As of October 2005, this Health Savings Account (HSA) compatible medical insurance plan seems like a very good value. It is well priced compared to all of the other HSA compatible individual health insurance plans. Most importantly, once an individual or family satisfies the $2,400 or $4,800 calendar year deductible the health plan generally pays 100 percent – including 100 percent for prescription medicine. There is no co-insurance which a member must pay before he or she meets the annual out-of-pocket (stop-loss) maximum. The annual out-of-pocket maximum does not apply after one has paid the plan’s calendar year deductible as long as one uses participating PPO providers. The monthly premium is very low – relative to the rich benefits – and compared to the premium and benefits of other HSA compatible health insurance plans offered by Blue Shield, Blue Cross, Health Net, Pacificare and Aetna. Because the plan seems to be such a good buy, you have to think that Nationwide may raise the monthly premium soon (likely January 1, 2006.) (This is just a guess – we have absolutely no information that they intend to raise rates any time soon.) Despite offering plans for many years, Nationwide Health Plans of California is not well known. The plans had been marketed by the California Farm Bureau Federation before Nationwide purchased the plans. These health plans are actually individually underwritten association plans. This means that each person who applies must pass medical evaluation (underwriting) and each person must become a member of the California Farm Bureau Federation. The membership costs range from $60 to $105 per year – depending on the county in which you live. You also must pay a one time $5 fee to the Rural Health Department. You’ll receive a monthly newsletter about California farming in return for these fees. The Nationwide plans also include a mandatory $3 per month fee for $5,000 of life insurance and accidental death and dismemberment. One potential risk of enrolling in an “association” plan is that the policy could end on “the date the Master Group Policy ends.” (Source, Medical Coverage Exclusions for Nationwide Health Plans – Termination of Coverage.) So, if the Farm Bureau were to cancel the policy, you would loose your coverage. According to the California Farm Bureau web site, they have provided health insurance to their members since 1947. Accordingly, the risk of cancellation may be small. Nationwide Health Plans of California uses the CCN network of medical providers. If you are considering this plan you should examine the list of doctors and hospitals which participate. It seems to be a very extensive provider network. This is a general discussion of the plan benefits. Please consult the detailed description of benefits provided by Nationwide Health Plans of California for specific plan information. |
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California Health Insurance |
Group Health Insurance in California |
Health Savings Accounts | |
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