The Patient Protection and Affordable Care Act, also known as Obamacare, has given millions of Americans new insurance options to consider, and most people know about the new bronze, silver, gold, and platinum tiers that are available. But until now, it's been hard to know exactly what Obamacare gold plans would look like in real life.
In the following video, Dan Caplinger, The Motley Fool's director of investment planning, looks at Obamacare gold plans and what kind of coverage you can expect from them. Dan notes that the idea behind the gold tier is that insurance companies pay 80% of expected costs while you pay 20%, but that doesn't mean all your expenses are split 80/20. In looking at various plans offered in California, Massachusetts, and Connecticut, Dan observes that from state to state and even from plan to plan within given states, policies can vary widely. For instance, in Connecticut, gold plans come with $1,000 deductibles, $20 copays for doctor visits, and a $3,000 out-of-pocket maximum. Massachusetts has a broader range of policies, with deductibles running from $500 to $2,000, doctor visits from $20 to $30, and out-of-pocket maximums from $3,000 to $5,000. Dan concludes that you have to pick based on your own health experience and finances to find the best choice for you.