Does anyone know or have a resource they can point me to that explains "cash pay" versus COBRA?
10 replies (most recent on top)
Last post by @OP ... Turns out the "cash pay" option was sent to me in error. I will say that the last person I spoke with from NESC/Alight was very helpful.
I'm @OP ... so no one has heard of "cash pay". I received a letter from Ford giving me the option of COBRA or "cash pay". Cash Pay seemed cheaper, and it has nothing to do with Marketplace insurance.
@ca+1k83f5r0j If your physical health is fine (I know, after years of working at Ford hardly anyone is healthy anymore), and you have no job, and your family income is low, the Health Market will be way cheaper than COBRA.
However, as you said, if someone in your family has a high medical cost, or your family income is high enough, COBRA becomes a better option.
@ca that’s not what they’re talking about dufus, try reading, and a bit of thought.
Sometimes when I read these replies the ignorance just amazes me. With cobra you get the company health insurance plan and cost. But you pay total cost, both employee and employer share. While the premium cost might be close to the market cost the deductible and max oop are far less. Additionally cobra family plans the deductible and max oop are across all in family for market they are for each. This is a Hugh difference if one person has high medical cost. Take the time to learn this and don’t rely on what is written here. Even this verify it before making a decision
What's the account called that works like an HSA but is apparently different?
I retired from Ford. Do not use COBRA. They will take all of your money during the first 18 months and you may need to pay more. Use market place and get the policy from there at 1/2 the cost of cobra.
Better retire in other countries if you are 100% on mandatory medical benefits. You wont make it far in the US on meds.
No -- but I can tell you what I know; it may or may not be what you are asking. I think it may also only apply to some retirees (hired before 2001?? I thought, but not sure maybe all the way until 2004) you get an allowance of so much money a month for spouse, dependents and yourself. You can spend that money on health insurance or other HSA type medical expenses (for example you might have another source of insurance such as VA or whatever). It ends at 65 I believe.
Via Benefits explains it very clearly.