to be at a level that is much higher than most people would choose for themselves if they were paying for it themselves. I use only a tiny fraction of the services available to me under the rather comprehensive plan my company provides and when I was unemployed, I didn't bother with Cobra and just picked a cheaper plan that covered what I needed. The main thrust of Cobra coverage is to guarantee that you have uninterupted coverage, which is an issue if you have any factors that might otherwise make you uninsurable until you get your next job (i.e., pre-existing health conditions, age, etc.). Once you are employed at a company that provides insurance, you cannot be rejected from their group policy. But if you've been laid off, are healthy and insurable, Cobra is rarely a good option as it tends to be overkill.

The other consideration is that theoretically any change that would start to require coverage for all citizens/residents would coincide with major changes in pricing structure in the industry, as well as supplements from the government. Looking at Massachusetts as an example, they not only required residents to carry insurance, but if I'm remembering the details correctly they required insurers to offer a low-cost minimal plan as an option and introduced funding for low-income families to get them on that plan.