Help me out here:dual wrote: ↑Tue Oct 22, 2019 6:55 pm Suppose the worst happened and OP incurs large medical bills. It is not the end of the world. He could clear his debts through bankruptcy and his family could go on Medicaid. Medicaid provides decent medical care. Here in CA about 1/3 of the population is on Medicaid (they call it MediCAL here). I am sure other states have similar proportions.
With the income earning potential of the OP and his wife, they can rapidly recover from this terrible and rare^2 probability event.
OP can invest the saved premiums in an index fund and build up a cushion for future expenses.
My bottom line: I think OP should self insure.
If one “clear(s)” one’s medical debts through bankruptcy, how much money would one have left over at the conclusion of the bankruptcy process?
And if one plans on using the bankruptcy process to deal with medical debt, what would be the point of saving the (unpaid) insurance premium amount in an index fund?