Press Releases: Southern California
April 29, 2004
Kaiser Permanente offers new deductible, low premium plans
Many consumers can save nearly 50 percent
PASADENA, Calif. – Responding to consumers drained by years of rapidly escalating health care costs and health insurance prices, Kaiser Permanente's Southern California Region today announced new plans for individual purchasers that reduce monthly premiums nearly 50 per cent in many cases in return for an annual deductible.
"It's very clear that consumers are looking for affordable options, as opposed to the single premium for comprehensive benefits that has been Kaiser Permanente's hallmark," said Richard Cordova, Kaiser Permanente Southern California's president. "The new deductible plans reduce the monthly premium and that helps consumers who are looking for affordability."
Cordova went on to say that the mission of the almost 60-year-old Kaiser Permanente -- improving the health of its members and the communities it serves by providing quality, comprehensive health care -- has not changed. "We've listened to consumers and the new deductible plan will enable more people to gain access to our medical program," he said.
Under the new plans, a variety of prevention services -- including recommended immunizations for children and adults, vision and hearing examinations, prenatal and well-baby care, and family planning services -- will not be subject to the deductible. Immunizations and many health education classes area available free of charge.
"The new plans represent a change in how some members pay for their medical care. Every member will still get the unique benefits of Permanente medicine, like preventive screenings and evidence-based care," said Jeffrey Weisz, M.D., medical director of the Southern California Permanente Medical Group, the physicians who care for Kaiser Permanente members.
The new deductible plans for individuals significantly cut monthly premiums. For example, a Kaiser Permanente individual member under 30 years of age with the most comprehensive coverage currently pays a $154 monthly premium. Under the new $1,500 deductible plan, the premium drops to only $73, a reduction of more than 50 per cent. Under the new deductible plan for families, a current premium of $588 for a "30-39 family" drops to $283. The family deductible is $3,000.
Deductible plans for individuals are available now with effective dates of June 1. Group deductible plans will be offered in the coming months, with a July 1 effective date for small groups and January 1 for large.
About Kaiser Permanente
Kaiser Permanente is America's leading integrated health plan. Founded in 1945, it is a nonprofit, group practice prepayment program with Southern California headquarters in Pasadena, California. Kaiser Permanente serves the health care needs of 3.3 million members in Southern California. Today it encompasses the nonprofit Kaiser Foundation Health Plan, Inc., Kaiser Foundation Hospitals and their subsidiaries, and the for-profit Southern California Permanente Medical Group. Kaiser Permanente's Southern California Region includes more than 49,900 technical, administrative and clerical employees and caregivers, and more than 6,000 physicians representing all specialties. More information about Kaiser Permanente can be found at kaiserpermanente.org.
