N. Tucson Blvd. Suite 9
Tucson, AZ 85716-3450
Phone: (800) 635-1196
Hotline: (800) 419-4777
of American Physicians and Surgeons, Inc.
A Voice for Private Physicians Since 1943
Omnia pro aegroto
Which Plan Would You Choose?
|Present System||Medical Savings Account
|HMO Plan||CHOICE Plan||CHOICE Plan
|Premium paid by employer to insurance company||$3,735||$4,500||$1,500
|Employer's contribution to employee's medical savings account||$0||$0||$3,000
|Deductible paid by employee out-of-pocket||$50||$250||$0
|Savings in employee's medical savings account at end of year||$0||$0||$0-$3,000 at end of 1st year, with potential for increasing by up to $3,000 each year
- Family insurance coverage to $1 million
- Figures are in dollars per year.
- Deductibles are rough estimates (HMO deductibles are
usually quite low).
- Premiums vary widely in different communities.
- $4500 is rough estimate of present cost of family
coverage with traditional insurance that allows you to go to
the doctor of your choice (``CHOICE Plan'') and still be
covered. The cost of HMO insurance averaged about 15% less
than the CHOICE Plans in recent years, but HMO plans usually
do not allow you to go to the doctor of your choice (unless
you pay all fees out of pocket).
- Employer pays premium of $1500 to purchase the same
CHOICE plan for the employee as $4500 presently does, except
that the insurance company does not pay the first $3000 of
expenses. These expenses are paid from the Medical Savings
Account, from the first dollar of medical care. The Medical
Savings Account can also be used for eyeglasses, dental
care, and other expenses that are currently deductible from
- Today, Medical Savings Accounts are subject to federal
tax, with few and limited exceptions. Legislation is being
considered to allow them the same tax advantage as employer-
paid insurance premiums.