Health Sharing Plans (HSP)
Exploring Better Health Care.
Health Sharing Plans and Direct Primary Care.
The rising cost of health inurance causes stress for many. It is well known that the United States spends more than any other country and our outcomes are worse. We have a declining life expectancy and some of the highest maternal and infant mortality rates. It is time to look for a better option. Direct Primary Care paired with Health Sharing Plans (HSP) offer a higher quality of care and provide signficant savings on healthcare expenses. Lets look at the fundamentals of HSPs and analyze their distinctions from conventional insurance coverage.
Health Sharing Plans (HSP): How It Works
Members in an HSP “share” medical costs. As part of an HSP, you are responsible for paying an initial unshareable amount (IUA) each month (like a premium). There is also an “annual unshared amount” (like a deductible) that your medical expenses must exceed before the plan shares your expenses.
Health care sharing can be great for people who:
- Are generally in good health
- Are not eligible for a tax credit based on income
- Lack access to insurance through an employer or government program
- Only want/need catastrophic coverage
- Want to pay less in health insurance premiums
HSP vs Health Insurance
The Pros:
- HSP counts as insurance under the Affordable Care Act (ACA), even though they are not insurance. This allows for affordable healthcare benefits while avoiding the tax penalty for going uninsured.
- HSP are provided at a much lower monthly cost.
- The annual “unshared amount” is much, much lower than deductibles for insurance plans.
- You have any choice of provider. There are no network requirements. If you pay out-of-pocket, health sharing plans reimburse your expense.
The Cons:
- Health care sharing plans are not required to cover pre-existing conditions at the time of enrollment such as cancer, diabetes, or smoking. Those who have them may be declined membership or won’t have the conditions fully covered for a year or more.
- Health care sharing also doesn’t typically cover the essential health benefits like wellness exams or mental health counseling…. this is where DIRECT PRIMARY CARE really shines.
HSP and Direct Primary Care (DPC) work well together
DPC will meet vast majority of a person’s primary health care needs and any urgent care needs for a low monthly fee without copays or deductibles. DPC ensures access discounted cost laboratories, medications , and consultations with specialists. DPC members receive higher quality care with better access to their physician without the wait.
