Thread regarding Chevron Corp. layoffs

Back to the topic of the thread— Retiree Medical Premiums for Early Retirement. I’m retired, not looking to work and under 65. This week, I got a brochure in the mail from Chevron HR. I suppose everyone else too. Does anyone make heads or tails out of what’s being said in the brochure? It’s too confusing and vague, like if written by a used car salesmen. If anyone knows what is coming for 2019, please chime in. Usually when a nice colorful brochure comes out, but is not made clear that anything good is coming— it’s because something not so good is.

@1Qljx, Count me out of the lot who will be taking the ride to the bottom. It’s clear to me the costly healthcare system in the United States will never be fixed. The medical and pharmaceutical lobby is way too strong. Greed and corruption won’t allow the fix to happen while you are under 65. Who knows, even Medicare may soon change and screw over the elderly too. I have cousins in Costa Rica. I moved down there two years ago and purchased a property to live there 6 months out of the year. Nice country. Excellent fishing. I applied and received my legal residency quickly. I now have very inexpensive healthcare insurance in Costa Rica as a resident. I’ll negotiate my medical bills in the US while I’m living here and pay out of pocket. In 2 more years at 65 I’ll get coverage here. As you can see, Im not taking any ride to the bottom and not contributing to the greedy and corrupt medical system in the US anymore.

-1Muip: The health care system in the USA will remain impossibly expensive until there are some fundamental reforms. Easy to complain, harder to agree on a fix. We know it can be done since most of the advanced world has better health care (defined by any average outcome metric you like) delivered at a lower rate (like 50% our cost!). The Democrates tried with Romnicare light to get the needed Republicans on board (aka the Evan Obamacare), only to have it villainized by the Trumpers before it could stabilize enough to lead to cost savings. Ok the exchanges now have huge costs because the individual mandate is gone and all the folks who would rather buy a truck than pay their share of health care are out... perfect....freedom and all that. Very simple to fix, everyone will get great health insurance at a much cheaper cost, easy, simple, let the business man do it... except who would have thought health care was so complicated? How’s that new Trump insurance working out for you and yours? The gutter is waiting, enjoy the ride!

Just listening to the evening news with all the folks in NC who said they had not paid their $700/yr flood insurance because they have never had a flooding problem in the 20 years they have lived in their house .... who knew? That is why they call it insurance... because... who knows. Need I say more?

Yeah, They call it insurance because it protects against the unexpected. But when the cost for the cheapest policy is $1,000 before even using it, I call it a blatant ripoff— especially if you have a clean bill of health at 62. Just hang in there for 3 more years.

They call it insurance because it protects against the unexpected... I am healthy now so should be ok in future... and will get a free truck if i do pay for the unlikely cases that would be covered. You will most likely get your prize, but for some that bet will be a huge mistake. Sorry you have brain cancer and the treatment will cost all you have and more. Do we say to the unlucky few you made your bet now die in the gutter, or do we cover the poor guys treatment knowing that the obvious result is everyone will want their truck and treatment too?

Around $1,000 per month just to say you’re covered and nothing else? Use the insurance for a minimal event that can be paid out of pocket, and you’ll be shucking out even more money. It doesn’t make financial sense to me at 62. I retired to live well, not to piss away my money. That $1,000 a month is what I used to pay when I had a mortgage. I paid that off before retirement. I’ll be damned if I’m going to pay another mortgage to the medical and pharmaceutical ripoff industry. No thanks. Both wife and I in excellent health with 3 more years to reach 65. I’ll wait until then to get onto the Post-65 Chevron Retiree Medical Plan. Much cheaper then.

-1Lkvn. Thanks for the useful info! So a couple in Houston with some medical “issues” would need to budget about $20k/yr during early retirement to continue on the Chevron sponsored plan (15.5k plus 4K med and pr-scrip-ion deductibles, plus $500 for medical incidentals). That is a bit more than what I am finding on the Federal exchange (gold level), but I fear the ACA exchanges are prone to political attack so I would be willing to stick with the safety of a Chevron sponsored plan even if it cost a bit more. Expensive, but doable all things considered. That said, expensive enough that it is important to plan this into any retirement expense calculations. As too going without insurance until 65, no thanks, I worked too hard during my career to play Russian roulette during my end of life planning (and besides I have no need to take that risk).

The High Deductible Medical Plan for a Pre65 couple is $993/mo. What a rip! Almost $1,000 every month just to be covered. Slip on a banana peel and prepare to pay high deductibles then 20% of the remaining doctor and hospital bills. You may as well hand over your entire savings account and you a$$. Not a good choice, people. Save your money and stay healthy. Negotiate the tab with the Doc and pay out of pocket. When your reach 65, go over to the Chevron Plans. Much less expensive then.

The 2018 Chevron Pre-65 Medical premiums are shown below. It’s incredible to believe these steep rip-off prices as compared to when we were active employees. For those of you under 65, please think twice before retiring. For those of you who get laid off, you have my sympathy. The 4 available health plan options for someone in the Greater Houston area, starting with the most expensive to the least; Medical HMO - HMO Blue TX, Medical PPO Plan, HDHP, and HDHP - Basic.

The monthly premiums for each Plan mentioned above are as follows:

You Only: $1150, $649, $478, $466

You + One Adult: $2298, $1296, $996, $933

You + Children or Other Dependent: $1595, $865, $644, $600

You + Family: $2745, $1514, $1142, $1067

These premiums for 2018 do not include any company contribution per month. Though let be it known, a 100% company contribution amount for a retiree does not surpass $105 per month.

High deductible plan and delta dental for 2 adults, ~$1000/month.

-1Kngr: the answer in in the list somewhere, but yes hard to find with all the bs...I thick it was in the neighborhood of 13-14k.

To the anti-health insurance/ACA blowhard, do you carry auto insurance? or is walking your method of ensuring that you won't need any medical care for the several years you smugly insist you don't need health insurance. It's still the law in all states other than New Hampshire and Virginia (two states that you most definitely don't live in) to at least carry some form of auto insurance. Suppose this is just another 'deep state' mandate that the failing SCOTUS won't overturn.

@1Ewkw, The way I see things, there is a big difference, but not the way you describe. Some people qualified to be exempted from having to participate in the ACA or other insurance and being fined. All others were mandated to purchase healthcare insurance (employer, private or ACA) or be fined. My view has always been that it’s unconstitutional to force anyone to purchase something they don’t want. Thankfully, Trump removed the individual mandate from the dying-on-the-vine ACA. No more fines for being without health insurance, if you so choose. Now one can exercise their free will and liberty to have or not have health insurance. That’s going to be my choice starting next year at 62. I’ll start on the Chevron Retiree Medical at 65 when it’s much more affordable. I’m in excellent health and have the money to pay for medical visits out of pocket if the need arises. This may not be everyone’s decision, but it will be mine. Sadly, medical insurance coverage in the US has become too high, bordering on greed. I hope we soon have a Universal Insurance system like Canada or the UK. The big difference is the working class will pay taxes into the system, whereas retired people like me won’t pay a dime. Don’t don’t fret, your time to retire will be here soon enough.

-1Ehhn: There was never any fines for not participating in ACA, there was only fines for not carrying insurance... big difference!

The last two post interchanges in this thread are extreme, immature and unrealistic views. This is America in 2018, not Nazi Germany in the 1940’s. Thank God and the founding fathers of our US Constitution that you and all citizens of our country have free will and liberty to live as we choose, within the bounds of the law. Nobody including the government should obligate anyone to have to purchase anything, albeit the ACA law, which in my view is unconstitutional, though upheld by a failing SCOTUS. Fortunately for everyone Trump eliminated the Individual mandate and fines for not participating in the flawed ACA. If the government would prefer instituting a single payer Universal Healthcare system, like in Canada or the UK, that will be perfectly constitutional and would be something that will be fair for all. Those citizens with means to pay extra for a supplemental policy can do so, and those without the means or preference to do so will stay on the basic coverage. How’s that for a rational solution? BTW, I’m not holding my breath for anyone’s reply.

By my logic those who save well for a rainy day, and keep their insurance and other personal matters in good order, are good solid upstanding citizens. Those that try their best but fall short are sorry sorts that those of us well off in this country can afford to give a helping hand how and again when they are about to fall in the gutter. Those that were able to afford all the basics, including adequate insurance coverage, choose to “risk it” because of their own greed (“personal choice”) and then expect the rest of us to pull them out if all goes wrong are low lifers.

Personal choice on buying health insurance by those able to afford it only makes sense if the rest of us will let you die in the gutter when you run out of money to pay your own medical bills. In fact if you get sick I expect you will be first in line demanding your full share from the public trough. Get real!

Free will to pay thousands for health care insurance so hospitals can charge $20,000 for a tonsillectomy. Or free to do their own surgery at home in their basement with a bottle of whiskey and some tin snips.

Hey -1Aqne. I’m not the poster you direct your disdain to, but another pre65 Chevron retiree. As for myself, I am following the same tact as that guy. I was let go in 2016 and qualified for ACA coverage in 2017. But, since the start of this year decided to free myself of paying all insurance. No healthcare, no dental, no homeowners. I lowered my automobile premiums to liability only. Call me stingy, that’s fine. I really don’t care what others think or say. I’m in really good shape financially and health wise. Last year, while on the ACA, I had a battery of preventative care screenings and tests done including colonoscopy. Clean bill of health. No family history of congenital issues. I’m likely to live until 100. So why be ripped off by the American mafia, as the other guy calls it. It’s true, people think the cost of insurance is fair, but no, it’s a rip off and our government enables it to continue. For me, until I’m 65, it will be out of pocket expenses if the need arises. Good luck to you. It’s your money. Do with it as you please.

1Alqo, Yes, that $56k for 4 years instead of roughly $300 to $500k a year actual costs that we would have to pay for the SERVICES AND MEDS THAT WE ACTUALLY RECEIVE is how we "manage our money well". Take your chance with no insurance, no one is stopping you. No need in trying to convince everyone that your way is best and being a tight-wad with health insurance and taking great risks in retirement years is the best solution to save pennies for most ($56k for 4 years is chump change for a lot of us, just not you). Keep trying to convince yourself though. You may want to try another forum with uneducated people who don't know math, though.

1Alqo I am glad you have a plan that you feel confident with. I just wish eating healthy and exercising could have prevented me, or anyone else, from getting type 1 diabetes, but it can't. If that were the case, I never would have got it, but that has nothing to do with getting that, or many other health conditions. Anyway, as long as you have a plan you are confident with, there is no need for you to look for answers from anyone else for these things or second guess yourself. Just enjoy your retirement and lets all hope that the post 65 retirement plans that we will have to get from that private marketplace will be good, and still there when we hit 65 and beyond, lol. It was good talking with you and I too will close out on this conversation.

Still, 1Awpp, sickly or not, you have a medical condition that is costly to treat. Let’s not split hairs. Your choice is probably the best, to fork over large sums of money to the healthcare mafia. For others not sickly or with conditions requiring constant treatment, I once again reiterate it might be a wise choice to save $56,000 over 4 years, then get into the Chevron Advantage PPO Plan at age 65. Clearly it’s not for you. But, for healthy people with only 4 years to go before they are 65, it’s only a matter of staying healthy, eating well and exercising. The big money you save is better in your bank account than in some rip-off insurance company’s hands. It’s abominable what this country does by allowing its pre-65 retired citizens to be screwed over. That’s the last I’ll say on the subject.

1Aovr, I must have said something a bit wrong because I gave you the impression that we considered not having insurance in retirement and that isn't the case. It was many years ago when I had the way of thinking that insurance was a waste of money, back when I was much younger. I did check into other insurance because with the price of the Chevron retirement insurance, I just thought it must not be that good of a deal, but I found out I was wrong, but I never considered for even one minute not having insurance in retirement. Also, only my husband had a professional paycheck, I did not. I had a low enough wage throughout my life that when I take social security, the amount from my earnings will not be as much as half of his. We have both always managed our money well though, and he saved a good portion of his earnings and invested what was saved wisely enough for us to have a nice retirement, but none of that came from me. As for being sickly, I am not, I just have a condition that costs a lot of money to treat, there is a difference. Also, 5 years ago I was perfectly healthy with no health conditions at all, and within a month, I was close to dead and needing expensive life saving medicine every day for the rest of my life, but there was absolutely no indication whatsoever before that month that would ever be the case. The only reason I mentioned anything about that is as a caution as to what can happen, because if people are anything like I was, they think that because they have no health conditions today, they won't have them tomorrow either, but in my case, that didn't end up being the case and I am not unique in that. I really hope it works out for you to go without insurance, and you stay healthy and not having any medical problems, and chances are, you will, but since I know how quickly one can have those problems, I would never recommend anyone do that, just like I would never recommend anyone go without car insurance, and full coverage at that. Anyway, I have said more than enough, did not mean to go into so much detail about stuff, but I do want to tell you that I wish you well and wish you good health for a very long time and tell you that I hope it all works out for you. :)

@1Askm, so your decision to pay the high premiums was justified— you are sickly. Good choice for you, though the thought did initially cross your mind to go without insurance for a few years until turning 65. That tells me that I’m not wrong in my thinking. For others like myself who are healthy at 61, we can refuse to pay the ransom high healthcare premiums for a short spell, save the money in case we need to pay out of pocket for incidental doctor visits, then jump into the Chevron Advantage Plan at 65, when premiums are less than $150. Your case is also different than mine and many others, you and your husband both worked and pulled down professional paychecks, whereas I was the only breadwinner with a modest paycheck.

1zlva, I am the one who wrote the post right below yours and if that is the post you were referring to, you are very welcome. I missed your post at first and thought 1zqsx was the first one to reply to my post, so when I replied to that post, I thought my post was the one right below that one, and replied to it first, sorry. Anyway, we do not qualify for the ACA plans that come with a lower premium based on income, which is what I think you meant. Our income is too high to get any discounts and the plans that were comparable were much more costly. I also checked into individual plans with BCBS, and those were was also much more than the Anthem BC plan through Chevron. We have been as happy with our insurance as we were before my husband retired, as we have the exact same benefits from it now as we did before. The only thing that changed is the price, which of course we don't like, but it is better than anything else we could get. Chevron has always been good to us and we have found that to be true in retirement too. I hope that helps and I wish you good luck in all you do.

1zqsx, I suspect your comment was directed at me, since I am the one who wrote the post right before yours. I appreciate your concern and thank you for wishing us luck. We are close to the age you said, but I am younger than my husband and he retired a couple of years ago, so he is a bit older than that and I am several years younger than that. I appreciate your concern but we actually manage our money very well, otherwise we would not be able to afford that 1167 a month insurance payment without any hardship whatsoever like we do, but we are. Those who have managed their money well, like we have, can do that and even be able to have the same amount of money in retirement as they did when they were working, even with paying higher insurance costs. Like 1zuxb in the post above yours, paying for quality healthcare is something we are very willing to do as we know it is worth it. Yes I think that is a ridiculous amount of money to pay for insurance, but I think the costs of a lot of things are ridiculous. However, we don't set the price for any of them, so if we want them, we pay the ridiculous price and enjoy what we bought. 1167 a month for both of us is almost half of what it would cost us to buy a comparable policy outside of Chevron, I know because I checked. But I will tell you that at one point in time, I had the same thought as you about not having insurance and just paying out of pocket for things, thought insurance was a total waste of money. The problem with that is, even when one is very healthy, one just never knows when something is going to come up, totally out of the blue, that makes it so if one does not have good insurance, they will likely regret it. I was very healthy and fit all my life, so really, saw no need for insurance, then in my early 50's, I got really sick with what turned out to be something I thought only kids could get, juvenile diabetes, better known now as type 1 diabetes. It is an autoimmune disease and not one person who has it did anything that caused them to get it, which means anyone can get it, at any time, as over half of the people who get it, get it later in life, not when they are kids. It is a very expensive condition that will never go away, regardless of what I do, and the only treatment there is for it is taking insulin. Insulin is very expensive, and I have to take insulin many times a day, every day, for the rest of my life. By taking insulin many times a day and testing my blood sugar levels many times a day, I can live a very healthy and long life, but without taking insulin I will die in a very short amount of time. The cost of my pr-scrip-ions for insulin and test strips alone is over $10,000 a year, and it would really s--- to have to pay for those without insurance and insurance is cheaper. Of course I still pay a portion of it, but it is much better than paying for all of it. Even though I was one of the lucky ones who did not get quite sick enough at diagnosis to end up being in the hospital for a week or more like many are, it was still costly enough when I got sick with it and was sent to the ER that I really appreciated having insurance, and that was before even one bit of insulin was bought or even knew it was going to be. Since then, there have been a couple of other medical things that would have had a ridiculously high price tag if not for having insurance, again, totally out of the blue, and they had nothing to do with me having type 1 diabetes. I know of a lot of people who have cheaper insurance, thought they were getting a good deal, only to find out once they got sick that it really was not a good deal because it doesn't cover what they need. Anyone can get a very expensive, chronic condition at any point in their life, or be hurt badly in some kind of an accident, or have a catastrophic health event at any time, so my recommendation to everyone is, never go even a day without insurance. The price of insurance is ridiculous, but it is nowhere near as ridiculous as the cost of medical care without it. Do what you want to do, but always remember, having good insurance is the first step to wisely managing your money, as even though you have to pay for that insurance, it can help you keep the money you have and allow you to stay alive. Good luck to you in all you do.

I didn’t mention anything about the universal healthcare system as a possible solution for you or anyone. I said what I would have done in your shoes, before hopping on the Chevron PPO at 61. If I was in relative good health at 61, I would have gone without the $1,167 insurance rate for 4 years and saved that money. But if you prefer to piss off $56,000 over 48 months, be my guest. I, on the other hand, would be able to easily pay out of pocket for any incidental visit that I needed to a family Doctor for a checkup or a pr-scrip-ion, and still have a boatload of money left over. Like I said, even if you have money coming out of your ears, you don’t know how to manage it well.

@1zqsx, In a word, no. I will gladly pay for quality health insurance/care and not be subject to an inferior grade/universal type system if I have the option, and I do. I have prepared well and can easily afford that amount, which is relatively small for 2 retirees compared to the cost of a major health event at 61. I managed my finances well enough throughout my entire career such that the cost of $1,167+ expected increases, even forever, without Medicare, is basically peanuts (less than pennies) relative to my portfolio and pension. With a Safe Withdrawal Rate(SWR) of 2% from my investable assets alone I cannot travel, wine, dine, gamble, and spend enough if I went hog-wild to even touch the principal for the rest of my lifetime. I would call that "managing my finances very well". However, you're entitled to your opinion and I enjoy reading it!

Just a simple question— Both of you are around 61 years old, retired and pay $1,167 in monthly premiums for healthcare? Unless one or both of you are sickly, don’t you think that’s a ridiculous amount to pay? I would have gone without insurance until I reached 65, then enrolled in the Chevron PPO. At 65, the premiums go down a lot. Now, your stuck throwing away money for another 4 years while you could have been using that money for other useful things or setting it aside to pay out of pocket for incidental visits to a family Doctor. It’s clear to me you don’t know how to manage your finances very well. Good luck in retirement.

Thanks for contributing one of the only useful posts on this thread! Did you consider AMA or just stay on the Chevron plan? How is it?

I know this thread is a bit old, but just thought I would answer it anyway. My husband retired at 61, after 23 years with Chevron. He had about 82 points and we pay just over $1,167 for both of us (just over $583 each) for our PPO plan with a $1,000 deductible.

Thanks for the info. Also @lqvt, I am 61 and fish every chance I get. My children do not, they are too busy working to pay bills. It's seems that your thinking is a bit backwards - LOL!

OP, my current medical insurance is through a subsidized ACA Plan. I’m able to qualify for it by keeping my taxable retirement savings draw down to a minimum and making up the difference through bank savings and a small side business. I’m three years away from turning 65. I plan to join the CVX Retiree Medical pool at that time when the premiums will drop dramatically.

I am the original poster and almost lost my hope of any valuable response until the last few posts, really appreciate it. It would be nice if someone can share which medical insurance they use before taking CVX medical at 65. Thanks

Thanks, useful info! Ok you can let the children back in;-).

The monthly Medical Plan premiums for a SINGLE Pre-65 Retiree for Jan 2018 are;

1. Chevron Medical PPO (Anthem), $649

2. Anthem HDHP, $498

3. Anthem HDHP Basic, $466

4. Medical HMO (HMO Blue TX), $1150

I am a pre-65 retiree. I retired 2 years ago but decided not to use my one opportunity to get into the Chevron Retiree Medical Plan. I’m on a different plan until I turn 65 then I’ll move into the CVX Medical Plan when it’s much less expensive. I logged into my online account at hr2.chevron.com and entered the Benefits Center area to review the plans that were available to me and spouse only for Jan 2018. There are the 4 possible choices for Pre-65 Retiree Medical for a couple. I will name the Plan and the Monthly premium for each as follows (sorry, I cannot provide the annual deductible to meet, as I would need to take time to open each plan’s details to find that out);

1. Chevron Medical PPO (Anthem), $1296

2. Anthem HDHP, $996

3. Anthem HDHP Basic, $933

4. Medical HMO (HMO Blue TX), $2298

I have a “pre-condition” so I would be keen to hear what folks are paying for a low deductible pre-65 CVX plan. I have significant savings, and would like to retire and have a bit of fun before I die. I do not trust ACA plans given the dedication to the republicans to kill them, and it has proven hard to pin Chevron HR down in estimates of the cost of pre-65 retiree health plans. I just need some ball park figures ... anyone on current CVX pre-65 willing to share their cost numbers?

-kuzo: thanks! Yes I also keep checking this tread hoping to hear some numbers that might help me plan for a potential (wished for) early retirement... if the children would head out fishing for a wee while maybe the adults could carve out a little time for a conversation.