Would you cancel your health insurance if you felt you had to?

[Dooley]

We have been hard hit by this recession. My husbands industry is pretty dried up. So far this year, we have made about 2/5 of what we would normally need to make to stay ontop of stuff. We are living on our savings and while I am glad we have that savings, I am wondering if its worth draining our account. For the first time ever, we even have a savings account - (we sold a house in San Diego and moved to NC) and I am loath to get rid of it like this. I had hoped, one day, to maybe have a vacation or something.

 

Anyway, I am feeling like we may need to cancel our health insurance - its the biggest bill we have. I am almost 50, I have had a few surgeries, dh is 48, fairly healthy....he is afraid to loose that safety net. Its either the savings or the insurance.

 

Has anyone done this and how do you feel about it? AND, sorry if you are in the same boat as us!!!

[NoPlaceLikeHome]

Oh I would definitely think twice before I did that. In PA with the HIPPA laws as long as you maintain coverage with no more than a 60 day lapse in coverage, there is portability in health insurance. If you let it lapse, you may not be able to get coverage again or they may exclude any pre-existing illnesses which could strike at any time. Are there any cheaper plans with higher deductibles? Just make certain that the insurance is legitimate since there are phony baloney plans out there. I have also heard to make sure that if you change plans that you are accepted in the plan before cancelling the old one. Are you eligible for any funding for insurance?

[sbgrace]

I wouldn't drop it completely.

If you feel you must do that consider a high deductible plan--something that kicks in if something catastrophic happens like a car accident or cancer or the like. I wouldn't go without anything. You never know what might come to you in life and wipe you out financially.

[Dirtroad]

Do you have cable? Car payment? Cell phones? Land line? Internet beyond a basic?

 

I would cut it all back before I would stop insurance. You may be able to get other insurance .... have you checked on catastophic policies... it depends upon your state but we have friends who are doing this during their lean times.

[dragons in the flower bed]

I wouldn't, and this blog post explains why really well. Basically, anything that happens during a gap in coverage can screw you for the rest of your life.

[NoPlaceLikeHome]

One other thing to consider if you drop insurance you may not be able to get valuable care in the event something happens. Emergency rooms will treat you in an emergency but they will not give you chemotherapy or radiation treatments god forbid. One poor woman lost her insurance the day she found out she had breast cancer due to her husband's job loss. She was not eligible for cobra since her husband's employer had less than 20 employees. She was unable to obtain health insurance due to cancer diagnosis. She paid 17,000.00 of their life savings for a mastectomy but could not afford chemo or radiation. She still has not been able to obtain them 5 months later:001_huh:. She has called every charity she could think of and no luck:sad: I guess her lack of insurance is really a death sentence for her.

 

The other thing is that a couple hour stay in an emergency room can rack up thousands and thousands of dollars.

 

I would look at any way to keep the insurance especially since you and your dh are older. Is there any way to cut back in other areas. I know how you feel since my dh and I are in the same boat.

[OrganicAnn]

My DH is one of the healthiest guys I know. Eats right. Thin. Gets exercise. Out of the blue, he is in the hospital for 4 days with a health problem. Bill $10,000. With insurance we only pay less than $100 (well I'm not sure we have all the bills yet, but you get the picture). Not having health insurance can get very scary.

 

If you were twenty someone with no kids, it might be okay to risk it. I'd be signing up for an extra job or looking to cut expenses to the bone rather than drop it.

[Denisemomof4]

I'm really, really sorry for your predicament :grouphug: and I don't want to scare you, but my aunt and uncle opted not to have health insurance. He was a contractor and they both were very healthy. They lived in a HUGE mansion and had money (yes, he built the home but it was HUGE and had an old fashioned ice cream parlor, chapel, library, acreage, about a 1500 sf kitchen, if not more, etc.) and when she was only 40 or so she had a stroke and was in a coma for 30 days. They lost EVERYTHING. They had to relocate and lived in a log cabin my uncle built. He had to care for her. They drove an old, old beat up truck. They were very poor until the day they both died, 30+ years later.

 

Can you look at other options? My husband recently told someone to check into Sam's or BJ's health insurance. If I remember right, it was a good price and fairly decent coverage.

[Ginevra]

No. Our financial picture has changed drastically since the housing crisis. We are not even bringing home income at present. We changed our health insurance plan back a year ago. We now have a high deductible with a much lower premium. We pay far more out of pocket now, but the deductible is less than half what it was before. I would not be without health insurance unless there was not a cent left from anywhere. We are fairly healthy, too, but you never know when that could change.

 

In a way, I am glad we have to pay more out-of-pocket now. I now see the benefit of cost competition as I do not simply fill any prescription a doctor offers. I now ask what the cost will be and what less expensive alternatives are available. Doing this made a recent prescription change from over $300 to $40. The $40 medication worked perfectly well. If it had been covered, I probably would never have even asked.

[Moxie]

No. We've paid around $800/month since DH started his career and we weren't making much more then that. Check the price of an emergency appendectomy--could happen to anyone at any moment and will wipe you out if you don't have insurance or lots of money. Health insurance is vital, IMO.

[kewb]

No. You never know what can happen. We are probably going to be switcing to a high deductible catastrophe plan soon due to the economy and i would rather have that then nothing.

[Dooley]

OK.

 

We have nowhere else to cut from. Its hard letting go of something you never had before - a savings account. I mean, we wanted to give our kids a little something when they go to college, KWIM?? No one ever helped me as a young person. I wanted things to be different for mine. Looks like they will be just the same. I do understand what all of you are saying to me. Insurance is important, cause...you simply never know.

 

A hard thing too, is noticing people around you that are doing just great! Buying stuff, vacationing, special classes for the kids. I am feeling sorry for myself. Sitting here crying in the dark with my computer. Hope no one sees....

[Renee in NC]

Don't do it unless you absolutely have to! We don't have insurance because there is no way to afford it, but if all it took were a little belt tightening I'd have it in a second. Try to find a cheaper policy with a high deductible if you can, but unless it would cause you to be homeless, don't do without.

[caitlinsmom]

If you are blessed enough to have the health insurance I would keep it, especially at your ages. Not to say that you are old by any means just that you are at a point that it could start to get more expensive for your health care needs.

 

We havent had insurance for years and its never been an issue for us. However we are in our late 20's and while that doesn't make us invincible it does give us a little cushion. As someone else said if you have any other expenses that can be dropped I would ditch those first.

[MrsMe]

Never! I'd cut every single thing but that. You can however raise the deductible to it's highest level to save some bucks.

[Hillary in KS]

OK, every time the insurance payment question comes up I say the same thing, so I apologize for the broken record, but here goes:

 

Find an independent insurance agent in your area.

 

One year ago dh lost his job. COBRA was $1200 a month, for a family of 5 with no health issues.

 

I called Blue Cross, and they were very excited to offer me premiums of $850 a month.

 

I called an independent agent, who was able to find us all policies for $420 a month! The trick was to break us all up into smaller policies. The two youngest shared a policy at Coventry. My 13 yo had his own policy with Humana. Dh and I shared a policy at Humana.

 

$420 a month. It's still a lot when you're unemployed, but it's doable.

 

Do not let your insurance lapse for the reasons others have told you. Do the legwork and find an independent agent who will help you.

[Ginevra]

We have nowhere else to cut from. Its hard letting go of something you never had before - a savings account. I mean, we wanted to give our kids a little something when they go to college, KWIM?? No one ever helped me as a young person. I wanted things to be different for mine. Looks like they will be just the same. I do understand what all of you are saying to me. Insurance is important, cause...you simply never know.

 

A hard thing too, is noticing people around you that are doing just great! Buying stuff, vacationing, special classes for the kids. I am feeling sorry for myself. Sitting here crying in the dark with my computer. Hope no one sees....

 

:grouphug: I know...I get it. My dh just told me today that his brother (who is also in building industry) is doing great...he's building five houses right now. :001_huh: But, you just never know when you, dh or dc who have always been healthy get the diagnosis you never want to hear. I don't mean to bring up dreadful things, but I'm practical and it happens to somebody. That "somebody" can be me, you, anyone, at any time. If you suffer a serious illness or injury while uninsured, there will definitely be nothing for your children to have in the future, or a nice vacation, kwim?

 

If you haven't done it yet, research other insurance companies and see what other types of plans you can get.

[MrsMe]

OK.

 

We have nowhere else to cut from. Its hard letting go of something you never had before - a savings account. I mean, we wanted to give our kids a little something when they go to college, KWIM?? No one ever helped me as a young person. I wanted things to be different for mine. Looks like they will be just the same. I do understand what all of you are saying to me. Insurance is important, cause...you simply never know.

 

A hard thing too, is noticing people around you that are doing just great! Buying stuff, vacationing, special classes for the kids. I am feeling sorry for myself. Sitting here crying in the dark with my computer. Hope no one sees....

 

We're sort of in your boat too. Out of the blue, our bank cancelled and called our Business Line of Credit. It was up for review as it always has been and there's never been an issue. In fact, we make more now than ever. But they cancelled it and now we have 4 years to pay back a huge amount.

 

We have turned off our satellite, cut our land line, cut our IRA payments, cut our life insurance to a minimum, cut food, cut the bug man, cut everyone's pay by $1.00....I can go on. One day we're good, the next day we're in trouble. Luckily we have no credit cards, personal or otherwise. So it's strictly car payments, house, business line. We're cancelling our web service and going with what came with our cell phone.

 

Pm me if you want...we'll help each other out. And dd goes to karate in a wealthy neighborhood, so I can commiserate with you.

[NoPlaceLikeHome]

OK.

 

We have nowhere else to cut from. Its hard letting go of something you never had before - a savings account. I mean, we wanted to give our kids a little something when they go to college, KWIM?? No one ever helped me as a young person. I wanted things to be different for mine. Looks like they will be just the same. I do understand what all of you are saying to me. Insurance is important, cause...you simply never know.

 

A hard thing too, is noticing people around you that are doing just great! Buying stuff, vacationing, special classes for the kids. I am feeling sorry for myself. Sitting here crying in the dark with my computer. Hope no one sees....

 

:grouphug: Maybe this is just temporary for you and your dh. Are you or your husband able to take a part time job if you do not have one already?

 

You are not alone with the belt tightening. My dh and I are in the same boat. In regards to others I would try to put it out of your mind. I suspect there is still a lot of smoke and mirrors so to speak with other people's lifestyles. I try to be mindful and grateful of what we do have right now.

[kalanamak]

 

If you were twenty someone with no kids, it might be okay to risk it. I'd be signing up for an extra job or looking to cut expenses to the bone rather than drop it.

 

:iagree:

 

50 can pack a whallup.

[dalynnrmc]

If you're blessed enough to have health insurance, please keep it. No tellng what's going on with that any more. Find a cheaper, higher deductable plan if you must.

 

We have no health insurance, at all, and are just above the line for state aid. $420/mo like someone else mentioned is 1/4 of our income. It's flat unreasonable for us.

 

We're young, but do have some issues - my high blood pressure and hubby is a diet-controlled (but unmonitored) diabetic.

 

Count your blessings, and that savings account so that you can continue to have health insurance is one of them.

 

jmho

[katemary63]

I would NEVER cancel my health insurance. I would work two jobs if I had to to keep it. I would put dc in ps if I had to to keep it. I would NEVER cancel it. Health insurance is a non-negotiable as far as I'm concerned.

[MomLovesClassics]

I say keep it while you got it. If you loose it, it could be impossible to get it back. One trip to the hospital without insurance could damage your credit beyond repair. Some hospitals do not work out payment plans, and your multiple bills from one hospital stay is placed on your credit file. Please don't risk it unless there is no other option.

[Mommyof4ks]

I wouldn't drop it completely.

If you feel you must do that consider a high deductible plan--something that kicks in if something catastrophic happens like a car accident or cancer or the like. I wouldn't go without anything. You never know what might come to you in life and wipe you out financially.

 

This is what I was thinking. A high deductible plan works out much better for cancer treatment and the like anyway, because we don't have to pay the $40 copay every day for treatments. It is a flat amount each year and ins. pays everything else.

[Mandamom]

Can you get the kids on the state plan?

 

My dh lost his job in May of 08 and I wasn't working at the time. I called the state health insurance and got the kids covered. Now, that both dh and i are working we can get insurance through our own employers and until our income goes up a little we'll keep the kids on the state plan. Since my dh was unemployed for 14 months -- (he applied and interviewed for so many things and they just kept falling through. Eventually he got a job through an employment agency) -- having the kids on the state plan took a lot of worry off of us.

 

Good luck finding something new.

[eaglei]

I have glanced over the other replies and I agree - do NOT cancel if there is any way to keep it - look for independent insurance, or better rates with what you have.

 

We are going through major stuff, too, so I understand the emotions in your second post, as others who posted do as well. Just a few years ago we were doing all right, then everything started to crumble, like a house of cards. Ds shockingly got cancer. He is now a two-time cancer survivor, and is currently in chemo for this relapse - will be for some time yet.

 

Not long after his first diagnosis, our financial picture changed drastically. We are struggling. What we had saved up is long gone, we borrowed from our life insurance policies to pay bills, we've made all the cuts we can - the struggle to make ends meet is getting more and more difficult.

 

With our insurance policy, the rate kept going higher and higher. We were concerned about ds because children automatically fall off the policy at 18 or 24 - and he no longer qualifies for health insurance. We went and talked to the insurance agent and learned that we could come off the existing policy and leave ds on it as the sole party. Because he was the picture of health when we first took out that policy, leaving him on alone means they cannot change his rating from excellent and they cannot force him off the policy, which means he will have health coverage till the policy maxes out - and it has a ways to go yet, even with all the cancer bills. The new policy dh and I got is almost identical to what we had but these two changes reduced our total premiums by over $300/month.

 

As an aside here, do you have life insurance policies? Can you do better with those premiums if you change to another company? We just recently did that with dh's - he was able to get a very good whole life policy for less than we had been paying. Later, he canceled the old policy. The refund, minus what we had borrowed a few years ago, helped us make ends meet for one month.

 

By the way, we are not "spring chickens" - we passed the 20's LONG ago, and the 30's, and the 40's . . .

 

I feel for you and what you are going through - I cry a lot, too. My dinosaur computer crashed this weekend so I am on a different computer and it won't let me use the emoticons - so just know I am posting HUGS here to you, and praying that things soon start to improve for both our families. (Smile here)

[Melissa in FL]

Has anyone done this and how do you feel about it? AND, sorry if you are in the same boat as us!!!

 

You've gotten some great advise on this thread. I would not cut out insurance. Our worst year ever was several years ago we made about 1/10 of what we are used to living on (long story). We really lived on the bare minimums that year, but we kept our health insurance. We ended the year with tons of credit card debt, but we didn't have to worry about our health.

 

I'm really glad we never cancelled. This is for two reasons. First near the end of that year (although we didn't know it was near the end) my dd fell and had to go to the emergency room. We tried to not take her there and went to an urgent care first, but they sent us to the ER so she could have a cat scan. Even though the co-pays weren't pretty, I don't know what I would have done if I had to pay all those bills (and we would have felt obligated to pay it).

 

The second reason was that once dh got back on a company insurance program he fell from a ladder (14 feet high). It was after we had been on the program for about 8 months. He rode an ambulance to the hospital and had a broken pelvis and wrist. Of course we had good insurance and I really didn't even concern myself with the thought of bills while he spent a week in the hospital. When the bills started hitting the insurance company though I had to prove we had had insurance for 18 months prior to getting that insurance program. I was able to easily prove this. They would have paid the bills eventually anyway, because a fall was not a pre-existing condition, which is what they were looking for. But, it would not have been fun and I would have had to fight for it.

 

So, for us, health insurance is mandatory. You just don't know what will come on when, and it's your family's health we're talking about. Most would never think of doing without home insurance or car insurance but a lot of people think of health insurance as optional. I know it's a tough bullet to bite, but if you can keep it at all you should.

Melissa

[Wendi]

When we've gone through financial trials (we've weathered several layoffs), we have had high-deductible coverage that only covers hospitalizations, surgeries, etc. So if we went to the doctor for an office visit, it was out of pocket. But we knew that if one of us ended up in the hospital, we wouldn't go bankrupt.

 

Wendi

[Nestof3]

I wouldn't, because signing back on could be really expensive. I would honestly cut out everything that wasn't necessary first and not even consider going on a vacation (we don't go on vacations as it is, so we wouldn't be missing anything there either).

 

Oh, and :grouphug: for the crying and difficulties. I hope things improve for your husband. Your children will be fine missing out on things. My dad made sure we never missed out on things, and he filed bankruptcy. I wish he had let us suffer a little, honestly. I think it would have given us a greater appreciation for money and things.

Edited August 27, 2009 by nestof3

[iluvmy4blessings]

I have not heard anyone mention www.ehealthinsurance.com My job does not offer health insurance since I work as a private contractor. I just went on there and looked at all the policies. I ended up with a Blue Cross Blue Shield policy that costs me about 180/month. I have a 1500 deductible, 30 doctor visits and good price on prescriptions. Luckily my kids are covered under their dad who is in the Army but if they weren't I would sign them up for CHIP which is our state sponsored health program.

 

Anyone else had experience using ehealthinsurance.com or getting a private policy? One time I did not have health insurance for 6 months and it worried me so much that I actually developed an anxiety condition :ack2: As crazy as it sounds, it is true. As soon as got myself covered my anxiety problem went away.

[dirty ethel rackham]

I would give up a lot of things, even homeschooling so that I could get a job, before giving up health insurance. I know that one serious illness could bankrupt us. I know plenty of people who are under a mountain of debt from an illness when they didn't have insurance.

[PollyOR]

:grouphug: You are under a LOT of stress. It's okay to cry.

 

My dad had to have bypass surgery last year. The hospital bill alone was $70,000. I know you are younger than he is. I'm throwing out the numbers to give you an idea of what several days in the hospital with an unwanted surgery costs.

[creekland]

When my hubby was laid off (10 years ago) we switched to a Christian Health Share Program. (Samaritan's Ministries) We are so glad we did - we've saved a ton over the years (cost was less than half of insurance) - and still had our medical bills paid when we needed them (broken collar bone for my oldest, a black out in our horse pasture for hubby).

 

One has to be a church-going Christian to belong...AND they do NOT cover pre-existing conditions, but for those that 'fit' I HIGHLY recommend them.

 

Our whole family has 'coverage' for approx $300/month and $175/year membership fee. (Coverage does not cover regular Dr. visits, we pay for those out of pocket, but they are easily fit in via our savings from the less costly monthly charges.)

 

There's no way I'd go back to regular insurance... Personally, I wish more 'types' of groups would start these (enough for everyone to have one to choose) and we'd ditch 'for profit' or gov't insurance totally.

[Dooley]

I am taking notes on your suggestions and I thank all you sweet ladies for your loving support.

 

We already canceled life insurance. But I am in agreement to keep health, just start looking for a better way. I will be taking in a baby to daycare, that will help.

 

God bless each of you today and many thanks - just your taking time to post to me means a lot!

[SquirrellyMama]

OK.

I mean, we wanted to give our kids a little something when they go to college, KWIM?? No one ever helped me as a young person. I wanted things to be different for mine. Looks like they will be just the same. I do understand what all of you are saying to me. Insurance is important, cause...you simply never know.

 

 

Don't worry about giving your kids money for college or even money for groceries while at college. I didn't get that either and I don't blame my parents for it. Teach your children to be financially responsible and you'll give them a whole lot more. That is what I wish my parents had done.

 

Can you get an HSA instead of a traditional health insurance policy? They tend to cost less, have higher deductibles and more out of pocket.