Medical Coverage for Full time RE investors!

Hello to all of the fulltimers out there. I was wondering what kind of medical coverage do you guys and girls use. I use Cobra which I would not recommend…Why? because I have to pay about 1200/m for my family and it’s too expensive. Does anyone have any advice on where to go to get good medical insurance that would include checkups for 3 people including myself?

This is one of my pet peeves. People don’t stay at their jobs for the money, they stay for the benefits. If I could come up with a way to get people just 2 things I could unleash a small army of investors on the world of real estate. Number 1 is healthcare, and number 2 is retirement.

My wife’s father (retired) from corporate America a few years back before he was Medicare age. He had plenty of money for daily expenses his real concern was healthcare. His health was fine but his wife was like all women and had a lot of “moving parts” that had to be looked after.

I don’t know why one of these real estate investor clubs doesn’t create an insurance pool (just like a small company) and allow its members to buy insurance.

Retirement is no problem when you are in real estate. So it’s only the health care you have to come up with, Bluemoon.

There’s no doubt that medical insurance is expensive. In my experience, COBRA was more expensive than out of pocket non-group insurance. I ended up buying a Bue Cross family plan for $1028/mo with prescriptions included. I guess you have factor that cost in when you decide to do REI full time. Just be careful about these discoint plans that offer great benefits at a low price. Do your reasearch…

We have Tricare. It costs about $38/month for dental and only has a cost share on dental. All medical is 100%. Of course it does require you to travel to the Middle East for 6 months every once in awhile, but all health care plans have their problems…

Thought this might be worth a look.
Came across a flier once while shopping at Sam’s.

Haha justin0419. Could you imagine if EVERYONE in America had coverage like Tricare. Wow what a mess that would be!

As far as the coverage goes, I’m VERY happy. The benefits are awesome. I’m just pointing out the commitment in order to get the coverage is pretty big. I was looking at a prescription while ago that I pay a $9 co-pay for. The receipt said our insurance saved us over $500 (and that’s for a month of medicine).

I am actually trying to get back into the military as an officer for a number of reasons…one of them being Tricare for my family. I know it is a job of sorts…however, some might argue its an adventure ;). Apparently I have to trim my waist and increase my neck size…as I do not pass their weight standards and never will with my stocky build. So, I have to pass the rope and choke. Anyway, I would be teaching nuclear power school which I am excited about because I was a nuke electrician and went through the program. The pay is pretty good, and I will not have to go out to sea (which I was actually kind of looking forward to), so the increased cash flow should help my credit and finances and the regular schedule should allow me a better opportunity to invest.

There is a website that I found “Googling” it’s called e-health insurance. I’m going to take a look at it and see what I can find. $1200/m is way to expensive.

Isn’t the Direct Input program only a four year stint? I’m getting a few of them switching over to aviation now that they completed their commitment.
I went thru Goose Creek in '98.

When I first got into this business in 1991, my most favored mentor was Jimmy Napier. He self insured his family and negotiated with doctors on their fees for cash. I still believe this is a good way to go as health insurance coverage is overpriced. Personally, I too self insure! The grand a month I would be paying is used for investing. If you know how to invest, you can do much better with your money than an insurance company can. This is true also with Social Security, although that is another hour’s discussion in itself!!

The best and safest route for me is to self insure and learn more about staying healthy. This would include a healthy diet…that’s right…no soda or other highly acidic foods and drinks. An acid environment is the best place for disease and cancer to grow. A highly alkaline diet will not allow disease or cancer to grow, live, or flourish. I drink nearly a gallon of highly alkaline water each day and I am healthy!!

Self insuring works for me and if you need a stop loss, you can find a product called Catastrophic Health Coverage with a very high deductible such as $25k or $50k. Premiums are low and protect you from the ‘big stuff’ and you can manage the small stuff. I think if you take care of your diet, the small stuff will be few and far between which is manageable.


Justin, I am not sure I follow you…Direct Input Program? A few of who switching to aviation? You said you went through Goose Creek in 98…did you go through the nuke program? I went to A-school in Orlando, FL before it closed down and was in power school the last 6 months of '98. I remember nearly 1/3 of the people that started fail out or have a nervous breakdown. What I find exciting is the opportunity to help those who want to succeed in the program but fail due to ineffective learning habits. Those who have nervous breakdowns and are complacent probably shouldn’t be operating a power plant.

Rob, I will definitely agree with you …particularly when it comes to myself. I have seen a doctor twice in 5 years…incidentally, I hope I can pass the physical exam. I think I may have flat feet and have been told I have very slight scoliosis which yoga seems to improve. Anyway, last year I got an ear infection and needed antibiotics. Even though I asked the doctor for amoxicillin (sp?) he gave me a Z-pack which didn’t work. When I went back the infection must have gone down, but not completely disappeared because he said he didn’t see anything and my ears still hurt. I took high doses of capsicum, garlic and vitamin C (what I normally do for a cold) and it eventually went away.
My wife is a nurse, so she gets discounts on insurance but it is still expensive. So, $1000/month times 60 months minus $200 for the doctors visit and antibiotics. That would certainly be a waste. However, my daughter thinks she is Super Dave Osborne (seems more appropriate than Evil Knievel) and my wife is inactive and doesn’t eat right so she gets sick a lot. Although my wife is a nurse and gets discounts on insurance, it is still over priced. So, I think insurance has paid more than we would have had with cash based on statements. However, if fees were negotiated down that might not be the case. It is definately something to consider if your not able to get the benefits of tricare.

This is kind of a rant/opinion. When visiting a hospital or emergency room…the common theme is obesity. People who are obese get sick more often and require more care. I think if insurance companies and hospitals charged obese patients higher premiums, then the prices for insurance and hospital care would be more affordable. Maybe a 1% mark up for each percent of body fat over the obesity standard. I also think that people who do drugs and/or people who get injured while intoxicated should pay more…maybe a 5% mark up. It would certainly improve health by providing incentives to eat right, exercise and not do drugs; and it would make health care more affordable to those who don’t see a doctor because they feel it is cost prohibitive.

This sounds like Obamacare!!

Yes, I was a nuke MM for about 6 yrs. I was in Power School class 9802 and left Orlando in the summer of 98. The Power School Officer Instructors you speak of are Direct Input Officers. For a time, they were called Direct Input Limited Duty Officers until they figured out we shouldn’t have people with the name of DILDOs. The Navy normally contracts them for 4 yrs to teach Power School exclusively. I switched over to aviation (great move) and now I’m getting flight students coming in who were Nuke instructors and decided to switch over to aviation.

OIC :slight_smile: That explains why they said that I could be a DILDO and laughed. I wasn’t sure if I heard him correctly, and the LT who was in charge of recruiting nuke school teachers didn’t mention it again. He just told me I could be the teacher for Power school.

“The best and safest route for me is to self insure and learn more about staying healthy. This would include a healthy diet…that’s right…no soda or other highly acidic foods and drinks. An acid environment is the best place for disease and cancer to grow. A highly alkaline diet will not allow disease or cancer to grow, live, or flourish. I drink nearly a gallon of highly alkaline water each day and I am healthy!!”


That is a good point, but there are and always will be something that happens in your life where you get hurt, especially if you are active like myself. I still play sports at my age (Over 37) and I can easily get hurt. That is something that you can’t prevent or if your child breaks a leg? Spring water is not going to heal those wounds or prevent it. While the prevention of Cancer with healthy food is a good point you must also be active with regular excercise which can provide some risks that you can’t just “Get over”.

Then again if you are George burns who didn’t do anything and smoked Cigars and lived to be 100 you are doing good. :bobble

There is another solution to this issue which would take lots of effort but could be accomplished. If we had at least 100 family units and someone wanted to organize this, we could establish a REI Association and provide the following:

  1. establish a fair premium to collect
  2. hire a TPA (third party administrator) who handles insurance
  3. use a portion of the collected premiums to purchase a stop loss, both per cause and aggregate, fully insured through the likes of Lloyds of London.

This is typically what larger employers are doing as the larger the number of insured units, the more predictable the claims become. Also, with self insured trusts, there is an inherent reduction in claims as the participants know they are using their own money and handle their health and small claims with more care and prudence.

There could be an insurance company available right now that will do a group association plan. This would still be an expensive option as it would be fully insured, which traditionally would cost more than self insured as outlined above.

For most of us entrepreneurs, I still think it best to self insure and if you don’t have the courage to fully self insure, then do so on the small stuff and purchase a very large deductible catastrophic plan so there would be a stop loss in the event of a major illness.