Supplementary Insurance Fills New Gaps!

With the full implementation of the Affordable Care Act looming on the horizon, the United States is heading toward a social style system of health care. We are already seeing insurance rates on the rise. Social media is aflame people asking questions and wanting answers. They want to know what they can do to offset the increases in premiums they have or will experience in the coming months and years.

One of the common complaints I hear from people is that their employers have moved to high deductible plans with deductibles ranging anywhere from $2,500 to $10,000. Many of these companies are wise enough to offer their employees access to a flexible spending account (FSA) or a health savings account (HSA).Though these types of plans can provide an excellent cost savings, the insured employee and their families are left vulnerable if they don't have the funds in their accounts to fill that deductible should something serious happen.

One person noted that she has a $10,000 deductible plan through her employer, but the employer only offers an FSA which caps out at $2,500 a year and the employees are expected to fund those accounts entirely with their own money. If she uses her insurance and needs the money to pay for care, it is nice to have the $2,500. But that still leaves her three fourths of the way from meeting her deductible. If she doesn't need the $2,500 in her FSA, it is absorbed back into the coffers of the company at the end of the year and she looses money she worked so hard to make. It isn't her employer's fault. The government set the guidelines for the use of FSAs.

One of the solutions to this looming problem has been around for years. Up to this point, supplemental insurance has been a voluntary product business owners have offered to their employees. Enrollment in supplemental insurance plans has gone up dramatically over the last few years. Smart people are learning how to keep their medical insurance costs low and make up the differences in coverage with supplemental insurance products. The money supplemental insurance providers pay to their policyholders can be used in any way they need it' for either doctor's bills or home necessity expenses. If they need it to cover their overlarge deductibles, they have the option. Supplemental insurance plans give people options. Reuters recently published an article about why these plans are becoming so popular.

Supplementary Insurance Fills New Gaps - http://reut.rs/QxNx4I

Its time to Ask Affleck About Aflac!

Understanding the Basics of Health Insurance

With the recent ruling on the Health Care Penalty Tax by the SCOTUS, and health care in upheaval, it is crucial that we understand what is at stake for us as average, every day Americans. To begin, we need to understand the basics of the plans that are available to us today.

Now, more than ever, health insurance is being viewed as a necessity, providing your family with much needed peace of mind should anything medically serious happen. Generally, good health insurance covers medication, office visits, surgeries and hospital stays. Some health insurance coverage may also include diagnostic and treatment procedures. All health insurance plans cover preventative measures such as shots and wellness check-ups.

There are several basic health insurance coverage plans to consider. In a managed care plan the insurance company offers its own doctors and hospital affiliations. The disadvantage of managed care health insurance coverage is that you’re often required to pay an additional fee should you prefer to visit your own doctor or be admitted to the hospital of your choice.

A fee-of-service plan is a health insurance coverage plan in which the company splits the cost of the doctors and hospital bills with the insured. The insured pays the insurance company a monthly premium, while the insurance company pays a portion of doctor and hospital expenses. Fee-of-service plans provide either basic coverage or major medical coverage. A basic fee-of-service plan covers the hospital room and hospital care and some additional hospital services like x-rays and medications. Basic coverage also includes costs for surgery and some doctor visits. A major medical fee-of-service plan is designed to cover the cost of long term care and major illness.

Next is the Health Maintenance Organization (HMO) plan. Services, such as doctor’s visits, hospital stays, surgery, diagnostic tests, etc., are fulfilled by providers under contract with the HMO. The insured, therefore, generally does not have the freedom to choose his or her own doctors or hospital. Typically, the insured is assigned to a primary care provider and must go through this provider in order to be referred to other doctors or specialists (who are also contracted with the HMO in most cases) when necessary.

Medicare is a national health insurance program for people 65 years of age and older, certain younger disabled people, and people with permanent kidney failure. Medicare is divided into two parts:

Part A - Hospital Insurance
Part A helps pay for care in a hospital and a skilled nursing facility, and for home health and hospice care. It does not cost the participant anything when they fit into certain categories such as a permanently disabled person, a US citizen or permanent resident age 65 or older.

Part B - Medical Insurance
Part B helps pay doctor bills, outpatient hospital care and other medical services not covered by Part A. Everyone who enrolls in Medicare Part B must pay a premium.

As Medicare expands, more services become available. There are now Medicare parts C and D, each of them providing different coverages. With more coverage comes more premiums.

COBRA isn’t a health insurance plan, but a government effort to protect people from losing their health benefits in certain situations. Passed in 1986, the Consolidated Omnibus Budget Reconciliation Act (COBRA) requires most group health plans to provide a temporary continuation of group health coverage that might otherwise be terminated. Situations that are covered by COBRA may include death of the insured employee, less hours or pay (for reasons other than gross misconduct), separation or divorce, Medicare entitlement, and a dependant reaching the age of 26. COBRA generally applies to all group health plans maintained by employers (with at least 20 employees) or by state and local governments. The law does not apply to plans sponsored by the Federal government, by churches or certain church-related organizations.

Last, but not least is Supplemental Insurance. These plans are not considered coverage like major medical plans. They are usually indemnity plans, which compensate the insured when they experience a loss due to medical treatment. Policies might include coverage for hospitalization, accidents, dreaded diseases, and more. Sometimes referred to as gap insurance, these policies normally pay the insured, not the doctor or hospital, for services they received. There are a wide variety of health insurance coverage plans available to most people.

With a little research, working with either your employer or insurance agent, you can find the perfect plan for you and your family.

An Introduction to Supplemental Health Insurance

“Health insurance is such a racket!” I hear that all the time. Yet, many people residing in the United States have taken great pains to acquire health insurance, while some 15.4% of all people in America are without health insurance. With the threat of illness and injury too great to ignore, people strive to get insured in order to receive health care. Even travelers who only need to stay in America for a few days are still encouraged to buy health insurance just to be safe, and to protect from any possible health-related costs that may occur. Yet, one of the common misconceptions of health insurance is the belief that so long as you have health care coverage, it will be a shield against paying to treat every possible malaise. It's as though once health insurance is there, it becomes a guarantee that the policyholder will receive treatment and medical attention. The reality, however, is that a vast number of disorders and ailments that cannot be covered by conventional insurance. Some of these are life-threatening disorders, such as cancer or heart failure, and often they may involve dire issues that require health coverage. Other insurance companies will provide treatment for emergencies or accidents, but will not involve certain expenses in their scope of coverage, such as the use of an ambulance or the cost of preventive drugs. Insurance companies and their plans often do not include those details in their scope of aid. This reality has given rise to the concept of supplemental health insurance. Supplemental health insurance is an idea that is simple: You have insurance, but, believe it or not, they won’t cover everything. By taking on a supplemental insurance plan, patients may be able to finally receive coverage for very specific medical conditions that can be difficult to deal with. They also help take on the expenses that normal coverage cannot look after all the time, including prescription drugs, round-the-clock nurse attention or lost income due to disease, among others. These policies are different from conventional health care insurance. For one, they are not comprehensive. Like the name suggests, they supplement a policy, not replace it. Most supplemental policies exist to insure against one or two kinds of disorders, where true health insurance can deal with several other ailments. As the name suggests, they supplement existing health care. When combined, a policy holder may find more complete coverage from any possible out-of-pocket costs which could otherwise break people's bank accounts and flush away retirement savings. Supplemental insurance plans can give them the breathing room they need to get through a difficult medical experience and not drown in a sea of medical debt, which is one of the leading causes of bankruptcy today.

Medical Terminology - Just For Fun

Since I haven't posted on my blog in such a long time, I thought it might be fun to post some definitions little kids gave some medical terms.

Enjoy!

Artery - The study of paintings.
Barium - What Doctors do when patients die.
Caesarean Section - A neighbourhood in Rome.
Cauterize - Made eye contact with her.
Colic - A sheep dog.
Dilate - To live long.
Enema - Not a friend.
Fibula - A small lie.
Genital - Not a Jew.
Impotent - Distinguished, well known.
Labor Pain - Getting hurt at work.
Morbid - A higher offer.
Nitrates - Cheaper than day rates.
Node - Was aware of.
Insurance - Keeping Bugs Safe.
Outpatient - A person who has fainted.
Post Operative - Letter carrier.
Recovery Room - Place to do upholstery.
Seizure - Roman Emperor.
Terminal Illness - Getting sick at the airport.
Urine - Opposite of 'you're out'.