2. Benefit of health insurance - A cautionary tale In 2016, Dmitri became responsible for providing his own health insurance. He obtained suitable coverage and paid annual premiums as shown in the following table. Compute Dmitris total premiums: Except for an occasional minor iliness requiring a doctor's attention, a drug prescription, and periodic, routine tests, Dmitri enjoyed good health during those years. Because he had no reason to think that would change, by the end of 2018 , Dmitri was considering dropplng his health insurance coverage. After all, he could think of a lot of other uses for the thousands of dollars he spent each year on increasing premiums. Dmitri decided to pay premiums for another year but planned to take another look at his health care plan at the end of 2019. It Could Happen to You, It Could Happen to Me In December 2019, Dmitri accepted an invitation from friends to go snowboarding. Dmitri did everything right: took a lesson, stayed on trails weil within his skill level, and maintained an awareness of people and objects near him. Even though he thought it was a bit dorky to wear wrist guards and a helmet, his friends insisted that he take standard and reasonable safety measures. Dmitri was enjoying the day when, from out of nowhere (actually, the woods), came an out of control skier who ran into Dmitri. Dmitri was injured and taken to the nearest hospital by ambulance. Dmitris injuries induded a broken wrist and elbow as well as cuts and bruises. Or biggest concern was the uncertainty of his head injury, Dmitri spent a couple of days in intensive care. Fortunately, he didn't have a broken skull, but did have a concussion. Surgery was performed to repair thet broken wrist and elbow. Since Dmitri was in good health, his recovery was complete. Dmitri returned to full function in about six months. Soon after Dmitri returned home, however, the medical bils for the ambulance, emergency room, intensive care, medications, doctors, tests, and other services arrived. Dmitri aiso had to have physical therapy for his wrist and elbow. His total medical expenses were $30,000. It was time to find Soon after Omitri returned home, however, the medical bills for the ambulance, emergency room, intensive care, medications, doctors, tests, and other services arrived. Dmitri also had to have physical therapy for his wrist and elbow. His total medical expenses were $30,000. It was time to find out if all those premlums paid since 2016 would pay off for just one, abbeit dramatic, incident. Overall, Dmitri's insurance paid 80% of the total medical expenses, thus making him responsible for of of the expenses, or Dmitri's insurance paid His out-of-pocket expenses for the accident of plus the 2019 insurance premiums of If Dmitri had canceled his health insurance at the end of 2018, his out-of-pocket expenses for the accident would have been case, did Dmitri benefit from having health insurance? What are reasonable morals of the story? Check all that apply, Avold engaging in physical activity. Don't get sick. Think iong and hard about the best tradeoff of coverage and cost in a health care plan. Your health can change in an instant. Never leave the house. Some employers pay part or all of the health insurance premiums for employees who are enrolled in one of the company's sponsored plans. Assume that during the same time period that Dmitri paid for his premiums in full that he had, instead, worked for a firm that paid 50% of his premiums for the same coverage. Instead of paying premiums of over the years, Dmitri would have paid and saved In this case, Dmitri's out-of-pocket expenses specific to his snowboarding accident would have been they actually were because