Economics Use the following information to determine the costs to you and/or to the insurance company for the following occurrences:1) You have $500 per person Wellness Benefit.2) You have a $500 İndividual Deductible and your family (spouse and children) has a $500 Family Deductible.3) You have a $10,000 annual Maximum Family Out-of- Pocket expense provision.4) Once you have met your Individual or Family Deductible, your insurance will pay 80% of the expenses and you will pay 20% as your co-pay.Unless the occurrence is a Wellness expense, you and/or your family have to meet their deductibles first before insurance will pay anything. Example:Assume that you have met your deductible, and you go to the Emergency Room for a large cut on your shin which required cleaning, 20 stitches, a tetanus shot, and antibiotics. (80/20 plan)Total Charges = $2,500 totalYour Responsibility = $2,500*.20 = $500 (goes toward your Max Out of Pocket)Insurance Responsibility = $2,500*.80 = $2,000 Question: Physical Therapy for your back – 10 visits at $100 each. What are my costs and what are the insurance costs? %3D

Economics Use the following information to determine the costs to you and/or to the insurance company for the following occurrences:1) You have $500 per person Wellness Benefit.2) You have a $500 İndividual Deductible and your family (spouse and children) has a $500 Family Deductible.3) You have a $10,000 annual Maximum Family Out-of- Pocket expense provision.4) Once you have met your Individual or Family Deductible, your insurance will pay 80% of the expenses and you will pay 20% as your co-pay.Unless the occurrence is a Wellness expense, you and/or your family have to meet their deductibles first before insurance will pay anything. Example:Assume that you have met your deductible, and you go to the Emergency Room for a large cut on your shin which required cleaning, 20 stitches, a tetanus shot, and antibiotics. (80/20 plan)Total Charges = $2,500 totalYour Responsibility = $2,500.20 = $500 (goes toward your Max Out of Pocket)Insurance Responsibility = $2,500.80 = $2,000 Question: Physical Therapy for your back – 10 visits at $100 each. What are my costs and what are the insurance costs? %3D

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Alana wishes to obtain auto insurance. She wants 100/300/100 liability coverage, $250 deductible collision and full coverage comprehensive. She lives in territory 2 and has been assigned to driver class 2 with a rating factor of 1.25. Based on Table 19-6 and Table 19-7, what would be her total premium, if her three-year-old car were in model class L? (Round your answer to the nearest cent.) a. $355.00 b. $365.00 c. $456.25 d. $465.38
Which option is the most effective for companies and employees: a standard fee-for-services health care insurance option or a high-deductible health insurance plan.
As an employer, why might Vivian be reluctant to offer her employees a health insurance plan with a very low annual deductible?
Recall that the goal of the Affordable Care Act (also known as Obamacare) legislation was get more people access to affordable health insurance. It was widely reported that health insurance premiums under Obamacare were getting much more expensive. What was the main factor causing the premiums to get more expensive? Many of the new enrollees were young teenagers unable afford their own insurance, so other people are paying for them The plan required a lot of paperwork and administrative tasks, and insurance companies had to hire a lot of people to get these tasks done The new enrollees were older and sicker than expected, increasing health care usage and expenses, causing costs and insurance premiums to rise Obamacare created new medical technologies which were expensive to use
Sarah purchased an individual medical expense insurance policy that included a $250 deductible and an 80-20 coinsurance provision. She required medical care and the cost of the care provided was $40,750. How much of this amount must Sarah pay and how much will her insurer pay? How would your answer change if Sarah's policy included a $3,000 out-of- pocket limit that applied to coinsurance payments? . HINT (Coinsurance is calculated after you pay your deductible)
What are some ways drug use has changed from early times to modern times ? What are some predictors of increased or decreased drug use in society ?
Suppose that there are 2 types of plans available to you. Plan A has a deductible of $500, with 10 percent co-insurance rate for many health care services. Plan B has a deductible fo $1000, with 35 percent co-insurance rate. Plan A costs $200 per month in premiums while Plan B costs $80. Discuss characteristics of people who would choose Plan A versus Plan B. Assuming that both plan types exist in the market, who would likely choose Plan B over Plan A? What plan would you choose?
Consider a consumer with a medical bill of $1,000. He has a $250 deductible and a 10 percent coinsurance rate on all expenses over $250. His "out-of-pocket" liability for this bill is $ Please type in a number (without any extra space, symbol, word, etc.)
Many people in the property and liability insurance industry complain about the “automobile problem.” The “automobile problem” consists of a series of interrelated problems. What factors have combined to produce a problem in the automobile insurance area?
Suppose a demand curve has the form x = 100 - 10p. If the market price is $5, how would a $200 deductible impact quantity demanded? A. The consumer will behave in the same manner as he would with no insurance and consume 50 services. B.The consumer will behave in the same manner as he would with no insurance and consume 0 services. C.The consumer will behave as if the market price is $0 and consume 50 services. D.The consumer will behave as if the market price is $0 and consume 100 services.
Explain how each of these situations will affect the quantity demanded of health insurance: a) A reduction in the tax-exempt fraction of health insurance premiums. b) An increase in buyer income. c) An increase in per capita medical expenses.
Suppose you have an insurance plan in which you pay the market price for medical care until you meet a deductible of $1,000, after which you have a coinsurance rate of .20. Answer parts a and b assuming your inverse demand curve for medical care is P = 400 – 10Q and the market price for medical care is $200 per unit.a) Graph the price line and your demand curve. On the graph, label the values of the x and y intercepts of the demand curve, the quantity where you meet the deductible, the horizontal sections of the price line, and the point(s) where the demand curve intersects the price line.b) Find the number of units of medical care that you will demand. Show all calculations that youperformed in your analysis.