Sanjay's family is usually in good health. They don't smoke, and they get their annual physicals. They use in-network doctors and pharmacies. Except for a few expensive medications, they have a pretty smooth year.
Let's take a look…
All of the family members get their physicals and the kids get their immunizations.
$125 x 4 = $500
100% paid by the Company!
A few of them go to the doctor for the flu. The kids also go to the doctor a few times for sinus infections and a few rashes that won't go away. Each trip includes a few generic prescriptions.
$125 visit x 8
$25 generic x 15
Sanjay develops a condition that requires a preferred brand medication. Sanjay fills it twice at the pharmacy and the switches to mail order.
$275 preferred-brand x 2
$400 preferred-brand x 3
His wife starts feeling ill, so she goes to the to the doctor. After testing, the doctor prescribes her a generic medication. She fills it twice at the pharmacy then switches to mail order (3-month supply) for the rest of the year.
$125 visit x 8
$75 test x 1
$25 generic x 2
$70 generic x 3
Sanjay has incurred a total of $4,110 in expenses from providers and services. Now, let’s see which plan would have been better for Him!
in total expenses
In the HSA plan, Sanjay pays for His care out-of-pocket, while in the PPO plan, He pays copays for most of His care.
And the winner is...
In the HSA plan, Sanjay pays for His care out-of-pocket, while in the PPO plan, He pays copays for most of His care.