Accident Plan for Sole Proprietor + HSA to Qualify for Tax Credit

[yorkriver1]

The prospect is in business, sole proprietor, working with horses. 2 questions here, really. What kind of add on plan would help pay for accidents if the family raises their deductible over $6,000.

Next, should they change to an ACA based plan to save money, given the uncertain future:

Current grandfathered plan for family of 3, parents each age 35, child age 2, $769/month. Has preventive benefits built in, $2,500, I think, with deductible and max out of pocket same. No copay benefits.

Lowest HSA plan $707, but could be reduced $200/month or more depending on income.

Concerns: 1. what if 2017 income exceeds 400% of FPL, will the change have been a bad idea. 2. will they/can they take advantage of HSA in a large enough amount to lower income below 400% of FPL, if needed, to get a tax credit. 3. should they keep the grandfathered plan, since the future of ACA based plans is unknown?

The estimate given to me today would not put them any more than about $3-5,000 over, so HSA could be a tool for tax credit.

 

[Yagents]

Choose certainty in an uncertain volatile environment.
I'd keep GF plan, raise deductible if numbers work, keep PPo / Drs.
Many accident policies out there.
Why play with income, and clawbacks, and getting in the shark infested waters?

 

[yorkriver1]

Choose certainty in an uncertain volatile environment.
I'd keep GF plan, raise deductible if numbers work, keep PPo / Drs.
Many accident policies out there.
Why play with income, and clawbacks, and getting in the shark infested waters?

That's my thinking, too. All good until the ship sinks, then I am not the hero.
I am checking to see if I can AOR onto the GF plan. If they make any changes, with their carrier on that plan, they will lose the coverage.

None of the ACA based plans would save them that much, minus tax credits, and if it really is $2500, then all covered, hold onto it. I would like to confirm that. I sold plans for the carrier pre-ACA, and some have that feature, some don't. The OOP's on the ones that don't are pretty steep. They are from the good old days of separate annual max on RX of $10,000, no maternity, etc.

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Choose certainty in an uncertain volatile environment.
I'd keep GF plan, raise deductible if numbers work, keep PPo / Drs.
Many accident policies out there.
Why play with income, and clawbacks, and getting in the shark infested waters?

Re: accident plan. The one offered by our BCBS offers in partnership with IHC, which has a package of accident, CI, income, and a couple other benefits like auto towing (?) specifically excludes work related accidents.

That's their concern.

 

[BeeSelective]

Changing ded on gf plan disqualifies it, doesn't it?

 

[yorkriver1]

Changing ded on gf plan disqualifies it, doesn't it?

I recall that is true. The PPO network options, lower OOP max, lower premium than comps in ACA plans, sticking with this another year. I gained a client through AOR.

Really appreciate the feedback!