Does Direct Concept Healthcare Make Sense

I met with a client yesterday to show them the Direct Concepts Health care program, and show them where they could save a huge amount of money an get better health care.  This family is paying $700 per month for there existing Health Care Plan with a $30 doctor co-pay and a $2000 deductible and an 80/20 split.  This is a fairly normal plan today.  They normally go to their doctor 5 to 6 times per year and are healthy, just your normal American family.

I explained how the Direct Concepts plan works and how by switching to our plan would save them money plus give them better care because this plan puts them and their doctor in control of their medical care.  Here are them numbers I showed them.

THEIR EXISTING PLAN:
Cost per year for their Plan at $700/month                   $8400.00/year
6 doctor visits/year with $30 co-pay                            $  180.00/year
Total for the year                                                         $8500.00/year

DIRECT CONCEPTS PLAN:
Cost per year at $88/month                                        $1056.00/year
6 doctor visits/year at $60 (PPO RATE)                    $  360.00/year
Total for the year                                                        $1416.00/year

As you can see I showed them where they could save $7084.00 per year or $590.00 per month on their health care cost.  If they put 50% of this savings into a basic savings account they would have the money to pay the doctor's PPO cost and plenty left over.  They would have put $295 a month or $3540 for the year into their savings account and have an additional $295 a month or $3540 a year expendable income in their budget.  These savings are just on your doctor visits.  In my next post we will look at what happens if you have a hospital stay.