I have just started listening to Dave. I dont have any books yet. Can someone tell me why he recommends a high deductible health insurance plan??? Thanks a bunch!!!!

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Jennifer

Money must be managed first, spent later -Mary Hunt

The only thing I can remember about high deductible health insurance is that it's cheaper! The higher your deductible, the lower your payment! His baby step 1 is to get an emergency fund in place ($1000+) so if you do need to pay a deductible, you should be able to with your emergency fund! Then the extra money you're saving each month should be going to pay off your bills! If something happens and you have to used some or all of your emergency fund, then stop paying off the debt and build your emergency fund back up! Once it's back up to the $1000, then continue to pay off your debt!

This is what he says about home owners and auto insurance at least, so I'm assuming it's the same with health insurance! I don't really remember that part, I guess I need to read it again! HTH!

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SAHMto3boys is right. If you have a high dedcuctible then your preimum is lower and you can take the money you save on your preimum and put it to your debt.

We buy our own insurance. To buy regular health insurance would be around $1200 per month. We now have a high deductible plan and it is $278 a month. We then have a health savings acct. that we are allowed to put in our deductible each year--I think it's around $5000. So even if we have something big happen and have to pay the $5000 we are still spending less than we would have by buying regular insurance. If we don't have anything big happen we get to keep the money in the acct and it's all tax deductible.