Why are Group Health Classic‘s premiums so much more than premiums for the Uniform Medical Plan?
Health plans’ premiums are based on the plans’ costs for health care services for its members. Both Group Health Classic and the Uniform Medical Plan (UMP) offer substantially the same services, but Group Health Classic members pay less out-of-pocket for services than members in UMP. In the Group Health Classic Plan, members pay a low fixed copayment (for example, $10 for an office visit) and no deductibles. When UMP members receive services, they usually pay a percentage of the total costs of those services after they pay their annual deductibles (for example, a $200 per-person deductible for medical, $100 per-person deductible for some prescription drugs, and then in most cases, 10% of the cost of services after the medical deductible has been met).
