“Jake” is the third of four Penn State employee examples illustrating claims and premium expenses that a Penn State employee could expect to pay within both plans. T
Jake, 27, is single, takes some prescription medications, makes $40,000 per year, and has two children whom he covers under the health plan. Jake is considering using the premium difference between the PPO Blue and PPO Savings Plan to help fund his health savings account (HSA). That, coupled with the Penn State contribution, covers more than half of the family deductible. He also knows that his children’s annual physicals are covered at 100 percent, and that they typically need to visit their primary care physician for non-preventive visits a couple of times per year.
Recommendation after comparison:
The PPO Savings Plan is recommended for Jake. Even though Jake spent more in medical expenses in the Savings Plan, he would have spent more in premium contributions for the PPO Blue Plan versus the PPO Savings Plan and chose to use the premium difference to help fund his HSA and pay for the out-of-pocket expenses incurred by two PCP visits for his children. He also received the Penn State HSA contribution of $1,200, which can be used for medical expenses now or in the future.