IM Plans Comparison

Plan A - Typical Family Plan (Low Deductible) Plan B - (High Deductible) w/HSA
Coinsurance 80% 20% (doctor office copay) 100%
Copay $25 Doctor Office Copay (unlimited) No Copay (subject to coinsurance and deductible)
Deductible $500 $5,000
Annual Premium Paid*
(for example only)		 $6,720 $3,016
Out-of-pocket Maximum $2,500 (Includes deductible and 20% coinsurance to limit) $5,000 (Deductible is out-of-pocket maximum)
Your share of medical care expenses on:
  • a $1500 medical claim
  • $550 non-covered dental or vision expenses
 $1,000 for deductibles, $100 for coinsurance, $550 for other noncovered medical expenses

$1,650		 $1,500 for medical expenses and $550 for dental/eyewear expenses

$2,050
Tax savings on expenses paid from HSA deposits
  • Assumes a 28% tax bracket
  • the maximum contribution allowed is  $5,200 for a family
 $0 $1,456
Net expenses (Out-of-pocket minus savings) $8,370 $3,610
Total net savings with HSA Plan $0 savings $4,760 savings with HSA Plan
* Health insurance premiums vary substantially based on age, geographic location and other variables. Federal tax savings calculations assume that contributions are deducted from federal taxes.

Summing up the Trade-Offs

Low Deductible Plan: You're paying a higher monthly premium for the convenience of a lower fixed cost for everyday needs.

High Deductible Plan: You're paying a lower monthly premium for expenses you might incur.