More Health Insurance during the Pandemic

As Americans celebrated the July 4th holiday during the pandemic, family and friends from around the country represented the complexity of health insurance in the U.S. (on a Zoom call):

  • Young adult lived at home again. She was covered by her parents’ plan until she turns 26, which happens later this year.  
  • School counselor had employer-sponsored insurance. His union ensured that he had rich benefits, broad network, and low costs.  
  • Individual proprietor bought coverage on the Federal Marketplace (i.e., Obamacare). Given her income, she didn’t qualify for subsidies and paid $1,000 per month for a plan with $5,000 deductible.
  • Early retiree paid for COBRA through her prior employer. When she turns 65 next year, she will be eligible for Medicare. (Her husband was covered by Medicare.)
  • Retired couple enrolled in Traditional Medicare and bought a supplemental plan. The combination made it easier for them to travel (when they can do so again).
  • Another retiree chose a Medicare Advantage plan because she lived on a tight budget. She struggled with plan limitations (providers, networks, visits) but enjoyed relatively low out-of-pocket costs.
  • The group had colleagues who had lost their jobs and their coverage. Some of these individuals might qualify for Medicaid, especially in states with expanded eligibility.

These health insurance systems have open enrollment—in some form or another—over the next few months. In an ideal world, everyone on the call will be able to shop for coverage that best meets their needs.   

But it’s not an ideal world, and these Americans illustrate the complexity of the U.S. health insurance systems. They’d be better off with one system for everyone. In the meantime, they’re Mastering Health Insurance.

Photo: 39-star American flag in Bedford, PA (Lobby of the Omni Bedford Springs Hotel)