Insurance

* Typical Annual Commercial Health Insurance Costs for

Self-Employed Person

35 year old man with wife and 2 children earning $75,000

(Wall Street Journal 3/19/92)

*    Premiums  **Payments            Difference
+ Deductible    to State/           Princeton
+ Co-payments   Fed.Govt.   Total      Plan

One person group      $9,312       $4,033   $13,325    – $2,545

Wife works             0        4,033    17,378    –  6,578
———————

Individual             7,234        4,033    11,267    –    467

Wife works             0        4,033    15,300    –  4,500
———————

HMO, (Co-payments,     5,640        4,033     9,673    +  1,127
$10 doctor visit,
$250 hospital)

Wife works             0        4,033    13,706    –  2,906
———————

Princeton Plan, Full  10,800            0    10,800           0
coverage,
prenatel to grave

Wife works             0            0    10,800           0

++++++++++++++

** Payments to Federal Government for Health Care

Personal Federal Income Taxes, ’90                  = $467 billion

= 72% of total federal revenues of $651 billion

Total Federal Medical Programs                  = $297 billion

x 72%                            =  213 billion

divided by 102 million employed          =      $2,207

FICA Medicare , $50,000 x .0145 x 2 (employer/employee)    $1,450

Total to Federal    =       3.657

** Payments to State government  for federal
mandated Medicaid (NYT 3/24/92)             =         376
($38.3 billion / 102 million employed)

Total to Federal & State   =      $4,033

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s