MR. WATSON: What's "integrated" mean?
WOMAN: Mixed together.
MR. WATSON: So when I say "integrated deductible ," we are talking about a major medical plan because I used the word deductible. But the deductible is paid by the basic plan. It is integrated into the basic plan. The basic plan pays all or part of the deductible for you with an integrated deductible. So again, you have two plans. The ONLY difference between the integrated and the corridor deductible is who is paying the deductible.
MR. WATSON: The basic plan says it will pay up to $50 or $100 of any deductible you have. It works like the corridor deductible but the basic plan pays all or part of the integrated deductible. Make sense?
ALL: Yes.
MR. WATSON: There are three types of deductibles. There's a flat, corridor, and integrated. By the very names you know what I have. You agree?
ALL: Yes.
MR. WATSON: If I say "corridor," I have how many plans?
STUDENTS: Two. Major Medical and a Basic Plan
MR. WATSON: If I say "integrated," I have how many?
STUDENTS: Two. Major Medical and a Basic Plan
MR. WATSON: If I say "flat"?
STUDENTS: One.
MR. WATSON: Don't move on until you know these deductibles.
Family Deductible
MR. WATSON: Here's my wife, Jersey, sick, sick, sick, gave me all these sick children. Guys, if every one of us in the family had to pay a deductible when we get sick, that would get very expensive. But some policies have a family deductible. It reads like this. Once any three members of a family have met the deductible in a calendar year, the deductible will be waived for the rest of the family members. Pretty cool.
MR. WATSON: You could choose to have an annual deductible or a per cause deductible. Which one would you rather have?
MAN: Annual. You would only pay this once a year IF you got sick. Per cause would require you to pay each time you got sick.
MR. WATSON: Which one would be more expensive?
ALL: Annual.
MR. WATSON: Because you only have to pay that if you get sick, once a year.