Health Insurance and Uninsurable

Sometimes individuals will find themselves uninsurable for individual health insurance. When this occurs, individuals may feel there is no where to turn. While coverage may not be as comprehensive, you still have options to consider.

Terminal cancer patients and diabetics using insulin are probably not eligible for an individual health insurance. Sometimes when people are turned down for insurance, their questions on available coverage may be left unanswered. Do not despair, the web has most of your answers.

You may seek health insurance coverage from your state. Your state health insurance plan probably will not be as good but it beats nothing. The price will probably be less, however most state plans have only one option. The catch is you must be denied coverage by one health insurance company in your state to apply. Call your state insurance department for more information.

Another option would be a HealthCare Savings Plan. These health plans are not insurance but negotiated fee for service with participating doctors and hospitals. Advantages of such a plan include no waiting period and no exams.

If you find yourself denied for individual health insurance, you still can get coverage. If you are eligible for group health at work, by law you will not denied coverage. Otherwise you may qualify for your state health insurance plan or apply for an Alternative Health Insurance Plan

Long Term Care Insurance: Staying at Home

Long term care insurance is much more than nursing home insurance. Yet many of us have been sold on this idea that "you do not want to be in a Medicaid nursing home and broke." Hopefully after reading this article, you will see long term care insurance in a different light.

It is true that a nursing home's cost can be financially devastating. According to the 2000 ACLI Study, "Can Aging Baby Boomers Avoid the Nursing Home" the average nursing in the US costs $44,100 a year and care in your home is $15,743. Long term Care Insurance polices have been sold on the premise that the cost of the nursing home is going to bankrupt you.

People can relate better to receiving long term care help at home. While it is hard to believe that no one knows someone in a nursing home, it is possible that it may not register. It is unfortunate, but often when people are put in nursing homes, a phenomenon called "out of sight out of mind" can take place. We do not attempt to forget people, but when Ms. Johnson does not call you anymore, you may soon do the same. The reason we illustrate that point is because we all can visualize someone at home, who has a RN nurse or assistant visit them 4 or 5 hours a day, but maybe not at a nursing home.

Long Term Care Insurance protects you not just in the nursing home. The reason to investigate Long Term Care Insurance, is because you can control your environment, and dictate when the nurse will come to your home. If the state is paying for it, they will tell you when the nurse will see you. Besides do you want to have to choose between receiving care and your prescription drugs. Sure people may say that was a horrible thing to say, but it is possible. When you become sick and need long term care, it is too late to qualify for coverage and no knows how long they will be sick. Long Term Care Insurance can allow you the freedom from worry, depending on the coverage you select. Most polices will even train someone to be an informal caregiver, whether it is a family member or friend.

Remember Long Term Care Insurance is more than coverage for nursing home. It provides benefits of care that can take place in one's own home. The picture of someone becoming broke and going in a nursing home is not as vivid as someone needing care at home. The nursing home is usually the last straw, but to be at home and worrying about needing long term care can be emotionally damaging and financially devastating.

Group Health Insurance Quote Tips

Group Health Insurance is necessary to attract and keep good employees. While employers may not like the cost of group health, they should be aware of the benefits to the company and overall morale. There may be things you as an employer can do to alleviate some of this costly pain. Also, all Group Health companies and insurance agents that offer them are not created equal.

The cost of this health insurance versus the need for solid employees should be weighed. There a perception that many in this country that employees will take a cut in pay if they were to be guaranteed a group health plan. There is a simple explanation for this reasoning. People know they will have to go the doctor. Women need to have mammograms and pap smears, the children need their shots and physicals, and men need their prostrate examined, people realize these services cost money. Employees often would prefer that you take money out their check for group health then for them to write a check each month for it.

It is the job of to keep your group health cost to a minimum. If you already have a group health plan, you can raise the deductible to discourage overuse of coverage by your employees. However a dramatic raising of group health deductible or co-payment may cause some rumbling among your employees. Yet it is t is a good idea to start with a lower deductible, so you can absorb rate increases. (Your group health rates will go up) Also know beforehand what networks are in your area, and what health networks most of your employees' doctors belong to.

It is very important to review and understand your group health quotes that you will receive. Any insurance agent or broker that provides you with initial group health quotes over the phone, without having your employees fill out any applications, is doing you a disservice. Unless the agent is the Great Houdini, no one in our field can give you a firm, group health quote without a thorough underwriting. Group Health Insurance is too complicated to be taken this casual. Remember, look for an agent that gets to know your particular situation, understand your needs, and has the group health benefits that meet your expectations.

Is going with the biggest named group health insurance companies, the best choice? Choosing the "big name" companies over less known, group health insurance companies with reputable ratings, may not be in your employees and yours' best interest. All group health plan are not designed the same. If XYZ, group health companies pays 80% for a mammogram and ABC, group health company pays all, could it make sense to you to check the other benefits of the health plan?

Employers realize that they must offer group health to attract and keep quality employees. There are a few hints that can keep group health costs down. It is important to realize that an initial group health quote, with no underwriting is worthless and probably should never be used. The listings of the benefits of the group health plan would be meaningful. While big companies have good "branding," do not overlook smaller group health companies with good ratings.

Do I need Long Term Care Insurance?

Long term care is becoming a major concern not just for the elderly but for all Americans. We are all one moment away from an injury or illness that could require long term care treatment. Yet even if we are fortunate enough to go through life without ever needing personal care, it is reasonable safe to suggest that a family member will.

The image of someone sitting in a nursing home away from their loved ones is a fixture in our minds. However a substantial amount of long term care administrated in the United States is done in one's home. We need to ask are these images of Grandpa by the window in Cherry Acres part of the reason people do not protect against the need of long term care? It could be part of the problem ,but many more seem to be in denial or misinformed. Some people are under the impression that long term care insurance is nursing home only insurance, which only helps to reinforce pictures of Grandpa in the nursing home. While long term care insurance can cover the costs of a nursing home, it also can pay for adult living facilities, adult day care, respite care, hospice, and home care.

The question is who is going to administrate the help needed and pay for it? Many people believe that Medicare will pay for care or that they automatically qualify for Medicaid. Medicare only covers about 17.8% of nursing home costs on a national basis according to WebMD medical News by Patrick McCoy, CLU Legal, article 1601.50107, 1999. Also, based on the number of assets you have in your possession, you may not qualify for Medicaid. So you will be flipping the bill through personal savings or insurance until you are almost destitute. While others believe their family members will take care of them, you mist realize you are taking a big risk. Your family members may not be willing to take care of you 24 hours a day, or quit, or lose income because of you. We are all exposed to the possibility of needing care, and believe me long term care insurance can be more than just nursing home coverage.

Major Medical Health Insurance Definitions

Common Health Insurance Terms that you have seen but may have been afraid to ask.

Co-Payment: This is the amount of money you must pay for services rendered regardless of co-insurance and the deductible. (i.e. Jim goes to the doctor for a physical and is required to pay a co-payment of $15 for the services rendered.) Get Free Health Insurance Quotes for permanent plan individual or family insurance health plan from local insurance agents.

Deductible: Before the health insurance company will pay for procedures that exceeds office limits, or you are required by your insurance to pay first, you must pay the stated deductible and then the health policy will begin to pay. (i.e. Jim's doctor performs open surgery and the procedure costs $15,000. Jim has a deductible of $500 and is required to pay it before his health insurance pays.)

Coinsurance: You and your health insurance company have agreed to share the cost of paying for procedures up to a certain dollar limit called a Stop-Loss. Once the Stop-Loss is exceeded, your health policy will pick up the bill for covered procedures. (i.e. Jim has a 80/20 % Coinsurance and a $10,000 Stop-Loss. This means that Jim is required to pay 20% or $2000 of $10,000 of procedures in a given calendar year above his deductible. In the above case, Jim pays a $500 deductible and $2000 for his Coinsurance, his health insurance pays $12,500.)

Buy Online Health Insurance

There is a clinical arrogance by insurance agents that individuals do not buy health insurance online. Secretly these licensed individuals have been living in a bubble recently. As people have got more advanced in learning about their finances and general well being, often the knowledge they have obtained has been from the internet. (Get Free Health Insurance Quotes for permanent plan individual or family health plan from local insurance agents.)

To be honest, the movement towards going online has allowed many of us to seek answers to questions to have captivated. Health insurance is very important to all of us. Very few of us are willing to self-insure ourselves; generally it does not make good economic sense.

So why would people by health insurance online? People are comfortable with the internet and it resembles a mass dictionary. Often individuals do not want to take the time to sit down with an insurance agent. Maybe they had a bad experience or feel that a website will provide them with all of the necessary information to make an informed decision.

Regardless of whether you as an agent agree that individuals are unwise for making health insurance over the internet, you will have to continue to compete with the online entity. Take the time to educate everyone in your path concerning this life long needed product, otherwise see some of your profit go to insurance agencies profiting from the internet.

About Group Health Insurance

The continuing growth in the number of insurance plans where the employer or union assumes all or part of the responsibility for paying claims made the nations employers a principal bearer of the financial risks of illness and non-job-related injury in 1990. Group health insurance is better than individual in most cases- your premium will be lower, and your options greater. If you cannot receive group insurance coverage through your employer, then you'll need to seek out an individual plan.

2 basic group plans
--fully insured
--MPP (minimum premium plan)

Under fully insured, your employer accepts all the risk for paying your claims.

Under MPP, your employer pays up to a certain specified maximum; after which point, the insurer pays. Most of these plans offer several types of coverage:

--basic coverage
--major medical coverage
-->basic, plus major medical coverage

Majority of these plans fall under major medical, and don't contain a basic hospital benefit for hospital related expenses.


Employers Offering Health Insurance
Coverage varies from industry to industry. Most, if not all, state and local government agencies offer health insurance. Goods-producing firms are more likely to provide health benefits than are service-producing firms.

Coverage is less commonly offered by firms employing significant proportions of low-wage workers, that have a large proportion of part-time workers, or that experience high employee turnover.

Life insurance planning for parents of children with special needs
Parents of children with special needs know that day-to-day life takes careful planning. And so does financial planning, especially when you know your child may not be able to support or care for himself in adulthood when you are gone.

There are lots of parents facing the prospect of planning for adult children who be always be reliant on someone else. According the the 2005 American Community Survey by the U.S. Census Bureau, there are more than 2,274,000 boys and girls age 5 to 15 with one type of disability, and over 600,000 boys and girls age 5 to 15 with two or more types of disabilities. One in 150 individuals are diagnosed with autism, according to Autism Speaks. And one in 733 children is born with Down syndrome, according to the National Down Syndrome Society.

Long-range planning includes appropriate last wills and testaments, conservatorships and guardianships, and letters of intent, all of which should be handled by an attorney. Another important component is life insurance.

For parents of children with special needs, buying life insurance requires the same careful planning as other financial considerations. That's because under current federal law, any inheritance of more than $2,000 can disqualify an individual from federal assistance. For example, Supplemental Security Income (SSI) could be reduced or cancelled for up to three years if a special needs child receives an inheritance or life insurance benefit. Inheritances could also affect eligibility for state assistance programs.

Setting up a "special needs trust" can provide money for living expenses for your child without affecting any other assistance they may receive.

Put simply, a trust is a legal entity that owns assets, be it savings, stocks, property or benefits paid from a life insurance policy. A trustee manages the assets (such as investing them or dispersing them) and is not allowed to personally benefit from the trust.

When the trust is set up properly, the special needs individual does not own the assets in any way, thus maintaining his eligibility for other assistance. But the trust can still benefit the individual and can pay for important expenses such as transporation, home health aides, education, rehabilitation, computer equipment, entertainment and trips, and medical and dental care that is not covered by private policies, Medicare or Medicaid.

In addition, if the trust is paying regularly for food and housing costs, or paying money directly to the special needs beneficiary, the money could be viewed as income and result in a loss of government benefits. These items typically should not be paid by a special needs trust: food, housing, property taxes, home insurance, utilities and direct cash.

Types of special needs trusts

Patrick Smith, vice president of estate and business planning for The Hartford Financial Services, explains that there are three main categories of trusts, depending on the situation of the disabled:

• Third-party settled trust: This is the most commonly used type of trust. It is designed to qualify the individual for government assistance while the trust provides for quality of life, such as travel, a specially equipped van, or home health care or companions. Smith says the wishes funded by the trust "are limited only by the imagination and the funding of the trust."
  
• General support trust: This provides for all general support of the child and disqualifies him for any assistance. Smith recalls a family who opted for a general support trust because they had sufficient assets for the child's lifetime and felt that government assistance should be for people who really need it.
  
• Self-settled trust: This a trust created by the disabled person so they can disperse the funds themselves. This would be used by a person with a physical disability who can manage his own money. However, if the beneficiary also takes government assistance, it may have to be paid back by anything left in the trust after his death

Common mistakes

According to The Hartford, there are three common mistakes made by parents of children with special needs:

• Mistake 1: Bequeathing assets directly to the child from a parent, grandparent or other relative. This may disqualify them from government benefits and they may not be capable of managing the asset.
• Mistake 2: Naming the child as beneficiary of the life insurance policy, annuity or retirement plan. This also can disqualify them from government benefits.
• Directing the child's inheritance to another family member to manage on behalf of the child. These assets would then be subject to any bankruptcy, divorce or litigation against the assets' owner, or the owner may predecease the child, in which case the assets would be subject to the terms of the owner's will.

Choosing the right life insurance for a special needs trust

Not all types of life insurance may be appropriate for funding a special needs trust, depending on your situation.

• Term life
  Pro: Term life is the most inexpensive was to insure a parent's life. It is a good choice for short-term needs.
  
  Con: It is very possible the parent will outlive the term of the policy, leaving a trust short on funds. If you already have a term policy and need to fund a special needs trust, you could consider converting your term policy to whole life with the same insurer.
  
• Whole life
  Pro: A whole life policy could provide funds for a special needs trust no matter when the parents died. Universal life and variable universal life insurance are also choices.
  
  Con: A variable universal life policy builds up cash value but needs a time horizon in order to weather volatility in the markets. Because the cash value is attached to an equity market, the policyholder needs to be ready to ride ups and down that affect cash value and premium payments.
  
• Survivorship life (also called second-to-die)
  Pro: This type of whole life policy insures the mother and father in one policy and pays out upon the death of the second spouse. It is less expensive than buying two separate life insurance policies on the parents.
  
  Con: At the death of the first spouse, consider whether the surviving spouse will have enough money to live on without a life insurance death benefit. Will they be able to maintain quality of life for themselves and dependent children? Will they be able to keep up the premium payments on the survivorship life policy?

The basics of term life insurance

Should you "buy term and invest the rest" or fuel your life insurance with "the power of cash value"?

Term life insurance is often touted for its "pure insurance protection," which includes none of the cash value features inherent in whole life policies. Term life insurance covers you for a specific period of time — usually 10, 15, 20 or 30 years. You can also buy term insurance that covers you until you reach a certain age, usually 65 or 70. Term insurance policies expire at a set time and if you don't die within the term there is no pay-out of the policy. If you do die within the term, your beneficiaries receive the money tax-free.

Generally, you purchase term life insurance to protect your loved ones from debts or provide for short-term obligations. For example, if you and your spouse own a home and you were to die tomorrow, your spouse would have to pay the mortgage on his or her own. If you had a term life insurance policy, your spouse could receive enough money from the policy's death benefit to pay off the mortgage.

Term insurance doesn't just cover specific debts, however. If you have children, term insurance can protect your family's finances, providing money for college and living expenses if you die before your children are fully grown.

Medical exam is usually required

When you apply for term life coverage, the insurance company will probably require a medical exam before issuing a policy. The examination is basic, covering your height, weight, medical history and blood and urine testing. With the blood and urine tests, the insurer looks for specific medical problems. Positive results could affect your premium, or even your ability to buy a policy.

Smokers will pay more for life insurance, although cigar smokers might get less expensive premiums than those using cigarettes. If you smoke marijuana, but not cigarettes, you still must admit to being a smoker on the policy application. Insurers don't generally differentiate between different types of smoke inhalation. (Marijuana users must also disclose their drug use.)

Different flavors of term

As you age, the likelihood you will die sooner increases. That's why older individuals pay more for life insurance. You can lock in low premiums by buying for a "level term" policy. That means for a specific time period, say 20 years, your premium rate stays the same. Many term policies give you the option to renew your coverage at the end of the term without undergoing another medical exam, although your premiums will rise for the next term — often substantially.

A less popular policy is "annual renewable term." This gives you coverage for one year with the option of renewing it each year for a specified duration, such as 20 years. With this policy, your rates will go up every year you renew and are calculated based on the probability of your dying within the next year.

If you’d like to have term life insurance in place to provide for beneficiaries yet you’re confident you’ll outlive the policy, you could consider "return of premium" term life insurance. Under this type of policy, if no death benefit has been paid by the end of your insurance term, you receive all your premiums back. It pays to shop around for a policy like this, but on the low end you can expect to pay 50 percent morein premiums than comparable traditional term life insurance.

If you have trouble finding life insurance because of illness or a troubled medical history, you can turn to guaranteed issue life insurance coverage, sometimes called "quick issue" or "simplified issue" insurance. Guaranteed issue policies require no medical exam, but you pay a higher premium in exchange for the guaranteed coverage. That's because the insurance company takes on more risk in insuring people without knowing their medical condition. Guaranteed issue policies can require waiting periods before coverage kicks in. They might be the only option for some people. A life insurance broker can search the marketplace for a guaranteed issue policy that meets your needs.

How long a term?

Figuring out which term you should buy — 10 years, 20 years, 30 years or some other number — requires a major review of your debts, financial needs, dependents' needs — and when all those might change. Jack Dolan of the American Council of Life Insurers suggests you ask yourself, "When will my dependents reach financial independence?" Also look at major debts, such as mortgages or other loans, and when those are due to be paid off.

Guenther Ruch of the Wisconsin Insurance Commissioner's office says it's a good idea to review your life insurance needs carefully, both when you buy the policy and on a regular basis throughout your life. "You may not have the coverage you need. You may have more than you need," Ruch says.

Ruch has the following recommendations for anyone buying life insurance, or anyone who already has coverage:

• Schedule a routine "check-up" with your insurance providers at least once a year.
• Shop around when you're in the market for a new policy. Rates vary considerably among insurers.
• Remember, an insurance policy is a legal document. Read it carefully and make sure you understand it.

"Perhaps you want to leave assets for your heirs, or for charity, or you need the death benefit for business-planning purposes. These are all areas where life insurance can play a role, but it's really designed for financial protection," Dolan says

All You Need to Know About Health Insurance

Let's face it--in today's world, health insurance is a necessity. With medical expenses soaring higher than a hang glider, paying for them could have you digging deep into the pockets of your jeans.

What types of health insurance are available?

Health insurance plans generally fall into one of two categories: indemnity plans (also known as reimbursement plans) and managed care plans such as health maintenance organizations (HMOs), preferred provider organizations (PPOs), and point of service (POS) plans.

• An indemnity plan allows you to choose your own doctors and pays for your medical expenses--totally, in part, or up to a specified amount per day for a specified number of days.
• Managed care plans generally provide broader coverage, but they all involve an arrangement between the insurer and a selected network of health-care providers (doctors, hospitals, etc.). For example, an HMO will require that a primary care physician in the network coordinate all of your care and refer you to specialists in the network.

No matter which type of health insurance you buy, you'll need to make sure it offers the right kinds of coverage.

What should be covered?

A good health insurance policy contains several types of coverage.Hospital expense insurance pays your room, board, and incidental services costs if you're hospitalized.Surgical expense insurance covers surgeons' fees and related costs associated with surgery.Physicians' expense insurance pays for visits to a doctor's office or for a doctor's hospital visits.Major medical insurance offers extremely broad coverage with a very high maximum benefit that's designed to protect you against losses from catastrophic illness or injury.

Top 10 Ways to Cut Your Medical Bills

Shop around for health insurance

If you don't have employer-sponsored health insurance, you may be looking to obtain coverage on your own. To get good coverage at an affordable price, shop around. Because premiums vary widely, you'll probably save money if you get quotes from several companies. Evaluate each plan's coverage and features, taking into account exclusions, limitations, and the freedom to choose health-care providers, among other things. Also find out how much you'll end up paying out of pocket in the form of co-payments, coinsurance, and deductibles, because even relatively small amounts of money can really add up if you make frequent visits to your doctor.

Cut the cost of prescription drugs

Prescription costs can eat up a large portion of your budget if you take prescription drugs regularly. Fortunately, it's not hard to find ways to save money. For example, try ordering your prescriptions through the mail, using a traditional or online pharmacy. If you belong to a prescription drug plan (e.g. through your health insurance), you may be able to get a three-month supply of your prescription drug through the mail for the same price you would pay for a one-month supply at your neighborhood pharmacy. You can also ask your pharmacist or doctor to recommend a less-expensive generic drug whenever possible.

Top 10 Ways to Cut Your Medical Bills

With health-care costs on the rise, you may be looking for ways to lower your medical expenses. Here are 10 ideas:

1. Practice prevention
2. Shop around for health insurance
3. Cut the cost of prescription drugs
4. Check your medical bills
5. Join your spouse's health plan
6. Keep track of your medical expenses
7. Negotiate a discount with your health-care provider
8. Contribute to a flexible spending account
9. Take advantage of free health screenings
10. Get to know your health insurance

Practice prevention
As basic as it sounds, one of the most effective ways to lower your medical expenses over time is to maintain a healthy lifestyle. For example, you can:

• Take advantage of wellness programs
• Maintain a healthy weight
• Exercise regularly
• Kick unhealthy habits (e.g. smoking)
• Have regular checkups

Check your medical bills

Medical bills are often confusing to read. However, taking a few minutes to go over the charges may save you money in the long run. Check to make sure that the bill accurately reflects the procedures you have undergone and takes into account any applicable insurance coverage you may have. Some errors, such as wrong computer codes, are common, and you may be billed for health care you never received. Contact the appropriate billing office if you think you've found a mistake. If you've received an explanation of benefits from your insurance company that you believe is wrong, ask the company to review your claim.

Join your spouse's health plan

Many married couples maintain separate health insurance coverage even though it may not be cost effective to do so. Examine both your coverage and your spouse's coverage to see if it makes sense for either of you to join the other's plan. Keep in mind that most plans allow you to add a spouse to your plan within a certain time period after you get married (e.g. 30 days). Otherwise, you may have to wait for the plans' annual open enrollment period.

Keep track of your medical expenses

Come tax time, you may be able to deduct certain medical expenses if you itemize, and your total medical expenses exceed 7.5 percent of your adjusted gross income. Allowable medical expenses include everything from health-care services to medical aids (e.g. eyeglasses, hearing aids). Keep track of these expenses if there's a chance you'll be able to deduct them on your income tax return.

Negotiate a discount with your health-care provider

Many people don't realize that you can sometimes negotiate to lower your medical bills. While it may not always work, it doesn't hurt to ask your doctor, hospital, or pharmacy if they're willing to come down in price. Before you begin to negotiate, do a little research to find out what other health-care providers in your area are charging. You can also ask your health-care provider if they'll lower their price if you pay in cash up front.

Contribute to a flexible spending account

Your employer may offer a flexible spending plan that allows you to put pretax dollars in an account. You are then reimbursed for your out-of-pocket medical expenses, such as prescription drugs, dental care, and co-payments. Because flexible spending contributions are taken out of your pay before federal and state taxes are calculated, you get to use pretax dollars to pay your medical bills.

Take advantage of free health screenings

If your health insurance doesn't provide adequate coverage in some areas, or if you don't have any health insurance coverage at all, you may want to look into free health screenings. Local clinics and hospitals often provide a variety of screenings, such as blood pressure, cholesterol, and mammograms.

Get to know your health insurance

Your health insurance may cover more than you think. Nowadays, insurance companies often provide benefits designed to help you stay safe and healthy. For example, you may receive discounts on vitamins, alternative medicines, health club memberships, or bike helmets. You may also be surprised at the range of coverage your health plan offers. For instance, it may cover dental care for young children, chiropractic care, and acupuncture. Read your plan membership materials to find out what products and services are available through your health plan before you pay for them on your own.