What is a Catastrophic Plan?

A catastrophic health plan is one that can be purchased with relatively low premiums but will primarily cover a major accident or illness. The buyer is responsible for paying most of their normal medical bills not covered under these plans. What is covered includes:

What is a Catastrophic Plan

  • Essential health benefits required by all federal Marketplace plans
  • Some preventive services
  • Up to three visits to your primary physician each year before you have met your deductible

Only people who are under 30 years of age or who meet the criteria for a hardship or affordability exemption are eligible to purchase catastrophic health plans. Also, you cannot use a premium tax credit to reduce the cost of any catastrophic plan. Per HealthCare.gov, the deductible for 2020 for all catastrophic plans is $8,150.00. After you spend that amount the insurance company will pay for all covered expenses with no copay or coinsurance.

The Health Care Marketplace can seem daunting for someone looking for health care insurance. First Day Films can help reduce confusion with our carefully designed insurance videos. We can explain insurance options and the various plans available to employees who may not have company or private insurance coverage. We can also design videos covering a wide range of human resource, insurance, and other benefit topics to help educate your employees.

If you would like more information on how First Day Films can help your employees learn more about their employee benefits or insurance options please call us today at 833-422-7332.