16th July, 2010 - Posted by Admin - No Comments
A New Idea To The Health Insurance Crisis In America
Lack of health insurance coverage for over 41 million Americans is one of the nations most pressing problems. While most elderly Americans have coverage through Medicare and nearly two-thirds of non-elderly Americans receive health coverage through employer-sponsored plans, many workers and their families remain uninsured because their employer does not offer coverage or they cannot afford the cost of coverage. Medicaid and the State Childrens Health Insurance Program (SCHIP) or HAWK-I here in Iowa help fill in the gaps for low-income children and some of their parents, but the reach of these programs is limited. As a result, millions of Americans without health insurance face adverse health consequences because of delayed or foregone health care and extending coverage to the uninsured has become a national priority. -(Information taken from kff.org)
The number of people that are forced to go without health insurance is nothing less than a crisis in this country today. We have fallen into a vicious cycle over the last few decades in which health insurance premiums have become too expensive for even a middle class family to afford. This in turn results in the inability of the uninsured to cover medical costs which often times results in the financial ruins of the family, and in turn results in the continuing loss of income by the medical community, which in turn drives the cost of medical expenses higher, finally cycling back to the insurance company which then must drive the premiums of health insurance higher to help cover the rising cost of health care.
Many proposals have been tossed around by politicians on both sides of the isle ranging from socializing health care comparable to the Canadian system, to endorsing health savings accounts and cracking down on frivolous law suits against the medical community. Many of these proposals have good points, but along with whatever good points they bring they also bring major downfalls. For instance; a socialized national health care program would eliminate the need for health insurance all together and the cost would be taken on by taxes, which in theory doesn’t seem like a bad idea. However, the downfalls to this system include a deficit in new doctors willing to get into the field due to the inevitable decline in income while the demand would grow due to no personal responsibility. In short if people didn’t have to worry about deductibles or copays that would normally keep the person from seeking medical treatment for minor things, they would simply go to the doctor every time they had an ache or pain. So now we have waiting lines for people with major health problems since everyone is scheduling an appointment while at the same time we are loosing doctors due to lack of incentive.
The current battle cry by the republican Bush administration is to push HSA’s (Health Savings Accounts) which reduce premium by taking a less expensive high deductible health insurance plan with a tax deferred savings account that earns a small interest on the side that you contribute to along with your premiums each month. Any money withdrawn from the savings account for qualified medical expenses are taken “tax-free”, and unlike a flex spending account like many people are familiar with in employer based plans, you don’t lose the money you put into the account that you don’t use. Basically if you never used any of that money in the savings account you could withdrawal or roll it over into another vehicle once you turn 62 12 penalty free to be used for retirement. This is a viable option for some people, however for many the premiums for these plans are still too expensive, and the problem remains that if you need major treatment in the first few years of the policy you will not have a big enough amount in the savings account to help cover the gaps leaving that person responsible for a large portion of the cost out of pocket.
Now we come to what I believe is one of the biggest problems from a health insurance agent’s point of view, which is the inability for persons with pre-existing health conditions to obtain coverage. From the number of people that contact my office searching for health insurance coverage, I would have to say that about half of them have a health condition that will either result in an insurance company declining that persons application, or result in an amendment rider which basically excludes coverage for any claims related to that condition. An example of a condition that I run across constantly is hypertension or high blood pressure. This condition will sometimes result in a company declining an application all together if other factors are involved, but most generally result in an amendment exclusion rider. You may think that this isn’t that big of a deal, after all, blood pressure medicine is about the only thing they would have to pay for out of pocket, but what many people don’t realize is that this rider will exclude ANYTHING that could be considered part of this condition including heart attacks, strokes, and aneurisms which would all result in a huge out of pocket claim. Consider the fact that my father had a double by-pass surgery recently that ended up with a final bill of around 150,000. This whole amount would have had to come out of pocket had he had a hypertension rider on his health insurance policy, not to mention the added cost of 2 months off of work thrown into the mix. On a modest income of 40,000 per year this would have ruined him financially.
So what how do we fix this problem? Obviously the proposals thus far have been flawed from the beginning, and even if one of these plans gained support from the American people chances are it would never be passed into law simply due to political infighting. One side wants to keep health care privatized while the other wants to socialize it, which as we discussed before both have upsides and downsides. It seems that we are doomed on this issue and there is no real ideas or light at the of the tunnel right? Maybe not, let me tell you about a client I had in my office a couple of years ago.
A young woman came in wanting to compare health insurance plans to see if there were any options for her and her family. She had several children and had been on Title 19 Medicaid and had been going to college paid by the state. She had recently graduated from college and had gotten a job with the local school system, however for whatever reason she was not eligible for health insurance benefits. Obviously she still couldn’t afford 5 or 6 hundred pounds per month for a plan so she went back to the aid office and explained her situation. They ended up working with us to find an acceptable private health insurance plan and reimbursed her for a percentage of the cost which I didn’t even know was possible!
This got me thinking, consider how many more people would be able to obtain coverage if they could be reimbursed by the government a percentage of the premium according to their income. For example; take a young married couple in their 20’s with one child, let’s say that their family income is 25,000 and that the average premium for a 500 deductible health insurance plan for them is 450. Just as an example let’s say that the government determined that a three person family with an annual income of 25,000 is reimbursed 50% of their premium taking the actual cost to the family to 225 per month. This is now an affordable enough premium for the family to consider.
With this merging of private insurance with government assistance we get the best of both worlds. Of course the next question goes to cost, how much more would this cost the American tax payer and how much would this raise taxes? I don’t think that it would cost the tax payers much more an here’s why I think that: First off we would bring down significantly the amount of uninsured people that are unable to pay for the medical care they get in turn driving down the total cost of health care. Secondly the number of people that are forced into bankruptcy and driven to Medicaid Title 19 assistance due to medical bills stemming from catastrophic medical conditions that don’t have health insurance coverage would be significantly reduced. This is important to keep in mind considering that once someone is on Medicaid they are receiving health care basically 100% covered by the government so there is no more incentive to not seek treatment for minor or non-existing conditions. On the flip side many conditions that would have not been caught before they became severe because a person didn’t seek treatment due to not having insurance coverage would now be caught before they turned into a catastrophic claim. Finally, if the government allocated a certain amount of money to help cover claims by people that have pre-existing conditions the private insurance companies could do away with exclusions and declines due to already existing health problems, this is already done is some states such as the HIPIOWA Iowa Comprehensive Plans which insures Iowa residents that can not obtain coverage elsewhere.
You may be sitting there thinking that this is all just wishful thinking and that these ideas could never be implemented, but all of these ideas are already being implemented. The problem is that only some states do some programs and not even most health insurance agents know that some low income families can get reimbursed for health insurance premiums. If these programs were all standardized and put into effect on a national well publicized level I believe it would put one hell of a dent in the uninsured population in this country. Now I don’t pretend to know what the reimbursement levels should be for what income levels but I do know that anything is better than nothing, and in my opinion this is the best middle ground we could find. The Democrats would be happy with the socialized aspect of the reimbursement, and the republicans should be happy that health care remains privatized giving this solution a better chance at a by-partisan backing.
I have faxed this idea to several senators and congressmen but always received the same type of standard response about how they are concerned with health care and that they are working hard to find a solution knowing full well that no one really even read my letters. The only way to get these ideas out into the public is for you that read this to pass it on to others by word of mouth, by email, or by linking your websites to this webpage. If enough buzz is created than these ideas would get the consideration that they deserve, and if enough people like you and I demanded that a solution be found than perhaps enough stress can be placed on the politicians to get something done. The number of uninsured Americans is only going to go up, the cost of health care is only going to go up, and the cost of health insurance premiums are only going to go up if something isn’t done now! Until then the only thing that I as a health insurance agent can do is to compare all of the options out there and present you with the lesser of all of the evils, which in too many cases the option that is chosen is the biggest evil of going without coverage.
9th July, 2010 - Posted by Admin - No Comments
A growing number of colleges and universities have instituted a new requirement-student insurance.
However, when they attempt to comply, some students find that the insurance plan offered by their college may be less than adequate or that they are no longer eligible for coverage under their parents’ health plan. Others find that their school is outside the HMO or PPO region or their parents’ plan.
An alternative is purchasing insurance coverage through a plan designed specifically for college students.
When selecting such a plan, it’s wise to compare the cost of a college-sponsored plan against other policies and to find one that’s really designed to fit a student’s lifestyle. You might be surprised to learn that a college-sponsored plan isn’t necessarily the most affordable or comprehensive coverage available. What’s more, the plan should accommodate travel and stay in place should a student transfer to another school. Also, the coverage should be in place year-round, not just during the school year, and be priced to fit a student’s budget.
Experts say one policy that fits these criteria is Student Select from Assurant Health. This permanent, renewable, individual medical insurance plan is designed specifically for college students under the age of 30. Students must be under the age of 30 when they apply but they can keep renewing the plan when they are no longer in college and keep it up to the age of 65.
Since the policy is not an HMO plan, you can visit the doctor or hospital of your choice. No referrals are needed, no non-network penalties are incurred.
The plan can be paid for on an annual or semiannual basis. The company offers two convenient payment methods of credit card or personal check. Both the annual and semiannual payment options are available with the credit card payment method.
If you are not satisfied with the plan, you can return the contract within 10 days of delivery for a refund. If a cancellation request is received after the 10-day period, a prorated refund will be provided as described in the contract.
25th June, 2010 - Posted by Admin - No Comments
Health is the biggest and most crucial asset of every living being. An unhealthy animal and individual can never truly experience any joy. It is the wealth of health that provides the requisite potential to topple over all odds and to move ahead with life. So such an essential part of a persons life demands extra care and concern. An ideal way to secure an individuals prized possession for
him and for those who love him is a health insurance policy.
A health insurance policy is meant to financially assist a person in case there occurs a setback to his health. For instance he is afflicted by some grave disease, meets an accident, becomes handicapped etc. In order to provide complete service and for the all round development of the individual the health care system of America offers ample of options or different types of health insurance for its citizens. Some of these are explained below:
Preferred Provider Organization or PPO is a discount form of health insurance policy. PPO has a complete network of health care providers from hospitals to doctors. If an individual has taken PPO policy and takes treatment from any of these assigned providers, the PPO covers his complete medical treatment. While if the person takes recourse to some other doctor or institution, he gets served at a reduced rate. PPOs thus facilitate medical services at abridged rates.
One immensely cheap form of health insurance is the catastrophic health insurance. This sort of policy is basically meant for the people who have the financial means to manage regular illnesses and hospitalizations. The deductibles i.e. the sum of money an individual for these policies are quite large for this policy. At times there are caps on the amount the policy will pay in case of illness.
A Short term health insurance policy is akin to a life insurance policy in the sense that both can be adopted for a specific tenure. This policy covers catastrophic to comprehensive cases and excludes the situation of pregnancy and childbirth. Quite often it is hard to qualify for these policies as there are strict conditions or qualifying procedures. Moreover these policies may not cover any pre-existing medical conditions.
HMOs or the Health Maintenance Organizations also offer health insurane t significantly lower premiums. But the disadvantage is that they confine the sources a person may seek in non-exigency situations. HMOs do not cover the precautionary measures such as immunization, mammograms and physicals. There are quite a few issues associated with the HMOs. For instance it is believed that doctors receive financial perks for deducting the cost of medical services to patients. One way to do this is to pay monthly fee to the doctor for each patient despite of delving in to the issues of what treatment the latter one needs.
There are also full-service health insurances. The lucrative feature of these policies is that they cover all sort of illnesses, cover any medical treatment the patient takes regardless of the institution or doctor and the deductibles are at the discretion of the policyholder. He may pay a high or a low one.
Medicare or Medicaid insurances are meant for the retired or the low-income individuals.
11th June, 2010 - Posted by Admin - No Comments
With Canada so close to the US, it is easy to forget that Canada is another country and even though we feel at home when we go there, there are formalities one must have in mind like having a travel health insurance because the American healthcare system does not pay for treatment outside the US.
There is hardly anything special in purchasing a travel health insurance plan when going to Canada that is very different from doing it for any other part of the world. Maybe one difference is that Canada has a high standard of living and therefore you can reasonably expect that there, like at home, medical and dental services will be more expensive than those in some Third World countries. And this is one more reason to look for the best, not the cheapest travel health insurance plan.
As far as money is concerned, a regular basic plan usually provides coverage for you and your family amounting about 50,000 CAD (about USD 43,000), which is usually enough to cover ambulance service, laboratory examination, doctors fees, a short stay in the hospital, etc. But if you are afraid that this is not enough, there are companies that offer over USD 1,000,000 as coverage. And if you go to ski in Calgary, for example, or go on a fishing trip to Ontario, do not let a broken limb (400-500 with therapy, crutches, etc.) break both your mood and finances.
There are many Canadian companies that offer travel health insurance to Americans and there are many American companies that offer the same for Americans going to Canada, so the choice is unlimited. Just visit their sites and spend some time with the online calculators that allow to enter your age, the duration of the trip, the destination province and your medical condition, and in no time at all you will have plenty of offers to choose from!
28th May, 2010 - Posted by Admin - No Comments
Scam insurance is not new – criminals have been selling fraudulent policies since health insurance came into being. But with today’s skyrocketing health care costs, more consumers are seeking affordable access to quality care, which provides scam artists with fertile hunting grounds.
By appealing to consumers’ insurance cost concerns, these individuals successfully entice more than 100,000 Americans into purchasing sham health insurance every year.
Consumers should always be on the lookout for common insurance scams. Some warning signs of fraudulent plans include:
*dramatically low premiums;
*guaranteed coverage – regardless of pre-existing conditions;
*lack of the word “insurance” anywhere in the materials;
*plans that ask for premium payments in cash or for an entire year up-front.
It is important to evaluate the agent selling the plan. Agents who claim that they do not need a license to sell insurance or imply that their product is exempt from state regulation should be rejected. Consumers should be wary of any agent claiming to represent a medical provider who solicits customers door-to-door or patrols neighborhoods encouraging residents to visit a mobile clinic for routine checkups or tests.
Many organizations, including the National Association of Health Underwriters, are educating their members and consumers about how to recognize insurance scams and protect against them.
To keep from being victimized, consumers need to do their research and use a reputable insurance agent or broker who is knowledgeable about scam insurance. Consumers can locate a local NAHU member to help them find the right health insurance plan by going to www.nahu.org and using the “Find an Agent” feature.
Suspected insurance scams should be reported as soon as possible. Most states sponsor fraud bureaus that investigate insurance scams, and some even reward whistleblowers if there is a conviction.
The financial effects of these schemes are felt throughout the entire health care industry. Victims of insurance fraud will have to repay uncovered medical bills and depending on how long they go without legitimate insurance coverage, may also lose health care insurance access permanently. Health care facilities and medical professionals, meanwhile, may never be paid for the treatments they administer.
The only way to stop the spread of insurance scams is to learn how to detect fraud and work to prevent such criminals from succeeding.
21st May, 2010 - Posted by Admin - No Comments
It is an old saying Health is Wealth. The most important step to maintain this wealth is to get a health insurance policy for you as well as your family. But, sometimes the premiums of such policies can leave you in and out of the budget situation. Can you really do something to bring down your premium? Read on to learn about the 5 quickest ways to lower your health insurance premium.
1.Adopt a healthy lifestyle
Living a healthy life has many benefits. Your healthy lifestyle can easily help you in bringing down the health insurance premium. Exercise regularly, eat healthy diet, avoid smoking and heavy drinking and your visits to the doctor will surely be minimized. The healthier you are, the lesser you are represented as a risk for the insurance company.
2.Shop for the best available price
One of the best options to keep your premium lowest is to go out and shop around for the health care policy. This will ensure that you find the best available policy that fits in your budget. Do a thorough research before investing in any policy. You can get information from your friends and relatives or even Internet.
3.Take up plans with higher deductibles
Insurance plans with higher deductibles tend to have lower premiums. Typically, deductible is the amount you are expected to pay toward hospital, doctor, and other medical bills. Taking up a plan with a higher deductible may not be a universally applicable idea. If youre generally healthy and do not fall ill very frequently, then you can take up this plan. This way you can keep your premium at a lower rate and avail basic health care facilities as well. But, if you have a history of some major consistent illness, avoid taking this plan.
4.Take up a policy early in your life
The premium varies to a great extent with the age of the person. Try and get a policy as early in your life as you can. For example, if you buy a policy at the age of 25, then youll have to pay lesser premium but, if you go for the same policy at the age of 50 youll end up paying a raised premium amount.
5.Get in touch with independent insurance agents
You can take help from independent insurance agents. These agents represent several insurance agencies and can guide you to pick the right kind of health insurance policy and then plan your premiums at an affordable rate. Since independent agents will compete to get the business so youll get serious offers quickly.
14th May, 2010 - Posted by Admin - No Comments
Health Savings Accounts are an excellent way to build a second retirement account. These tax-favored accounts, which have only been available since January of 2004, can be opened by anyone with a qualifying high-deductible health insurance plan. Once you open an HSA account, you can place tax-deductible contributions into it, which grow tax-deferred like an IRA. You may withdraw money tax-free to pay for medical expenses at any time.
The biggest reason more people don’t retire before age 65 is lack of health insurance, and many Americans reach age 65 woefully unprepared for the medical expenses they’ll face once they do retire. One of the most important long-term reasons for establishing an HSA is to build up some money for medical expenses incurred during retirement.
Fidelity Investments reports that the average couple retiring in 2006 will need 190,000 to cover medical expenses during retirement. This assumes life expectancies of 15 years for the husband and 20 years for the wife.
HSAs are, without exception, the best way to build up money to pay for medical expenses during retirement. You should not contribute any money to your traditional IRA, 401 (k), or any other savings account until you have maximized your contribution to your HSA. This is because only health savings accounts allow you to make withdrawals tax-free to pay for medical expenses. You can take these distributions anytime before or after age 65.
Your HSA contributions won’t affect your IRA limits — 3,000 per year or 3,600 for those over 55. It’s just another tax-deferred way to save for retirement, with the added advantage being that you can withdraw funds tax-free if they are used to pay for medical expenses.
For early retirees who are healthy, a health savings account can also be a smart option to help lower their health insurance costs while they wait for their Medicare coverage. The older someone is, the more they can save with an HSA plan. For many people in their 50’s and 60’s who are not yet eligible for Medicare, HSAs are by far the most affordable option.
Any money you deposit in your health savings account is 100% tax-deductible, and the money in the account grows tax-deferred like an IRA. For 2006, the maximum contribution for a single person is the lesser amount of your deductible or 2,700. In other words, if your deductible is 3,000, you can contribute a maximum of 2,700; if your deductible is 2,000, then that is the maximum. For families, maximum is the lesser of 5,450 or the deductible.
If you’re 55 and older, you can put in an extra 700 catch-up contribution in 2006, 800 in 2007, 900 in 2008, and an additional 1,000 from 2009 onward. The contribution limit is indexed to the Consumer Price Index (CPI), so it will increase at the rate of inflation each year.
How much you accumulate in your HSA will depend on how much you contribute each year, the number of years you contribute, the investment return you get, and how long you go before withdrawing money from the account. If you regularly fund your HSA, and are fortunate enough to be healthy and not use a lot of medical care, a substantial amount of wealth can build up in your account.
Health savings accounts are self-directed, meaning that you have almost total control over where you invest your funds. There are numerous banks that can act as your HSA administrator. Some offer only savings accounts, while others offer mutual funds or access to a full-service brokerage where you may place your money in stocks, bonds, mutual funds, or any number of investment vehicles.
One of the biggest advantages of retirement accounts like HSAs are that the funds are allowed to grow without being taxed each year. This can dramatically increase your return. For example, if you are in the 33% tax bracket, you would need a 15% return on a taxable investment to match a tax-deferred yield of only 10%.
As another example, if you are in a 33% tax bracket and were to invest 5,450 each year in a taxable investment that yielded a 15% return, you would have 312,149 after 20 years. If you put that same money in a tax-deferred investment vehicle like an HSA, you would have 558,317 – over 240,000 more.
Because catch-up contributions are allowed only for people age 55 and older, if one or both of you are under age 55 you should establish your HSA in the older spouse’s name. This will allow you to capitalize on the expanded HSA contribution limits for people in this age range and maximize your HSA contributions. Once that person turns 65 and is no longer eligible to contribute to their HSA, you can open another health savings account in the younger spouse’s name.
Strategies to Maximize your HSA Account Growth
If your objective is to maximize the growth of your HSA in order to build up additional funds for your retirement, there are three important strategies you should implement.
Strategy #1: place your money in mutual funds or other investments that have growth potential. Though this is riskier than placing your money in an FDIC-insured savings account, it is the only way to really take advantage of the tax-deferred growth opportunity that an HSA provides.
Strategy #2: delay withdrawals from your account as long as possible. Though you may withdraw money from your HSA tax-free at any time to pay for qualified medical expenses, you do have the option of leaving the money in the HSA so that it continues to grow tax-free. As long as you save your receipts, you can make medical withdrawals from your account tax-free at any future date to reimburse yourself for medical expenses incurred today.
As an example, let’s say a 45 year old couple places 5,450 per year in their HSA over a period of 20 years, they have 2,000 per year in qualified medical expenses, and they get a 12% return on their investments. If they withdraw the 2,000 from their HSA each year, they’ll have a net contribution of 3,450 per year into their account, and they’ll have 248,581 in their account when they begin their retirement years.
If on the other hand they delay withdrawing that money, they will have 392,686 in their account at age 65. If they choose they can withdraw the 40,000 to reimburse themselves tax-free for the medical expenses incurred during that 20 year period, and still have 352,686 in their account – over 100,000 more than if they had withdrawn the money each year.
Strategy #3: make the maximum allowable deposit to your HSA at the beginning of each year. Even though you are allowed until April 15 of the following year to make deposits to your HSA, you should take advantage of the tax-free growth in your account by funding it as soon as possible. The extra interest you can earn by contributing to your account on January 1 of each year rather than the next April 15 can amount to over 40,000 in a 20 year period, and over 100,000 in 30 years.
Using Your HSA to Pay for Medical Expenses during Retirement
When you enroll in Medicare, you can use your account to pay Medicare premiums, deductibles, copays, and coinsurance under any part of Medicare. If you have retiree health benefits through your former employer, you can also use your account to pay for your share of retiree medical insurance premiums. The one expense you cannot use your account for is to purchase a Medicare supplemental insurance or “Medigap” policy.
Though Medicare will pay for the majority of health expenses during retirement, there many be expenses that Medicare will not cover. Nursing home expenses, un-conventional treatments for terminal illnesses, and proactive health screenings are all examples of medical expenses that will not be paid for by Medicare, but that you can pay for from your HSA.
Long-term care is assistance with the activities of daily living, such as dressing, bathing, or feeding yourself. It can be provided in your home, a retirement community, or a nursing home. Long-term care expenses can be paid for using funds from your HSA, and long-term care insurance can even be paid for from the HSA up to the following maximum annual amounts:
- Age 40 or under: 260
- Age 41 to 50: 490
- Age 51 to 60: 980
- Age 61 to 70: 2,600
- Age 71 or over: 3,250
To establish a health savings account, you must first own an HSA-qualified high deductible health insurance plan. Compare HSA plans side by side to determine the best value to meet your needs. Once you have your high deductible health insurance plan in place, you can open your Health Savings Account with the financial institution of your choice.
7th May, 2010 - Posted by Admin - No Comments
Health insurance is designed to protect against loss of income and expenses for medical care. There are two broad categories of health insurance policies: disability income policies and medical expense policies.
Disability income policies can also be referred to as loss of income, loss of time or replacement income. This type of policy will pay benefits to an insured who is disabled and can no longer work
to earn a regular income. Payments can be weekly or monthly depending on the policy.
Medical expense policies are represented by a wide range of coverage from very minimal to comprehensive packages with multiple coverage. Some include both accidents and illnesses, various hospital expenses and other costs pertaining to medical care such as accident and sickness policies, hospital-stay policies, basic medical expense policies and major medical expense policies.
Any of these policies might cover various combinations of the above and may be paid in a lump sum.Some policies cover only accidents and not illness. As you might imagine, policies like this are very specific about what is considered an accident.
It is important to understand what is defined as an accident as it pertains to the health insurance industry: an accident is an event that is unforeseen and unintended.
Keep in mind that any discussion of this type of policy also applies to any type of policy that includes accidental coverage, not just accident specific policies.
Accident benefits are most commonly paid for accidental loss of life (also called accidental death), accidental loss of limb or sight (dismemberment), loss of time andor income, hospital expenses, surgical expenses, and medical expenses like visits to the doctor.
Accidental death benefit can also be referred to as principal sum. This type of coverage should not be confused with life insurance. There is a world of difference between the two. Life insurance policies will generally be paid regardless of the cause of death. An accidental benefit is paid ONLY if the death is accidental as opposed to a death by natural causes or illness.
The person who receives the death benefit is called the beneficiary. The policy owner has the right and responsibility of naming beneficiaries. Usually there is a primary beneficiary however heshe can assign a second and even a third beneficiary.
The primary beneficiary is the first person in line to receive the benefit in the event of the death of the policy holder. The policy owner can also name a second beneficiary who would receive the benefit in the event the primary beneficiary dies before the insured. Some policies can include a third beneficiary who would be in line after the first two.
There is another important element in regard to accident policies: An accidental death may not be instant. A person can die as a result of an accidental injury months after the accident occurrence. Read your policy carefully because most stipulate that the accidental death benefit will only be paid if death occurs within three months of the accident.
16th April, 2010 - Posted by Admin - No Comments
Scam insurance is not new – criminals have been selling fraudulent policies since health insurance came into being. But with today’s skyrocketing health care costs, more consumers are seeking affordable access to quality care, which provides scam artists with fertile hunting grounds.
By appealing to consumers’ insurance cost concerns, these individuals successfully entice more than 100,000 Americans into purchasing sham health insurance every year.
Consumers should always be on the lookout for common insurance scams. Some warning signs of fraudulent plans include:
*dramatically low premiums;
*guaranteed coverage – regardless of pre-existing conditions;
*lack of the word “insurance” anywhere in the materials;
*plans that ask for premium payments in cash or for an entire year up-front.
It is important to evaluate the agent selling the plan. Agents who claim that they do not need a license to sell insurance or imply that their product is exempt from state regulation should be rejected. Consumers should be wary of any agent claiming to represent a medical provider who solicits customers door-to-door or patrols neighborhoods encouraging residents to visit a mobile clinic for routine checkups or tests.
Many organizations, including the National Association of Health Underwriters, are educating their members and consumers about how to recognize insurance scams and protect against them.
To keep from being victimized, consumers need to do their research and use a reputable insurance agent or broker who is knowledgeable about scam insurance. Consumers can locate a local NAHU member to help them find the right health insurance plan by going to www.nahu.org and using the “Find an Agent” feature.
Suspected insurance scams should be reported as soon as possible. Most states sponsor fraud bureaus that investigate insurance scams, and some even reward whistleblowers if there is a conviction.
The financial effects of these schemes are felt throughout the entire health care industry. Victims of insurance fraud will have to repay uncovered medical bills and depending on how long they go without legitimate insurance coverage, may also lose health care insurance access permanently. Health care facilities and medical professionals, meanwhile, may never be paid for the treatments they administer.
The only way to stop the spread of insurance scams is to learn how to detect fraud and work to prevent such criminals from succeeding.
9th April, 2010 - Posted by Admin - No Comments
Group Health Insurance is an insurance scheme provided by the insurance companies for a group of persons, such as the employees of an organization at a reduced individual rate. Most of the companies provide group health insurance schemes for their employees, which helps the employees to receive health treatments without any cost they need to pay. Group health insurance ensures the employees of an organization to receive medical treatment quickly so that they can avoid waiting long time in queues and other sufferings.
Group health insurance offers lots of advantages to both the employer and the employees. As far as an employer is concerned, the group health insurance scheme will provide enough medical treatment quickly for the staff of his company and thereby ensures speedy recovery from diseases and keeping disruption owing to illness in the office to some extend. The employee can also provide more focus on hisher job as there is no need to worry thinking about the time they want to wait for the treatment on the NHS, or suffering undue pain, or for a diagnosis.
Group health insurance plan offers several valuable benefits for an employee. The main advantage of becoming a member of the group health insurance scheme is that the insured doesnt have to pay large premiums for taking a private health insurance plan. The employee can work without being worried of their health as heshe will surely get quality medical help immediately if needed.
There are several health insurance companies offering group health insurance schemes. Most of the health insurance companies, as part of their Group Health Insurance Plan, provide the insured (the employees of the company) to take a health check once in every year at any private hospital with which the company has tie-up. The health checks will cover a complete check up, which include height, levels of fitness, weight, blood tests, blood pressure. The health checks are done so as to check whether the insured employee is in a good health or to find out a so far undiagnosed condition. What ever be the purpose, the health check is considered to be beneficial for the employee and the employer.
For those individuals who are not a member of the group health insurance scheme has to pay about 150 upwards to perform a complete health check. Hence this is considered as an added advantage for those who are in the group health insurance scheme. Group health insurance also helps to boost the morale of the staffs as they will know that their employer is providing special care about his employees.
Group health insurance schemes will differ from one insurance provider to another. The insurance coverage will also change according to the schemes you select. But there are certain factors which all the group health insurance schemes will cover for:
- In-patient and day-patient treatment
- Out patient treatments such as physiotherapy
- Free Help lines such as a GP Helpline and Stress Counseling Helpline.
- Specialist consultations after getting a referral from the employees GP
Group health insurance policy differs from one insurance company to another. It is always advisable to compare different insurance companies before selecting a group insurance policy. Select the one which suits your company.
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