AgileHealthInsurance Report | 10-28-2015

7-out-of-10 People Getting Coverage on AgileHealthInsurance.com Pay $100 or Less for Monthly Premiums



Premium affordability remains a major issue for people who pay for their own health insurance. Only 30 percent of Obamacare marketplace consumers are satisfied with their plans, and the most common reason given for plan dissatisfaction and plan switching is that the monthly premiums are too high.1 Likewise, a Kaiser Family Foundation study found that nearly half of the uninsured surveyed indicated that “the main reason they lacked coverage was because it was too expensive.”2 A recent survey by HealthPocket’s research division found that 57 percent of respondents could not afford to pay more than $100 a month for health insurance.3 Although average monthly premiums for Obamacare plans are only $101 with subsidies, for those without subsidies the average premium is $364.4

Given price concerns shared by both the insured and uninsured regarding health insurance and preference of premiums that cost $100 or less, AgileHealthInsurance.com analyzed health plan selections between May 15 and October 21 to determine if purchasers of term health insurance align with these trends.

Overall 69 percent of term health insurance plans selected on AgileHealthInsurance.com had a monthly premium of $100 or less. Plans with a monthly premium more than $100 but at most $200 were also popular, accounting for 21 percent of plan selections. Less than 11 percent of plan selections had a premium over $200.

The average premium for term health insurance plans selected on AgileHealthInsurance.com was $97. This is 73 percent lower than the average premium of $364 for unsubsidized health insurance on the federal Obamacare marketplace.5

Every state had an average monthly premium of $200 or less for term health insurance plans selected on AgileHealthInsurance.com, except for California, which had an average monthly premium of $201. Among the 40 states with at least 20 plan selections, there were 32 states where the average premium was less than $100. Arkansas had the lowest average monthly premium of $61.

StateAverage premium% of premiums at most $100% of premiums more than $100 but at most $200% of premiums more than $200 but at most $300% of premiums more than $300 but at most $400% of premiums more than $400 but at most $500% of premiums more than $500

AR

$61.49

85.71%

8.93%

5.36%

0.00%

0.00%

0.00%

ME

$64.08

84.34%

13.25%

2.41%

0.00%

0.00%

0.00%

DC

$66.89

83.33%

10.26%

5.13%

1.28%

0.00%

0.00%

MS

$67.35

79.57%

15.05%

2.15%

3.23%

0.00%

0.00%

TN

$68.87

84.38%

10.94%

1.56%

1.56%

0.78%

0.78%

KS

$69.41

75.24%

20.39%

4.37%

0.00%

0.00%

0.00%

ID

$71.02

80.25%

12.10%

5.73%

1.27%

0.64%

0.00%

NE

$73.53

74.60%

19.05%

3.17%

3.17%

0.00%

0.00%

NC

$74.42

80.78%

11.73%

4.89%

1.63%

0.65%

0.33%

AL

$74.61

82.17%

11.46%

3.82%

2.55%

0.00%

0.00%

IN

$75.12

78.53%

11.52%

7.85%

1.57%

0.52%

0.00%

MO

$75.94

79.34%

10.74%

8.26%

1.65%

0.00%

0.00%

GA

$76.07

76.03%

16.53%

5.37%

1.65%

0.41%

0.00%

MT

$76.59

73.79%

20.39%

4.85%

0.97%

0.00%

0.00%

WV

$79.45

80.49%

12.20%

4.88%

2.44%

0.00%

0.00%

IL

$80.01

77.09%

16.10%

4.95%

1.24%

0.31%

0.31%

SC

$82.59

77.36%

12.26%

9.43%

0.00%

0.00%

0.94%

OH

$82.94

75.74%

15.81%

5.51%

2.21%

0.37%

0.37%

KY

$84.35

75.89%

15.60%

4.96%

2.84%

0.71%

0.00%

SD

$86.13

75.56%

15.56%

6.67%

2.22%

0.00%

0.00%

OR

$87.08

72.82%

15.90%

7.18%

3.59%

0.51%

0.00%

LA

$87.10

75.00%

13.33%

9.17%

1.67%

0.83%

0.00%

DE

$88.08

72.97%

18.92%

5.41%

0.00%

0.00%

2.70%

TX

$89.50

72.85%

18.01%

4.30%

3.76%

1.08%

0.00%

VA

$90.81

75.00%

16.15%

4.69%

2.08%

2.08%

0.00%

HI

$90.94

75.31%

11.11%

9.88%

2.47%

0.00%

1.23%

WI

$91.34

72.25%

18.32%

6.81%

2.62%

0.00%

0.00%

AZ

$93.92

71.80%

16.92%

6.77%

1.88%

1.50%

1.13%

FL

$94.24

73.02%

17.72%

4.76%

2.38%

1.32%

0.79%

OK

$95.62

72.22%

12.50%

9.72%

4.17%

0.00%

1.39%

ND

$95.94

69.01%

19.72%

8.45%

1.41%

1.41%

0.00%

PA

$97.43

66.04%

24.25%

6.34%

1.87%

0.37%

1.12%

NV

$106.15

63.11%

24.44%

6.22%

3.56%

1.78%

0.89%

WA

$109.32

58.02%

31.33%

6.48%

3.24%

0.77%

0.15%

NM

$110.22

61.11%

24.07%

11.11%

1.85%

1.85%

0.00%

CO

$114.75

58.63%

29.79%

7.57%

3.55%

0.24%

0.24%

AK

$134.08

41.30%

41.30%

10.87%

6.52%

0.00%

0.00%

CT

$158.05

45.13%

29.20%

15.04%

7.08%

1.77%

1.77%

WY

$173.20

59.09%

22.73%

4.55%

4.55%

0.00%

9.09%

CA

$200.52

20.39%

46.19%

14.74%

9.58%

4.42%

4.67%

Nationwide

$96.74

68.60%

20.55%

6.56%

2.79%

0.86%

0.64%

Conclusion

Analysis revealed that premiums for the term health insurance plans purchased on AgileHealthInsurance.com were consistent with national trends regarding what consumers perceive as affordable. Most people that selected term health insurance plans on AgileHealthInsurance.com chose plans with premiums of $100 or less. The insurance buying behavior on AgileHealthInsurance.com is particularly relevant inasmuch as these consumers base their plan selections on their personal budgets without aid of government subsidization. The available price points for term health insurance coverage along with a strong trend among consumers to pay $100 or less for insurance likely accounts for recent sales growth within the term health insurance market.6

Methodology

This analysis included term health insurance plans selected between May 15 and October 21 on AgileHealthInsurance.com that had a duration of at least 30 days.

The average monthly premiums for Obamacare plans cited in this analysis are calculated for individual plans. Average monthly premiums for term health insurance plans in this analysis are calculated for both individual and family plans.

National averages and percentages include all states with plan selections. The table of premium averages and percentages only lists states with at least 20 plan selections.

  1. Gregory Scott, Paul Lambdin, Rod Kleinhammer. Public health insurance exchanges. Deloitte. (2015). http://www2.deloitte.com/content/dam/Deloitte/us/Documents/life-sciences-health-care/us-lshc-hix-consumer-survey.pdf. p.6.
  2. “Key Facts about the Uninsured Population.” Kaiser Family Foundation. (October 5, 2015). http://kff.org/uninsured/fact-sheet/key-facts-about-the-uninsured-population/.
  3. Kev Coleman. “Survey: Most Consumers Only Can Afford $100 or Less for Health Insurance Premiums.” HealthPocket.com. (October 21, 2015). https://www.healthpocket.com/healthcare-research/surveys/health-insurance-premium-affordability.
  4. Health Insurance Marketplaces 2015 Open Enrollment Period: March Enrollment Report. March 10, 2015. http://aspe.hhs.gov/sites/default/files/pdf/83656/ib_2015mar_enrollment.pdf
  5. Health Insurance Marketplaces 2015 Open Enrollment Period: March Enrollment Report.
    Note: $364 is the average premium cost before subsidies and only includes plan selections with advance premium tax credit
  6. Beth Pinsker. “Despite Obamacare, gap health insurance market explodes.” Reuters. (June 3, 2015). http://www.reuters.com/article/2015/06/03/us-usa-health-gapinsurance-idUSKBN0OJ1G220150603.

AFFORDABLE CARE ACT TAX. Term health insurance is health insurance outside of the Affordable Care Act ("Obamacare"). It does not include all ten of the minimum essential benefits of Obamacare and it does not cover pre-existing conditions. To learn more about the tax, its exemptions, and how to calculate the affordability of term health with the tax, see here. To learn more about the differences between Term health insurance and Obamacare, see here.