COVID tests are free. COVID vaccinations are free. But under most insurance plans, treatment for COVID is no longer free.
Up to 97% of COVID hospitalizations occur in unvaccinated people. Choosing not to get vaccinated could cost you thousands or tens of thousands of dollars in out-of-pocket costs.
Why Treatment for COVID is No Longer Free
Last year during the early months of the pandemic, most large insurance companies waived your out-of-pocket costs for COVID treatment. They paid the entire bill. But once the vaccine was available, insurers started letting the temporary COVID waivers end.
Anthem ended the waivers at the end of January, UnitedHealth began letting waiver expire last fall and finished at the end of March, while Aetna’s deductible-free inpatient waiver expired on February 28th.
Insurance companies didn’t make any big announcements about the change. After all, taking away benefits isn’t something they like to publicize. But it’s information you need to have. Especially if you’re unvaccinated; you’re far more likely than vaccinated people to be hospitalized with COVID. The CDC found that fully vaccinated adults 65 and older are 94% less likely to be hospitalized.
If you’re hospitalized with COVID and your insurance company isn’t waiving your costs, let’s take a look at what those costs will be.
Your Costs for Treatment
You have to pay all of your plan’s out-of-pocket costs before your insurance company will pay any part of your bill. Your first out-of-pocket cost is your annual deductible. According to a Kaiser Family Foundation survey, deductibles for an individual average $1,418 for a large employer plan and $2,295 for a small employer plan. Plans purchased through the Affordable Care Act usually have a higher deductible.
Once you’ve met your deductible, you will pay either a percentage of the bill (co-insurance) or a flat dollar amount (co-pay). Between your deductible and co-insurance or co-payments, a hospital stay can cost you tens of thousands of dollars. The NRP-Kaiser Health News Bill of the Month has reported costs from $17,000 for a “brief hospital stay” in Georgia to $104,000 for a Miami hospitalization.
If, like most Americans, you can’t afford thousands of dollars in medical costs, you end up with medical debt. That not only impacts your ability to pay the bills you already have, but it also decreases your credit score.
Costs Beyond One Hospital Stay
COVID-related medical costs don’t necessarily end with the initial hospitalization. Not everyone quickly gets over COVID. One study of insurance records for almost two million people found that 23% of people treated for COVID received medical care one month or more after their initial COVID treatment. The CDC defines post-COVID conditions as a “wide range of new, returning, or ongoing health problems …[experienced] four or more weeks after first being infected.”
Post-COVID medical treatment, including hospitalizations, may not be diagnosed as COVID. As a result, even if your insurance plan waives COVID hospitalization costs, the waiver wouldn’t apply to other diagnoses.
Remember — Vaccinations are Free
You can choose to protect your physical and financial health. Get vaccinated. Vaccinations are free and highly effective at protecting you from COVID. They can also protect you from enormous COVID-related medical bills.
Sometimes choices are hard to make. This one isn’t. Unless you are under the age of 12 or have a medical or religious exemption, get vaccinated.