Tuesday, December 26, 2006

Not Everyone Benefits from Health Insurance

USA Today has a feature in their financial section in which they present a person's financial problems and then have an expert devise a financial plan for that person. I think USA Today got it wrong this time.
The financial problem:
Dana Dwyer, 24, had just quit her first job after college as a manager at a Ralph Lauren store in Miami and hadn't started her second yet when, wham!
She was in a car wreck. Her front teeth were knocked out, and her palate was broken. In between jobs, she had no health insurance.

Worse, though, was the $16,000 bill. Dwyer was forced to use her savings and work out a deal with the hospital to pay $200 a month.
"I paid $2,000 upfront to have my teeth fixed," she says. "You have to have teeth."

Their Solution:
Davis recommends that Dwyer buy an individual health insurance policy — she could get coverage for about $300 a month in Florida — before she focuses on paying down credit card debt. "She's one more bad drive down the street from being right back where she was" when she had a wreck, the planner says.
I think Dana Dwyer is currently getting a good deal. Instead of paying $300 per month for bare bones health insurance coverage, she is paying $200 per month to the hospital- a savings of $100 per month.
Even if she did have health insurance at the time of the accident, she would probably still owe the hospital- many health insurance plans exclude injuries that are the result of motor vehicle accidents. What she really needs is a good automobile insurance policy.
I was recently in an auto accident with some minor injuries. Luckily I have good auto insurance.

1 comment:

Anonymous said...

Worthwhile advice, Rebel Doctor! Good car insurance is almost important as driving responsibly. It is a point my husband and I have always stressed, even before we had two male teenage drivers in our family ... and I know they both agree! Since we live in California and have so many non-insured drivers, it is especially important.
Artesia Mom