Health Insurance Information

As many of you are probably aware, the cost of student health insurance available through UNM has been steadily rising. At the same time the benefits have been reduced each year. When I went to enroll this year, I took the time to read the fine print and realized two things:

1. With the current plan, I would be dangerously underinsured and,

2. The plan is now so expensive that I could do better on the open market. 

Regarding the first point, the total maximum lifetime payout for any injury or illness under the student health plan (both plan A – the “good” insurance, and plan B, the limited coverage) is only $20,000. According to the promotional literature provided by the people selling the student health insurance, EITHER a broken ankle or a bad knee injury (torn ACL) would cost more than $10,000. Therefore, if you managed to do both at once (not an unlikely scenario) you would be stuck paying hefty medical bills. And any of us can easily imagine a case where injuries or illness would be more severe than ankle and knee trauma. As an aside, debt due to medical costs not covered by insurance is now the single largest cause of bankruptcy among middle class Americans according to a Harvard University study reported on NPR. With a $20,000 maximum payout through UNM… well, you can fill in the blanks. If you buy the UNM insurance and get really sick or hurt, you’re hosed. 

Concerning the second point, I did a little looking around. If your health insurance costs are paid for you because you have a TA, RA or GA position, your best bet is probably to keep the UNM insurance and buy supplemental coverage. You can increase maximum payout to $100,000 for only $325/ year – this is coverage on par with middle of the road insurance available on the market, and is roughly equivalent to what was offered through UNM up until last year. At $325/ year it is a good deal. You can increase your coverage at the beginning of the year and may be able to at the beginning of a new semester, contact the insurance representative at the student health center for more information. 

If your costs are not subsidized through employment at UNM, the student insurance is not just too little, it is not competitively priced. Through United American Insurance Co. (www.unitedamerican.com), I can get a plan that is basically similar to the UNM plan but with a maximum payout per illness or injury of $50,000. It would cost $93/ month, only $6 per year more than the UNM basic plan. They also offer increased coverage for additional fees, and their basic plan includes limited dental and vision coverage that are not part of the UNM insurance. They were the first company I found on the web – do your own shopping and you might find better plans. 

In addition to insurance that can be purchased on the open market, there are several lower-cost alternatives available. If you are in a similar financial situation to mine, you are eligible for insurance subsidized by the state. This insurance is available through Lovelace, Presbyterian or Molina for anyone who is at or below 200% of the poverty level, which works out to making less than $1600/ month for a single-person household. The cost is $75 - 110/ month (depending on income) for coverage up to $100,000 per year. Contact phone numbers for information packets are: Lovelace… 816-6670, Presbyterian… 923-8200, Molina… 348-1578. These are real insurance plans, similar to what you might be able to get through an employer or on the open market. The only difference is that the cost is lower because it is subsidized by the state. 

For those of us that have to think twice about spending $75/ month, there is an even cheaper alternative. Bernalillo County funds a medical indigent program that is run through UNMH. If you register for this program, you are eligible for free health care with copays on a sliding scale from $0 – 7/ visit, depending on income. You may be eligible even if you make as much as $32,000/ year, as long as you are resident of Bernalillo County. This is not an insurance program, and you can only be treated at UNMH, but it is a whole lot better than nothing. The only catch is, you must be registered BEFORE you require treatment to receive the benefits of this program, so if you are completely uninsured look into it! Call 272-2131 to set up an appointment and enroll. 

Please take some time to look into your insurance coverage and investigate your options – it could make a HUGE difference in your future!

Sincerely,
F. Scott Worman
AGSU Archaeology Representative