Tonik leading the way for California Health Insurance

Insurance doesn't have to cost an arm and a leg. In California, for instance, Blue Cross launched a policy in 2004 called TONIK that's aimed specifically at twenty somethings who want coverage for catastrophes but don't need a lot of other care. A plan with a $1,500 deductible and unlimited $40 doctor visits runs $90 a month. A $5,000 deductible plan with four $20 visits is $69. TONIK quickly became the company's second best-selling policy in California. Even better: 70% of buyers were previously uninsured.

You can now buy versions of TONIK in low-regulation states from Texas to Illinois. The plan called Sound is marketied under WellPoint UniCare brand and has proven to be equally popular.

There is fine print, of course. TONIK doesn't cover maternity benefits (pregnant members get bumped to a different plan).

California TONIK policies also don't cover brand-name drugs. But once you expect insurance to cover everything for everybody - as in New Jersey - and when you don't let plans treat people differently based on risk profiles, insurance stops being cheap. When it stops being cheap, young people decide to risk going without.

That choice is bad news for the unlucky young people who then endure expensive ski accidents and appendectomies. But it's bad news for older folks, too. Not only do all taxpayers foot hospital bills for uninsured people who can't pay, shoving young people out of insurance pools also raises rates for everyone else. If states truly want people covered, that's something to keep in mind.

All it takes is one $20,000 bill for medical care to change your mind on the neccesity of health insurance. Young consumers need to realize that they are not invincible, and that plans like Tonik, and UniCare Sound are an affordable answer.

www.tonikhealthquotes.com
www.unicaresoundplans.com