Considering opting out of BC MSP

[jazibkg]

Dear fellow members,

I recently made a permanent move to BC. I was notified in a letter by Health Insurances BC that I would not be eligible for MSP coverage under my parents account (due to my age / no enrollment in an educational institution in BC).

If I were to apply for MSP now, will I be charged premiums retroactively (i.e. from the date of potential coverage) or will I be charged for the time since when my own MSP account becomes active?

Since then, I have made no attempt to apply for coverage as it would entail me paying hefty premiums for a service I will probably not use, and because I am unemployed currently and hence I am considering opting out of the MSP program of BC since I would be unable to afford the premiums.

Before moving to BC, I was living/working in the UK (where NHS/healthcare is free) for a period of 4 years (hence ineligible for premium assistance), in which I not once used either the public funded NHS service or my employers' private medical insurance through AXA PPP. We were also unaware of the fact that healthcare wouldn't be 'free' for us in Canada and therefore have not budgeted for this expense.

I wanted to know what type of typical costs I'm looking at in case I have to make use of e.g. a hospital's emergency center? And if under any circumstances opting out could be a good decision?

 

[scylla]

I think opting out is a terrible decision that could end up being very costly even if you do something as simple as break a leg or need stitches.

If you go for a very basic emergency room visit where they check you out and maybe perform an x-ray - but nothing is really wrong - I'd budget $500-$1000. Anything more than that - start adding zeros.

 

[petersiddle28]

If you plan to live in BC thats the dumbest thing to do, and btw you cannot opt out retroactively and still owe them.

Although enrolment in MSP is mandatory, it is possible for adults (but not minor children) to formally opt out of MSP coverage by completing an Election to Opt Out statement. B.C. residents who opt out are responsible for the payment of all medical, hospital and other health care services received during the 12 month opt out period. An Election to Opt Out form must be completed each year. Residents cannot opt out retroactively in order to eliminate an outstanding premium debt; any outstanding amount is a debt owed to the province and is collectable under law. For details, see Information About Opting Out of Ministry of Health Programs (PDF 120K). To obtain an Election to Opt Out form, contact MSP. If you are considering opting out because of financial difficulties, see Premium Assistance.

 

[canuck_in_uk]

If I were to apply for MSP now, will I be charged premiums retroactively (i.e. from the date of potential coverage) or will I be charged for the time since when my own MSP account becomes active?

Before moving to BC, I was living/working in the UK (where NHS/healthcare is free)

I wanted to know what type of typical costs I'm looking at in case I have to make use of e.g. a hospital's emergency center? And if under any circumstances opting out could be a good decision?

You would not be charged premiums retroactively. They only start charging when your coverage actually begins.

The NHS is not free. It costs over £100 billion per year, most of which is funded from taxes and NI; a person earning £25 000 a year pays about £1000 to the NHS.

As said above, opting out is not a good idea but it is entirely your decision. One accident or one serious illness and you could find yourself in a serious amount of debt for a long time.

 

[jazibkg]

You would not be charged premiums retroactively. They only start charging when your coverage actually begins.

The NHS is not free. It costs over £100 billion per year, most of which is funded from taxes and NI; a person earning £25 000 a year pays about £1000 to the NHS.

As said above, opting out is not a good idea but it is entirely your decision. One accident or one serious illness and you could find yourself in a serious amount of debt for a long time.

NHS is free in the sense that I never had to specifically pay for it when I was NOT earning anything above the income tax threshold, and paid it on any income earned above the lower earnings level for NICs. Even when I was paying taxes/NICs, they were automatically deducted from my payslip so wasn't something worth the hassle to worry about for me, and was 'free' when I was a student/part-time employed or unemployed. In BC, I'm supposed to pay for MSP even when I'm unemployed. There is a marked difference.

Good to know it will not be charged retroactively. I'll just let it be for now then I guess.

 

[canuck_in_uk]

In BC, I'm supposed to pay for MSP even when I'm unemployed. There is a marked difference.

That difference is only for those new to Canada or returning to Canada after a long absence.

Those who have been residing in Canada for at least a year as a citizen or PR do not pay MSP premiums when unemployed or earning below a certain income. As a PR, once you have been living here for a year, you will qualify for Premium Assistance as well.

I grew up here; I went straight from my parent's plan to 100% Premium Assistance and never paid a penny while I was going to school, working part-time or unemployed. Even when I was working full-time for 6 months after graduating university, I still qualified for 100% Premium Assistance. However, I then moved out of Canada for 5 years. When I returned, I no longer met the 1 year residency requirement to qualify for Premium Assistance and had to pay the full premiums.

 

[jazibkg]

That difference is only for those new to Canada or returning to Canada after a long absence.

That difference is all what matters right now for me, and immediate family. Fact is I'm supposed to pay a premium for a service I would hardly use in Canada and I wasn't required to pay for it earlier. It is an extra expense for me.

And I'm sure your parents were still being billed even when you didn't have to pay for the MSP yourself, like when you were in school or something.

How's the UK to Canada transition you found though? I'm finding it rather inconvenient. When I moved to the UK from Pakistan was a fairly easy transition, no complexities such as these involved at all...missing the easy life of the UK. Only if I knew what I was getting myself into and didn't cave into the family pressure for moving to Canada...*sighs*

 

[canuck_in_uk]

And I'm sure your parents were still being billed even when you didn't have to pay for the MSP yourself, like when you were in school or something.

How's the UK to Canada transition you found though?

My dad's extended benefits actually covered our MSP premiums, so my parents never paid for me or themselves. When I came off of their account, it was straight to 100% Premium Assistance for the next 4 years.

It wasnt really a transition for me, I'm from BC. I lived in the UK for 2 years and was happy to come home.