Health Insurance Terminology

This is a good explanation of premium, deductible, copay and coinsurance, the language of health insurance (link).

…Until the end, this is a very regrettable paragraph.

Talk with your insurance provider

If you’re trying to pick the right insurance for you, visit with a local health insurance provider. Many companies offer one-on-one guidance counseling to help you understand your options, weigh your risks, and select a plan that’s right for you.

I don’t know due to the diction here. A carrier cannot compare its policy to another carrier’s policy, so you have no basis to tell which of the many plans is best. A broker can. As clear as the previous paragraphs of the article are, this portion is incredibly vague.

Quoting Tool

The “Average” is the same here, but these three curves are obviously different.

Mister Market has told you already, we have simply moved from the blue line to the yellow, that was the point of “When Will The Volatility Stop? (link)

Even if you are completely uninvolved in financial markets, you face these curves all the time. When it comes to any financial matter, you may privately have a different curve, for a long list of reasons. Here are just a few.

  • Some people do not have the flexibility to weather wide swings, so the yellow line presents a problem.

  • Some people will face the yellow line more than others for a wide set of reasons (enter Mr Perfect vs Mr Sikalot).

  • Some people do not like volatility, they find no joy in up-and-down.

Important note: read the bullet points, there is no mention of financial markets like stocks and bonds, this has to do with every single component of a financial setup. Easy examples include:

  • Social Security timing

  • Accept early retirement buyout lumpsum

  • Insurance planning (life, health)

The important takeaway is that you understand which curve fits your description and your priority set. From that point, only after established, you can make fitting decisions on everything. And then, there’s more, the combination of topics will be crucial, because the “silo effect” of attempting to keep different topics separate will likely result in something big being missed.

We know the ‘average,’ which is identical in all three curves, that is not particularly interesting. It’s the reason for this oldie-and-not-very-goodie: