Question
An employee has a choice of two health insurance plans with the following terms. Assume that both plans cover 100% of expenses after the deductible
An employee has a choice of two health insurance plans with the following terms. Assume that both plans cover 100% of expenses after the deductible and co-payments. Suppose that during a one-year period the employee's family received the following medical bills. Complete parts (a), (b), and (c) below.
Plan A | Plan B | Expenses | Total cost (before insurance) | |
---|---|---|---|---|
Monthly premium: $350 Annual deductible:$4600 Office visit co-payment:$30 Emergency room co-payment:$300 Surgical operations co-payment:$250 | Monthly premium: $900 Annual deductible:$1400 Office visit co-payment:$30 Emergency room co-payment:$200 Surgical operations co-payment: none | Jan. 23: Emergency room | $800 | |
Feb. 14: Office visit | $100 | |||
Apr. 13: Surgery | $580 | |||
June 14: Surgery | $8000 | |||
July 1: Office visit | $100 | |||
Sept. 23: Emergency room | $900 |
Determine the health care expenses if the family chooses Plan A.
The family's health care expenses with Plan A insurance policy would be $
Determine the health care expenses if the family chooses Plan B.
The family's health care expenses with no iinsurance policy would be $
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