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"Medical insurance" in the US mostly doesn't meet either of those criteria.

And we'll have problems with it until it does.

I believe many people do have options already. When I go to bluecrossca website and ask for medical insurace for 2 people at age 50, you get 16 insurance quotes ranging from $269/month to $1103/month.

At $269/month, there is a $2500/member deductable, $5000/member max out of pocket/year. Rx not covered.

Would this medical insurance meet your stated criteria?


It would meet those two criteria, and is clearly a step in the right direction. However...

You wouldn't expect your auto insurance to pay more after you run into a tree if, a week earlier, you'd replaced a broken rear-view mirror, than it would pay if the mirror hadn't been broken. Potentially-covered but minor incidents don't count against the deductible for major incidents. And the insurance company will probably never even see any paperwork on the minor incidents.

Yet even with a high-deductible health-insurance policy, the insurer normally will see (and, more importantly, have to process and tally) paperwork on minor claims that are well below the deductible - because it's a per-year deductible, not a per-incident deductible.

Obviously, this drives up the cost of the insurance.

Another effect of this is that the people who EXPECT to exceed their deductible for the year (and they are the ones who normally consume the largest share of medical care), don't care about the cost of ANY potentially-covered care.

And covering some care (surgery) but not other care (prescriptions), based on form rather than price or need, will sometimes mean favoring expensive care over inexpensive care as a way to reduce out-of-pocket costs. Not obviously wise.
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