Why is Health Insurance structured the way it is?

[MRT144]

I'm getting a vasectomy this Friday and have a $750 deductable. Why is health insurance set up the way it is with deductables rather than as excess insurance? Is it to ensure there is a base amount of money coming in from the client for the most healthy clients while also discouraging use of insurance for smaller procedures?

Now that I've hit my deductable, I'm considering getting a whole host of medical stuff done because of the discounted rate. If excess insurance was in effect I would probably not do so.

[rah]

Yes, to reduce their outlay and to discourage it's use.

[Al B. Sure!]

Yeah it's been like this for decades and is a major reason for medical cost inflation. The incentives are set up for the insured patient to get the biggest bang for his buck and for medical practitioners to offer as much as possible to get as much revenue as possible. That setup also disincentives preventative care which is cheaper.

[Al B. Sure!]

And vasectomy? You have no kids. You don't want any?

[MRT144]

And vasectomy? You have no kids. You don't want any?

Nope. I want to have carefree sex for the rest of my life, and I don't want to be a parent. It just doesn't figure into the life I want to have with my wife.

[Al B. Sure!]

Nope. I want to have carefree sex for the rest of my life, and I don't want to be a parent. It just doesn't figure into the life I want to have with my wife.

I don't know about making such permanent decisions at 28.

[MRT144]

I don't know about making such permanent decisions at 28.

I've considered it for a while now after consulting with my wife, family, friends and my psych. It really is the best decision for me. Also, my wife is 3 years older than I am and is a smoker, so hormonal birth control for her is a worse and worse option. Also, one does not get married to use condoms.

[MRT144]

Yes, to reduce their outlay and to discourage it's use.

But it has the inverse effect if someone is going to hit their deductible easily. I want to consume more now that I've passed that outlay.

[giblets]

Nope. I want to have carefree sex for the rest of my life, and I don't want to be a parent. It just doesn't figure into the life I want to have with my wife.

You should have had it on Darwin Day.

[MRT144]

You should have had it on Darwin Day.

Close enough.

[Al B. Sure!]

I've considered it for a while now after consulting with my wife, family, friends and my psych. It really is the best decision for me. Also, my wife is 3 years older than I am and is a smoker, so hormonal birth control for her is a worse and worse option. Also, one does not get married to use condoms.

Hope she doesn't change her mind about kids in a few years.

[MRT144]

Hope she doesn't change her mind about kids in a few years.

HAHA, she won't...trust me.

[Al B. Sure!]

I don't think I could marry a smoker.

[MRT144]

I don't think I could marry a smoker.

But think of the improved annuity income!

[DinoDoc]

Hope she doesn't change her mind about kids in a few years.

In any case, it's easier to reverse for him than it would be for her.