- 10,377
The issue I always heard with association plans was very inconsistent participation, higher claims ratios, & issues with the admin (like high overhead and issues collecting dues/premiums).
Lose your job as an engineer... go take out an association plan.
Get a new job as an engineer... drop the association plan for the employer-subsidized plan.
And back then (before GI) it was "cant qualify for a fully underwritten individual plan.... go join an association with a SI or GI Plan"
A Group Plan is pretty much guaranteed to get paid via payroll deduction and the employer. The admin system for paying premiums is mostly already in place with the Group Plan. That all helps to reduce the premium on Group Plans. And none of that is true for association plans. Totally different animal with lots of potential headaches.
Id love to see it work. But dont hold a lot of faith that it will be the saving grace it seems on the surface.
Lose your job as an engineer... go take out an association plan.
Get a new job as an engineer... drop the association plan for the employer-subsidized plan.
And back then (before GI) it was "cant qualify for a fully underwritten individual plan.... go join an association with a SI or GI Plan"
A Group Plan is pretty much guaranteed to get paid via payroll deduction and the employer. The admin system for paying premiums is mostly already in place with the Group Plan. That all helps to reduce the premium on Group Plans. And none of that is true for association plans. Totally different animal with lots of potential headaches.
Id love to see it work. But dont hold a lot of faith that it will be the saving grace it seems on the surface.