In 2016, Amy became responsible for providing her own health insurance. She obtained suitable coverage and paid annual premiums as shown in following table. Compute Amy's total premiums: Amy's Premiums 2016 $4,479 2017 4,704 4.824 2018 2019 5,049 Total S Except for an occasional minor illness requiring a doctor's attention, a drug prescription, and periodic, routine tests, Amy enjoyed good health durin those years. Because she had no reason to think that would change, by the end of 2018, Amy was considering dropping her healt Insurance coverage. After all, she could think of a lot of other uses for the thousands of dollars she spent each year on increasing premiums, Amy decided to premiums for another year but planned to take another look at her health care plan at the end of 2019. It Could Happen to You, It Could Happen to Me In December 2019, Amy accepted an invitation from friends to go snowboarding, Amy did everything rights took a lesson, stayed on trails well with her skill level, and maintained an awareness of people and objects near her. Even though she thought it was a bit dorky to wear wrist guards and a helmet, her friends insisted that she take standard and reasonable safety measures. In December 2019, Amy accepted an invitation from friends to go snowboarding. Amy did everything right took a lesson, stayed on trails well withi her skill level, and maintained an awareness of people and objects near her. Even though she thought it was a bit dorky to wear wrist guards and a helmet, her friends insisted that she take standard and reasonable safety measures. Amy was enjoying the day when, from out of nowhere (actually, the woods), come an out of control skler who ran into Amy, Amy was injured and taken to the nearest hospital by ambulance. Amy's injuries included a broken wrist and elbow as well as cuts and bruises. Of biggest concern was the uncertainty of her head injury. Amy spent a couple of days in intensive care. Fortunately, she didn't have a broken skull, but did have a concussion Surgery was performed to repair the broken wrist and elbow. Since Amy was in good health, her recovery was complete. Amy returned to full function in about six months, Soon after Amy returned home, however, the medical bills for the ambulance, emergency room, intensive care medications, doctors, tests, and other services arrived. Amy also had to have physical therapy for her wrist and elbow. Her total medical expenses were $30,000. It was time to find out if those premiums paid since 2016 would pay off for just one, albeit dramatic, incident. of the expenses, or Overall, Amy's Insurance paid 30% of the total medical expenses, thus making her responsible for $ Amy's Insurance paid totaled S plus the 2019 insurance premiums of S Her out-of-pocket expenses for the accident of S In this If Amy had canceled her health insurance at the end of 2018, her out-of-pocket expenses for the accident would have been sose, did Amy benefit from having health insurance? in this If Amy had canceled her health insurance at the end of 2018, her out-of-pocket expenses for the accident would have been S case, dia Amy benefit from having health insurance? What are reasonable morals of the story? Check all that apply. Don't get sick. Think long and hard about the best tradeoff of coverage and cost in a health care plan. Never leave the house, Your health can change in an instant It can be financially risky to go without health insurance 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 Amy paid for her premiums in full that she had, instead, worked for a firm that paid 50% of her premiums for the same coverage. Instead of paying premiums of S over the years, Amy would have paid and saved they actually were because In this case, Amy's out-of-pocket expenses specific to her snowboarding accident would have been
