His plan must be subsidized by the state - I have a very similar plan (with an even higher deductible) for myself and my family and it costs $950 a month.
I haven't seen any indications anywhere that California provides funds to my insurance company. However, plans do cost different amounts in different states.
You are healthy and don't have any dependents. I don't think you could take care of the general population on $1100 per person per year, even if you cover the low cost stuff. My rough calculations show we spend about $7500 person/year right now. Obviously we have lots of cost issues and such, but even with efficiency savings, someone has to be making the difference up.
