You now are the proud owner of a health insurance policy through your place of employment, but you have no clue what anything in it means. You start reviewing the policy and it gets more confusing as each word is read. This happens too often to a lot of people and it shouldn’t. Insurance policies for the most part are simple to understand if you know the language they speak. Now if you don’t that’s another story. Let’s get started and see if we can help you make sense of your new health insurance policy.
The first things you want to understand are the many terms that are in your policy. One of the common terms that you will see a lot and deal with a lot is a deductible. A deductible is what you would have to pay before any benefits in your health insurance policy would be accessible. Usually this is an annual amount and will vary greatly by the underwriters of the policy. Most of the time there are separate deductibles for an individual account and a family account. Some policies will let you use some of their services with out meeting the deductible. Once you meet your deductible then you’re done for that calendar year. The following year though you have to start all over again.
Co-insurance, or co-payments which they are sometimes called, are amounts that are paid by the insured before the insurance will pay and this is in addition to the deductibles. Some policies let you pay a co-payment for certain services without meeting the deductible.
Out of Pocket is what you will have to pay out of your own pocket. This could include your deductibles, co-insurance, and your co-payments. If you hear the term “annual out of pocket expense” this is the maximum out of your own pocket you would have to pay for the services minus the premiums, which are due no matter what.
Most every policy that you get especially health insurance policies have a lifetime maximum term. What this means that your policy basically has a cap on it. During the lifetime you can’t go over a predetermined amount or the health insurance won’t pay after the set amount. Now don’t get worried it’s usually a very high figure but with today’s rapid escalating health care costs you can reach it fairly quickly.
Exclusions will be one section that you must read very carefully and fully understand in your health insurance policy. Exclusions are things the policy will not cover and this can be a very gray area. The policy could cover operations but not after care or cover after care and not the operation. This is one of the most important sections of your policy so read it and reread it over a lot to make sure you grasp all of the contents and what it covers and what it doesn’t cover.
Pre-existing conditions is one of the things you will want to know about. Pre-existing basically means it was a condition you already have and been treated for which the policy will not cover it or pay for any work done for that pre-existing condition. Some health insurance policies will cover pre-existing where others won’t which is why knowing what is in your policy is very important.
Waiting period is usually the time you will have to wait for your health insurance policy to become effective. Most policies do have a waiting period and the benefits aren’t available until you have met the waiting period requirements. Different companies have different policies so check with your insurance company so you will know the rules for your policy.
Grace period is the amount of time that is given for one to pay their health insurance premium after the original due date has passed.
There are many things that you should always remember as you look over your health insurance policy. Read each and every paragraph and make sure you understand how the whole policy works so you will never be in the dark or have any questions about what is covered and what isn’t. Remember that it is okay to ask questions!
Workman’s Compensation: Who Pays for It
Workman’s compensation insurance, also known as “workman’s comp”, is a state-mandated insurance program designed to protect workers who have been injured on the job or rendered ill because of workplace conditions. All companies, with a few exceptions, are required to maintain this type of insurance coverage no matter where they are located – all 50 U.S. states require it. Although some details of workman’s compensation coverage may differ slightly from state to state, the basics are fairly uniform.
Workman’s compensation insurance typically consists of two parts: compensation for the worker and employer’s liability coverage. The first covers the injured worker’s medical bills, rehabilitation costs, lost wages and most other costs directly related to the injury, even if the injury was the employee’s fault. Employer’s liability, on the other hand, covers the employer’s legal costs should an employee bring suit against the business.
The location and size of the business will determine what sort of workman’s compensation policy an employer must carry. Most states allow employers to purchase their plans through a traditional insurance company. There are some states, however, that require the insurance be purchased exclusively through programs run by the state itself. North Dakota, Ohio, Washington, West Virginia and Wyoming all require the use of state-run workman’s compensation programs. Puerto Rico and the U.S. Virgin Islands require this type of plan as well. Not all states that provide a state-run plan, however, demand that the companies within their jurisdiction use it exclusively. Arizona, California, Colorado, Idaho, Maryland, Michigan, Minnesota, Montana, New York, Oklahoma, Oregon, Pennsylvania and Utah all sponsor workman’s compensation plans that compete with programs in the private sector.
In some U.S. states, a company that is big enough and reputable enough may create its own workman’s compensation fund, without having to go through either the state or a private insurance carrier. The states that allow this option are: Arizona, California, Colorado, Hawaii, Idaho, Kentucky, Louisiana, Maine, Maryland, Minnesota, Missouri, Montana, New Mexico, New York, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Texas and Utah. Any company that is self-insured in this manner, however, must be authorized by the state.
Cost to the Employer
No matter where the coverage comes from, workman’s compensation insurance is expensive for an employer. Indeed, American businesses pay over $100 billion in premiums each year. The coverage is wholly paid for by the employer, who is prohibited from passing any portion of the expense on to his or her employees.
The cost of workman’s compensation insurance is dependent upon many factors. One important factor has to do with the classification of employees. Some employees are more expensive to cover than others because their jobs are considered more hazardous. For example, it costs more to cover a roofer than it does to cover a secretary because the roofer’s job duties require more potentially risky behavior.
Two other important factors that determine the rise or fall of workman’s compensation premiums are: the existence and implementation of a company’s safety programs and its history of accident and injury. If an employer shows a concern for workplace safety and can prove that concern by keeping accidents down to a minimum, then the likelihood of a rise in premium rates is minimal.
Keeping Costs Down
There are many ways in which an employer can make sure that he or she is getting the lowest workman’s compensation premium rate possible. The easiest way is for the employer to make sure that all workers are classified correctly. The premium rate for each classification is different – depending on the risk associated with it – and even the slightest error in classification can cost an employer dearly. For example, keyboard use is considered a somewhat risky behavior because of the possibility of developing carpal tunnel syndrome. If an office worker who does not use a keyboard is mistakenly classified as one who does, then the employer could be paying an unnecessary premium.
Another method of keeping workman’s compensation premium costs down is for the employer to institute safety programs, seminars and workshops. Very few employees purposefully injure themselves in order to obtain benefits. Sometimes workplace injuries are simply the result of an unaware and uneducated workforce. So, if an employer’s concern for workplace safety is evident and ever-present (posters, signs, announcements, etc.), safety issues are more likely to remain on the minds of the employees and accidents are less likely to occur – fewer accidents man lower premiums. An employer’s overt preoccupation with safety also lets the insurance carrier know that he or she is doing everything possible to enforce employee safety. This often leads to lower premium rates as well.
Workman’s compensation insurance typically consists of two parts: compensation for the worker and employer’s liability coverage. The first covers the injured worker’s medical bills, rehabilitation costs, lost wages and most other costs directly related to the injury, even if the injury was the employee’s fault. Employer’s liability, on the other hand, covers the employer’s legal costs should an employee bring suit against the business.
The location and size of the business will determine what sort of workman’s compensation policy an employer must carry. Most states allow employers to purchase their plans through a traditional insurance company. There are some states, however, that require the insurance be purchased exclusively through programs run by the state itself. North Dakota, Ohio, Washington, West Virginia and Wyoming all require the use of state-run workman’s compensation programs. Puerto Rico and the U.S. Virgin Islands require this type of plan as well. Not all states that provide a state-run plan, however, demand that the companies within their jurisdiction use it exclusively. Arizona, California, Colorado, Idaho, Maryland, Michigan, Minnesota, Montana, New York, Oklahoma, Oregon, Pennsylvania and Utah all sponsor workman’s compensation plans that compete with programs in the private sector.
In some U.S. states, a company that is big enough and reputable enough may create its own workman’s compensation fund, without having to go through either the state or a private insurance carrier. The states that allow this option are: Arizona, California, Colorado, Hawaii, Idaho, Kentucky, Louisiana, Maine, Maryland, Minnesota, Missouri, Montana, New Mexico, New York, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Texas and Utah. Any company that is self-insured in this manner, however, must be authorized by the state.
Cost to the Employer
No matter where the coverage comes from, workman’s compensation insurance is expensive for an employer. Indeed, American businesses pay over $100 billion in premiums each year. The coverage is wholly paid for by the employer, who is prohibited from passing any portion of the expense on to his or her employees.
The cost of workman’s compensation insurance is dependent upon many factors. One important factor has to do with the classification of employees. Some employees are more expensive to cover than others because their jobs are considered more hazardous. For example, it costs more to cover a roofer than it does to cover a secretary because the roofer’s job duties require more potentially risky behavior.
Two other important factors that determine the rise or fall of workman’s compensation premiums are: the existence and implementation of a company’s safety programs and its history of accident and injury. If an employer shows a concern for workplace safety and can prove that concern by keeping accidents down to a minimum, then the likelihood of a rise in premium rates is minimal.
Keeping Costs Down
There are many ways in which an employer can make sure that he or she is getting the lowest workman’s compensation premium rate possible. The easiest way is for the employer to make sure that all workers are classified correctly. The premium rate for each classification is different – depending on the risk associated with it – and even the slightest error in classification can cost an employer dearly. For example, keyboard use is considered a somewhat risky behavior because of the possibility of developing carpal tunnel syndrome. If an office worker who does not use a keyboard is mistakenly classified as one who does, then the employer could be paying an unnecessary premium.
Another method of keeping workman’s compensation premium costs down is for the employer to institute safety programs, seminars and workshops. Very few employees purposefully injure themselves in order to obtain benefits. Sometimes workplace injuries are simply the result of an unaware and uneducated workforce. So, if an employer’s concern for workplace safety is evident and ever-present (posters, signs, announcements, etc.), safety issues are more likely to remain on the minds of the employees and accidents are less likely to occur – fewer accidents man lower premiums. An employer’s overt preoccupation with safety also lets the insurance carrier know that he or she is doing everything possible to enforce employee safety. This often leads to lower premium rates as well.
Health Insurance: is it worth the gamble
Unlike in Canada and parts of Europe where the bulk of health care costs are put on a government tab, most able-bodied, mentally sound Americans under the age of 65 must generally rely on themselves to manage personal health care funding. For most Americans, that means incorporating some kind of health insurance into their overall personal financial strategy.
Over time, however, the costs of health care insurance add up, and the total spent can be staggering. So should you have health insurance? Is it worth the gamble? There is no single answer to these questions, of course, but there are several items you should consider before making a decision one way or the other about your health care insurance future.
First of all, about 44 million Americans do not have any health insurance coverage. Many of these people are members of poor families who do not qualify for Medicaid, employment-based health insurance and who cannot afford, or who have been refused for, individual coverage. If you are looking to purchase individual health care insurance coverage, be aware that the costs tend to be higher than employer-sponsored plans and the plans less user-friendly.
With so many types and ranges of personal or individual private health care insurance available, it can be confusing as to what kind of health insurance you should buy, and how much coverage you should have. You may not think you need several hundred thousand dollars worth of coverage, but consider how much one hospital visit costs if you need a serious (yet common) procedure like a heart bypass or even minor surgery to remove a gall bladder or appendix. Even slight complications can result in an enormous bill.
If you receive a health benefits package as part of your employment, you will be accepted under the company’s plan regardless of your health status. However, when you apply for individual coverage, there are no such guarantees and you many not be able to secure the coverage you need, even with reduced benefits. The same is true when it comes to renewing your health care insurance. If you are employed and are covered under your company plan, you can renew your coverage as necessary, even if you are sick. With most individual plans, there is no guarantee your policy will not be cancelled.
Similarly, there are differences between job-based and individual-based insurance when it comes to limitations and portability. If you have had a pre-existing condition when you apply for job-based medical coverage, there is a limit of about a year to a year and a half on what can be counted ‘against’ you. With individual coverage, limitations are prescribed by the state, and vary greatly state-to-state, but generally, you may not be eligible for coverage of costs related to a pre-existing medical condition for the entire duration of your policy.
When it comes to portability, again, depending on the state in which you reside, it is possible that you may receive no credit for past coverage. That means even if you are lucky enough to qualify for health insurance coverage, you could end up waiting for the entire pre-existing condition exclusion period.
Whether you choose job-based, employer-sponsored health insurance or a private, individual plan, health care insurance is going to cost you a lot of money, especially if you have a family or if you have any ongoing medical issues. The exact amount depends on your particular situation needs. You may never need medical attention, and in that case, you might consider the money spent on health care insurance wasted.
However, most of us need medical attention at some time or another. Even healthy, positive lifestyle-oriented people have unexpected health events, car accidents and broken bones. You can’t anticipate when these events will happen, or how severe they will be, but without significant financial means or a decent health care insurance plan, you could end up financially devastated. Are you willing to make that gamble? To assume the risk of not being able to pay for medical services or products that you or a member of your family needs? Money spent on premiums is certainly a consideration when deciding whether to purchase health care insurance, but there are other priceless things to consider before you make a final decision.
Over time, however, the costs of health care insurance add up, and the total spent can be staggering. So should you have health insurance? Is it worth the gamble? There is no single answer to these questions, of course, but there are several items you should consider before making a decision one way or the other about your health care insurance future.
First of all, about 44 million Americans do not have any health insurance coverage. Many of these people are members of poor families who do not qualify for Medicaid, employment-based health insurance and who cannot afford, or who have been refused for, individual coverage. If you are looking to purchase individual health care insurance coverage, be aware that the costs tend to be higher than employer-sponsored plans and the plans less user-friendly.
With so many types and ranges of personal or individual private health care insurance available, it can be confusing as to what kind of health insurance you should buy, and how much coverage you should have. You may not think you need several hundred thousand dollars worth of coverage, but consider how much one hospital visit costs if you need a serious (yet common) procedure like a heart bypass or even minor surgery to remove a gall bladder or appendix. Even slight complications can result in an enormous bill.
If you receive a health benefits package as part of your employment, you will be accepted under the company’s plan regardless of your health status. However, when you apply for individual coverage, there are no such guarantees and you many not be able to secure the coverage you need, even with reduced benefits. The same is true when it comes to renewing your health care insurance. If you are employed and are covered under your company plan, you can renew your coverage as necessary, even if you are sick. With most individual plans, there is no guarantee your policy will not be cancelled.
Similarly, there are differences between job-based and individual-based insurance when it comes to limitations and portability. If you have had a pre-existing condition when you apply for job-based medical coverage, there is a limit of about a year to a year and a half on what can be counted ‘against’ you. With individual coverage, limitations are prescribed by the state, and vary greatly state-to-state, but generally, you may not be eligible for coverage of costs related to a pre-existing medical condition for the entire duration of your policy.
When it comes to portability, again, depending on the state in which you reside, it is possible that you may receive no credit for past coverage. That means even if you are lucky enough to qualify for health insurance coverage, you could end up waiting for the entire pre-existing condition exclusion period.
Whether you choose job-based, employer-sponsored health insurance or a private, individual plan, health care insurance is going to cost you a lot of money, especially if you have a family or if you have any ongoing medical issues. The exact amount depends on your particular situation needs. You may never need medical attention, and in that case, you might consider the money spent on health care insurance wasted.
However, most of us need medical attention at some time or another. Even healthy, positive lifestyle-oriented people have unexpected health events, car accidents and broken bones. You can’t anticipate when these events will happen, or how severe they will be, but without significant financial means or a decent health care insurance plan, you could end up financially devastated. Are you willing to make that gamble? To assume the risk of not being able to pay for medical services or products that you or a member of your family needs? Money spent on premiums is certainly a consideration when deciding whether to purchase health care insurance, but there are other priceless things to consider before you make a final decision.
Antique Insurance for Your “Old Auto”
If your classic or antique automobile is covered under a traditional auto insurance policy, then you may be wasting your money. Most people who know they have a classic or vintage vehicle don’t use that vehicle as they would their “everyday car”, and the insurance carried for it should take that into account. You’re much better off acquiring an insurance policy that is designed especially for the older car. You’ll be giving your car the coverage it needs and might even save on premiums in the process.
Old Cars vs. Classic Cars
So, what makes a vehicle antique, classic or just plain old? Each insurance company has its own definitions; but, in general, a classic car is one that is anywhere from 15 to 30 years old. It must also have some value on the collector’s market, be in good overall condition and not be used for commuting or any commercial endeavor.
A vehicle that is deemed to be “antique” is more than 25-30 years old and is only used for show purposes. Antique vehicles are usually outfitted with some sort of historic license plate as well. They can be driven, of course, but only in association with a show. An older vehicle that does not meet the criteria for either the “classic” or “antique” classifications is considered to be simply an “old car” and if used at all, must be covered under a traditional auto insurance policy.
Why the difference in automobile classifications so important? There are many specialty auto insurance companies that deal exclusively with collectable vehicles. If your car or truck is “antique” or “classic”, then you may qualify for insurance rates that are lower than traditional auto policies.
The Antique or Classic Car Appraisal
If you want your car insured for any amount greater than its book value, you may have to get an appraisal done (appraisals also come in handy in cases of divorce or estate planning). In the course of an official appraisal the car is properly categorized, its condition is documented and a list of comparable vehicles (along with their values) is made.
Choosing the right appraiser is very important. The person you choose to evaluate your vehicle should be knowledgeable about similar makes and model, should provide references and should make his or her résumé available to you. If you have trouble finding a qualified appraiser on your own, check with the American Society of Appraisers (ASA). The ASA will at least be able to point you toward the most helpful resources.
In order for the automobile to be properly insured, it must be properly categorized. Information such as body style, make, color, model, year and Vehicle Identification Number (VIN) or engine number are all noted. For some vehicles (i.e. Corvettes and Ferraris), the VIN is needed in order to verify authenticity.
Proper consideration of the vehicle’s condition is very important when appraising its value. The appraiser will need to thoroughly examine the vehicle, run it if possible and document the condition in a detailed written report. The appraiser will also record the vehicle’s condition through the use of photographs.
In order to add additional validity to the appraised value of the vehicle, the appraiser will also include in his or her report a list of comparable vehicles and their prices. This information can come from sale and auction results, vehicle price guides, advertisements and any other printed material that documents a similar vehicle’s market worth.
Insurance for the Antique or Classic Car
Obtaining insurance specifically designed for classic cars is very important. The correct policy will provide just the right amount of coverage for your vehicle. Furthermore, agencies that specialize in vehicles like yours are more likely to understand your special needs and concerns.
There are three types of insurance coverage for classic or antique cars, all of which are substantially less expensive than standard auto insurance: actual cash value, stated value and agreed value. Actual cash value (ACV) sets a value for the vehicle at the time coverage is obtained; and, as the vehicle ages, the ACV decreases. If a claim is made, the insurance adjuster is the one who sets the final ACV. In case of a claim, stated value coverage (SV) pays either the stated value of the vehicle, the cost to repair the vehicle or the ACV, whichever is less. Agreed value coverage (AV) is the most recommended type of coverage for an antique or classic vehicle. AV guarantees a set amount of coverage (set at the time the policy is purchased) should a claim arise.
Old Cars vs. Classic Cars
So, what makes a vehicle antique, classic or just plain old? Each insurance company has its own definitions; but, in general, a classic car is one that is anywhere from 15 to 30 years old. It must also have some value on the collector’s market, be in good overall condition and not be used for commuting or any commercial endeavor.
A vehicle that is deemed to be “antique” is more than 25-30 years old and is only used for show purposes. Antique vehicles are usually outfitted with some sort of historic license plate as well. They can be driven, of course, but only in association with a show. An older vehicle that does not meet the criteria for either the “classic” or “antique” classifications is considered to be simply an “old car” and if used at all, must be covered under a traditional auto insurance policy.
Why the difference in automobile classifications so important? There are many specialty auto insurance companies that deal exclusively with collectable vehicles. If your car or truck is “antique” or “classic”, then you may qualify for insurance rates that are lower than traditional auto policies.
The Antique or Classic Car Appraisal
If you want your car insured for any amount greater than its book value, you may have to get an appraisal done (appraisals also come in handy in cases of divorce or estate planning). In the course of an official appraisal the car is properly categorized, its condition is documented and a list of comparable vehicles (along with their values) is made.
Choosing the right appraiser is very important. The person you choose to evaluate your vehicle should be knowledgeable about similar makes and model, should provide references and should make his or her résumé available to you. If you have trouble finding a qualified appraiser on your own, check with the American Society of Appraisers (ASA). The ASA will at least be able to point you toward the most helpful resources.
In order for the automobile to be properly insured, it must be properly categorized. Information such as body style, make, color, model, year and Vehicle Identification Number (VIN) or engine number are all noted. For some vehicles (i.e. Corvettes and Ferraris), the VIN is needed in order to verify authenticity.
Proper consideration of the vehicle’s condition is very important when appraising its value. The appraiser will need to thoroughly examine the vehicle, run it if possible and document the condition in a detailed written report. The appraiser will also record the vehicle’s condition through the use of photographs.
In order to add additional validity to the appraised value of the vehicle, the appraiser will also include in his or her report a list of comparable vehicles and their prices. This information can come from sale and auction results, vehicle price guides, advertisements and any other printed material that documents a similar vehicle’s market worth.
Insurance for the Antique or Classic Car
Obtaining insurance specifically designed for classic cars is very important. The correct policy will provide just the right amount of coverage for your vehicle. Furthermore, agencies that specialize in vehicles like yours are more likely to understand your special needs and concerns.
There are three types of insurance coverage for classic or antique cars, all of which are substantially less expensive than standard auto insurance: actual cash value, stated value and agreed value. Actual cash value (ACV) sets a value for the vehicle at the time coverage is obtained; and, as the vehicle ages, the ACV decreases. If a claim is made, the insurance adjuster is the one who sets the final ACV. In case of a claim, stated value coverage (SV) pays either the stated value of the vehicle, the cost to repair the vehicle or the ACV, whichever is less. Agreed value coverage (AV) is the most recommended type of coverage for an antique or classic vehicle. AV guarantees a set amount of coverage (set at the time the policy is purchased) should a claim arise.
10 Things to Consider When Choosing an Insurance Company
We don’t think of it too often; as a matter of fact, unless we are faced with a health crisis or need, we don’t think about health insurance at all! It is no wonder that many of us are caught unawares when an emergency happens, and some of us suddenly realize that the insurance coverage we had ten years ago is woefully out of date for our current needs. While purchasing insurance can be a daunting task in itself, please remember that any plan is only as good as the company that underwrites and stands behind it. To this end, here are ten things to consider before choosing your next insurance company:
1. Full Disclosure
When purchasing an individual health insurance policy, the underwriter will look at your medical history. Prior to comparing rates, be sure to write down all pertinent information, so you will be able to compare apples to apples. Additionally, it will give you a feel for what kind of information raises red flags for insurance companies. If you suddenly deal with a company that does not bat an eyelash at your skydiving accident that happened just last month, you will need to ask a few more questions to make sure the rates don’t suddenly change after you sign on.
2. Pre-Existing Conditions
Most companies will not insure pre-existing conditions; others will do so after a sometimes lengthy waiting period. Still others are legally mandated to carry "guaranteed issue" policies. Prior to signing on with a company, get a detailed list of what is considered a pre-existing condition, the exclusionary period, and also what kind of coverage will be provided one the exclusion ends.
3. Interview An Agent
A licensed, independent insurance agent is a goldmine of information and industry gossip. Furthermore, the agent will be able to share feedback received from other clients about a given health insurance company, insurance products, and even customer service.
4. What Does The Future Hold?
When picking an insurance company it is imperative that its products and coverages can grow with you and your changing needs. Thus, a company that specializes in catastrophic coverage only will be of little use once you have children in the house.
5. Have It Your Way!
Since you will have to live with the health plan of your choosing, it is imperative that it will work for and with you. Therefore, you should think through your wants and needs when it comes to coverage. For example, how important is it to you to pick your own doctors? If it does not really matter to do, then an HMO may be a cost-saving choice. On the other hand, if you have a favorite doctor and wish to continue consulting this physician rather than picking someone else, you may wish to consider the pricier PPO.
6. Add-Ons
Some companies will bundle their products with other coverages, such as short- and long-term disability, prescription drug coverage, dental and vision coverage. If these are important to you, you should make sure the insurance company you wish to do business with will offer them.
7. Out Of Pocket Expenses?
Take the time to look at the fine print. For example, how much are the co-pays? Is there an annual cap on the co-pays? Do these caps pertain to a calendar year or any 365-day period? In addition to co-pays, what is the percentage of coverage?
8. Accessibility
An insurance company should be easy to get a hold of, should have extended office hours, and naturally also a toll-free number. Give the company a call and get a feel for average hold times, times of operation, and also services offered via telephone.
9. Rating
Check out the insurance company’s rating with the Better Business Bureau. A company that has too many unanswered complaints does not need your business!
10. Rate Increases
Talk to friends and neighbors who are insured with the company you are choosing, or if you are working with an agent, seek to find out how often the insurance companies has raised its rates in the last two years. This will be a fair measure of the possible rate changes that will await you once you sign on!
1. Full Disclosure
When purchasing an individual health insurance policy, the underwriter will look at your medical history. Prior to comparing rates, be sure to write down all pertinent information, so you will be able to compare apples to apples. Additionally, it will give you a feel for what kind of information raises red flags for insurance companies. If you suddenly deal with a company that does not bat an eyelash at your skydiving accident that happened just last month, you will need to ask a few more questions to make sure the rates don’t suddenly change after you sign on.
2. Pre-Existing Conditions
Most companies will not insure pre-existing conditions; others will do so after a sometimes lengthy waiting period. Still others are legally mandated to carry "guaranteed issue" policies. Prior to signing on with a company, get a detailed list of what is considered a pre-existing condition, the exclusionary period, and also what kind of coverage will be provided one the exclusion ends.
3. Interview An Agent
A licensed, independent insurance agent is a goldmine of information and industry gossip. Furthermore, the agent will be able to share feedback received from other clients about a given health insurance company, insurance products, and even customer service.
4. What Does The Future Hold?
When picking an insurance company it is imperative that its products and coverages can grow with you and your changing needs. Thus, a company that specializes in catastrophic coverage only will be of little use once you have children in the house.
5. Have It Your Way!
Since you will have to live with the health plan of your choosing, it is imperative that it will work for and with you. Therefore, you should think through your wants and needs when it comes to coverage. For example, how important is it to you to pick your own doctors? If it does not really matter to do, then an HMO may be a cost-saving choice. On the other hand, if you have a favorite doctor and wish to continue consulting this physician rather than picking someone else, you may wish to consider the pricier PPO.
6. Add-Ons
Some companies will bundle their products with other coverages, such as short- and long-term disability, prescription drug coverage, dental and vision coverage. If these are important to you, you should make sure the insurance company you wish to do business with will offer them.
7. Out Of Pocket Expenses?
Take the time to look at the fine print. For example, how much are the co-pays? Is there an annual cap on the co-pays? Do these caps pertain to a calendar year or any 365-day period? In addition to co-pays, what is the percentage of coverage?
8. Accessibility
An insurance company should be easy to get a hold of, should have extended office hours, and naturally also a toll-free number. Give the company a call and get a feel for average hold times, times of operation, and also services offered via telephone.
9. Rating
Check out the insurance company’s rating with the Better Business Bureau. A company that has too many unanswered complaints does not need your business!
10. Rate Increases
Talk to friends and neighbors who are insured with the company you are choosing, or if you are working with an agent, seek to find out how often the insurance companies has raised its rates in the last two years. This will be a fair measure of the possible rate changes that will await you once you sign on!
Buyer Of Structured Settlement
A buyer of structured settlement payments will often offer to purchase the scheduled payments from an individual. There are many reasons why individuals will choose to participate in this and why companies may offer this service. For the consumer or individual receiving the settlement, they may desire to receive a lump sum instead of a scheduled plan. The money may be needed immediately for a large bill or expense. Making small payments may mean paying more on bills over a period of time for the individual. Companies often recognize the needs of the individuals to receive money immediately as opposed to small payments on a regular interval. The company stands to gain money through the settlement which will often be much greater than the lump sum amount they provide to the individual because of fees and other costs that may be accessed for the service. As the buyer of a structured settlement, a company receives benefits while the individual receives the amount of money they need for various expenses.
For the individual, structured settlement payments are supposed to be set up where periodic payments, usually on a monthly basis, are received for injuries, wrongful death, and other similar lawsuits. The money is often paid out in this manner to allow individuals to receive a continual flow of money as opposed to a lump sum. With a lump sum, the money is taxable and the individuals may feel free to spend the money. There is a huge advantage to receiving the tax free payments. Often, the amount of taxes that individuals have to pay can be quite high, especially on a large amount of money as a lawsuit might provide. As a high dollar amount comes in all at once, the individual is more likely to spend the money as opposed to saving it. This could cause serious problems in the future when further medical bills or other expenses come due. For individuals receiving scheduled payments as opposed to a lump sum, there may be times when a larger amount of money is needed for higher bills. In this situation, the individual may seek a buyer of structured settlement payments. Many companies throughout the country have been established for this purpose. Seeking the buyer of a structured settlement can be a very important thing for an individual. There are many times when the individual may run into financial problems that require a large amount of money as opposed to the small amounts over the time period.
Many companies are more than happy to work with individuals in need of a lump sum in return for periodic payments. First and foremost, the company will receive a profit from this transaction. Certain fees and percentages will be taken out of the payment in order to allow the company to cover expenses and make a profit. This allows the company to continue to complete these services for other individuals. Operating expenses such as payroll, supplies, and other costs will be covered by any profits that are received through this service. The buyer of a structured settlement is not only interested in making a profit, but most are very willing to provide this helpful service to individuals. A buyer of structured settlement payments understands the needs of individuals who are in this situation. Working with a buyer of structured settlement payments is something that may seem difficult to individuals. Choosing the right company, getting advice, and making the best choices may have a tendency to be overwhelming. There is also a choice to be made on selling the entire settlement or only a portion to the company. For a Christian involved in this situation, trusting in God can be helpful in this decision. Praying to God for guidance and strength in decisions will often provide answers and peace of mind. "Trust in the LORD with all thine heart; and lean not unto thine own understanding. In all thy ways acknowledge him, and he shall direct thy paths" (Proverbs 3:5-6).
Structured Settlement Purchaser
A structured settlement purchaser is someone who is interested in buying up a settlement for a lump sum payment amount from someone who has been granted a settlement by the court. Companies or individuals who offer to pay a lump sum amount often do so because they stand to make a profit from the sale. A judge may have to approve the sale before a structured settlement purchaser can make a purchase on annuities issued by an insurance company. If the decision has been made to sell the seller should seek legal counsel and shop around for the best offer. The owner should think about the consequences of not having a certain amount of money coming in at regular intervals before selling out.
When a person has become injured and a settlement is made in court to compensate the injured party, she is sent a payment on that settlement at regular intervals until the settlement is paid in full. A structured settlement purchaser offers to buy this from the injured party in exchange for one lump sum payment. This may sound great at the time but it will be easy for the injured party to spend the money quickly and not have anything left for the future. This could turn out bad if the person is unable to work or is partially disabled where he or she can only work at low paying jobs. This can be a great temptation for someone who does not have the discipline to overcome or put the truth into perspective. A person should ask why a lump sum payment is necessary and should give himself time before making a final decision.
The insurance company who is liable for the payments purchases annuities to help cover the amount due to the injured party. Annuities are often funded by investments made by the company who owns them. The interest earned helps to cover the amount due. Some insurance companies will not allow a structured settlement purchaser to buy them. In addition, some states have laws that prohibit the sell of annuities or only allow the sell to be valid if it is approved through the court system. Obtaining legal counsel can help a person to know if it is even possible to sell their annuities for a lump sum payment and if it is how he or she can go about doing it.
Quotes are available online through companies who offer choices from a structured settlement purchaser. The choices usually involve several different quotes from various buyers so that the seller has a choice who to sell to and how much the lump sum payment is for. Of course the main thing is to get the most money from the annuity but a person should be careful to choose a reputable company to deal with. Prayer and the Lord's guidance should be sought in a decision as serious as this one. "Howbeit when He, the Spirit of truth, is come, He will guide you into all truth: for He shall not speak of Himself; but whatsoever He shall hear, that shall He speak: and He will show you things to come" (John 16:13). Legal documents precede the actual sell so this is a good time to seek legal counsel and make sure all of the documents are in order.
The court process to selling an annuity could take as long as 30 days or more. The entire process could take as long as a couple of months from start to finish. A person wanting to sell to a structured settlement purchaser needs to think about what it will mean to him or her, not only presently, but in the future. Not having a set amount of money coming in each month or on a regular basis could mean the difference in living well and barely surviving. Most states require that the person be allowed to change his or her mind before making the final sell. This is good because for some people it can be a very serious decision, especially someone who is not capable of holding down a full time job. Having the process go through a court process actually helps to protect the rights of both parties.
Limitations of sell do exist for some types of payments that a person may want to find a structured settlement purchaser. These may include pensions, social security payments, mortgages, veteran disability, money due to a minor, and any cases that are not considered final settlements. Annuities that fall within the legal guidelines that can be purchased are normally for funds that are provided to an individual from an insurance company where injury or illness has taken place or from someone who has won a lottery. Guaranteed life contingent payments from a lawsuit will usually qualify.
Lawsuit Settlement Loan
The term lawsuit settlement loan is actually a misnomer of sorts because they are not classified as loans for legal purposes. In most cases, they are classified as a non-recourse cash advance. Funds are distributed only to people with pending lawsuits. The funds are used to help the plaintiff meet financial obligations until the case is settled in court. According to an online search of finance companies, cash advances can be obtained for lawsuits of just about any sort: motor vehicle accident, slip and fall, product liability, construction accidents, medical malpractice, false imprisonment, and commercial litigation. Non-recourse means that the person receiving the cash advance is not required to repay the money if the case is not won. Adjustments are made to the amount that must be repaid, if the case is won, but the settlement is less than anticipated. The process is really simple, if a person wins their case the amount of the advance along with fees are paid directly to the finance company out of the settlement, judgment, or award. But, if a person doesn't win in court, he or she doesn't have to pay.
Even if a lawsuit settlement loan is not classified as a loan for legal purposes, remember what Proverbs says. The rich rule the poor and the borrower is servant to the lender. Generally, a person must be a plaintiff and he or she must be represented by an attorney. After the initial paperwork is submitted, a finance company will contact the attorney. The two parties discuss the case and estimate the value of the settlement. If the financial provider determines that the case is likely to be won, funds will usually be distributed within twenty-four to forty-eight hours. Again, these types of financial transactions are not loans. Credit is not extended and they do not go on a person's credit report. In a sense, the finance company is speculating on the outcome of the court case. Therefore, a lawsuit settlement loan is considered high risk, so the transaction fees can be significant. The charge may be a single flat fee paid once the case is won.
On the other hand, the finance company may charge a fee each month the lawsuit settlement loan is outstanding. Some court cases can take years to settle, and monthly fees accrue quickly. Finance companies may charge the monthly fee for each month beginning when the funds are issued and when it is finally recouped by the company. Fees may be as high as 15 percent per month. As a result, once the case is settled the fees can be quite significant. All cases vary, and the amount of money a person may be advanced will vary as well. Advances generally range anywhere from under $1,000 going up to $75,000. But some finance companies will advance up to $100,000 under certain circumstances. A lawsuit settlement loan may be a good choice during times of hardship, such as when a person is unable to work, his or her income has been significantly reduced, or if they need help paying health-care expenses.
But, a lawsuit settlement loan should be considered a last resort. Take a long close look at the hardship and determine if this course of action is desirable. If the case is won, a large portion of the settlement is going to the finance company. That makes the borrower a servant to the finance company. Money and worldly possessions don't make for true wealth and they don't necessarily relieve hardship. However, being rich in God does. "But in all things approving ourselves as the ministers of God, in much patience, in afflictions, in necessities, in distresses, in stripes, in imprisonments, in tumults, in labours, in watchings, in fastings; By pureness, by knowledge, by longsuffering, by kindness, by the Holy Ghost, by love unfeigned, By the word of truth, by the power of God, by the armour of righteousness on the right hand and on the left, by honour and dishonor, by evil report and good report; as deceivers, yet true; as unknown; as dying and, behold, we live; as chastened, and not killed; As sorrowful, yet always rejoicing; as poor, yet making many rich; as having nothing, and yet possessing all things." (2 Corinthians 6:4-10)
Other funding options should be sought first. Financial and legal experts suggest that a person should shop around first before deciding on this type of funding. If a person does decide to pursue a settlement loan, they should investigate several companies. As it was mentioned earlier in the article, a lawsuit settlement loan is not actually classified as a loan. If they were, the finance company would not be able to charge the fees they do. Since the transactions are high risk, high fees are necessary. Without charging high fees to offset the risks, companies couldn't offer them. Most states have what are called usury laws, which are designed to prevent lenders from charging excessive interest rates on loans. Basically, if the interest rate exceeds a set percentage for certain types of loans, then under the usury law it is considered to be an illegal contract and cannot be enforced. For the most part, a lawsuit settlement loan will be referred to as a pre-settlement funding, cash advance, investment, or venture capital. According to an online legal website, financial groups can get around the usury laws because the contract is set up so the person being provided the funds does not repay the amount received. He or she will pay only a portion of any settlement received.
Unsecured Business Loans to Entrepreneurs
Of the many loans for businesses available, unsecured business loans are said to offer the most convenient way for business owners to meet the financial needs related to their enterprise. These funds can help entrepreneurs to cope up with all of the expenses and liabilities related to business. This financial assistance can offer business with the funds they required without pledging any security to the loan. With this unique feature, borrowers who do not have any set, or those who do not want to place any of their assets can get the needed amount to satisfy their business responsibilities.
The amount of money borrowed will be used to purchase raw materials, equipments, machinery and activities related to business such as marketing and advertising. These financial assistances are great choice for immediate business requirement, especially when the business owner has no guarantee to place. There are numerous benefits that these risk free business funding can provide to borrowers. Obviously it is free from pledging security, processing is fast without any hassle, low documentation amount, easy approval, no risk of property loss, flexible term of repayment and helps borrowers get rid of bad credit.
The biggest advantage of unsecured business loans bad credits is that borrowers with poor credits may also apply and obtain finances without any hassle. However, borrowers must remember that they will have to pay higher rate of interest due to credit issues. Anyone can avail of this loan whether expanding a business or for those who are starting out. But before the loan is approved, the lender will first check some proofs such as the nature of the business and business profile, number of employees and partners and earnings details.
Because of the many features and benefits that this type of loan offers, there are many business owners who are encouraged to start their own business for they don't have to worry about their capital to get their business off the ground. The same is true with businesses that need additional capital to expand their existing business.
There are many lenders on the internet for unsecured business loans. Most lenders offer loan packages with variable and fixed interest in order for borrowers to choose on that really suits their needs and capacity. Regardless of where you want to obtain the loan, whether from online lenders or financial institutions like banks, remember that this ca help entrepreneurs obtain quick cash without any security.
Unsecured Business Loans for a Risk
It is an undeniable fact that without funds no
one can imagine the existence of a business. In order to run a business
in the most effective manner it is significant to go for a broader
vision and strategically look for all the available options. It is
necessary to find a flexible source of funding that can offer you some
risk free options and help your business to grow in a better way.
When we talk from the perspective of the small and moderate scale businesses then the priority always remains to attain a hassle free process that can provide the loan amount in the most convenient manner. Here, the unsecured business loans play a significant role to protect the businesses that do have limited number of resources with them and cannot afford to bear the strict policies of traditional bank loan.
The business loans falling in the unsecured category involve the least process of documentation and only the most important steps of formalities are taken into consideration. You can quickly get your loans sanctioned and use the amount for any kind of business related expenditure or the diverse expansion plans for the future.
Your business is dependent on numerous factors and you have to plan about them in advance. You have to think about alternative ways through which you can secure your business at the time of emergency. It is necessary to get through an example to understand the importance of unsecured business loans.
For instance, your clientele received their order from you and now you are anticipating the payment of your invoice from their side. It is necessary to attain maximum recovery from their side in order to invest the money in other business plans. What will happen if some of them suffer from bad debt and fail to pay you in time? Well, you cannot halt your business plans merely because of their inability to make the on time payment of your products/ services. Here, the unsecured type business loans will play a decisive role for you. You can immediately apply for the loan and receive immediate financial backup from your reliable unsecured money lender.
It is worth notable that if you try the traditional bank loan to fulfill your business needs then it can have adverse results in one way or the other. It is significant that your submission of collateral in a newly established business will certainly not going to be a prudent decision. In the case when you become a defaulter, the strict reimbursement policies of the bank will hamper your business plans.
When we talk from the perspective of the small and moderate scale businesses then the priority always remains to attain a hassle free process that can provide the loan amount in the most convenient manner. Here, the unsecured business loans play a significant role to protect the businesses that do have limited number of resources with them and cannot afford to bear the strict policies of traditional bank loan.
The business loans falling in the unsecured category involve the least process of documentation and only the most important steps of formalities are taken into consideration. You can quickly get your loans sanctioned and use the amount for any kind of business related expenditure or the diverse expansion plans for the future.
Your business is dependent on numerous factors and you have to plan about them in advance. You have to think about alternative ways through which you can secure your business at the time of emergency. It is necessary to get through an example to understand the importance of unsecured business loans.
For instance, your clientele received their order from you and now you are anticipating the payment of your invoice from their side. It is necessary to attain maximum recovery from their side in order to invest the money in other business plans. What will happen if some of them suffer from bad debt and fail to pay you in time? Well, you cannot halt your business plans merely because of their inability to make the on time payment of your products/ services. Here, the unsecured type business loans will play a decisive role for you. You can immediately apply for the loan and receive immediate financial backup from your reliable unsecured money lender.
It is worth notable that if you try the traditional bank loan to fulfill your business needs then it can have adverse results in one way or the other. It is significant that your submission of collateral in a newly established business will certainly not going to be a prudent decision. In the case when you become a defaulter, the strict reimbursement policies of the bank will hamper your business plans.
Business Loans Your Best Financial Possibility
An unsecured business loan doesn't require any guarantee to get the loan approved. This makes the unsecured loans a favorable choice for business owners. These are comparatively quick time period loans that can be used for a sudden enterprise need. The wants of business loans may differ from shopping for equipment, and business redesigning to office growth and/or advertising. Enterprise loans are completely different from private loans in the sense that the loans are meant for business functions only. However, to secure a business loan, one must have business credit score history. Because the figure of parameters to seek out the best prospective borrowers is limited, having a superb enterprise credit is very significant. Normally, the loan officer verifies the enterprise credit score of the borrower earlier than approving the loans. It's also important to determine that the borrower will be capable to pay back the loan, in time. Furthermore, from the time when it's an unsecured loan, the lenders would be cautious enough about who they extend credit to. Often, the greatest limit of unsecured enterprise loans doesn't exceed $50,000 for the start up. Nevertheless, depending upon your enterprise credit historical past and efficiency parameters of your company, the limit of business loans can be extended. Nonetheless, since the loans are for short time period usage, the rates of interest applicable in case of these loans are increased than in the case of traditional or secured enterprise loans. There may be another benefit connected to unsecured business loans. Usually, the rates of interest on these loans are calculated on the used portion of the business loan rather than the whole line of credit. It is a crucial factor as the cost of the loan (and the burden) gets lowered as a result of this function. Therefore, it's sensible to make use of the loan when it's most necessary. The business loanis also distinctive because there may be normally no link between business credit history and personal credit history. Therefore, you cannot use the social security number while applying for an unsecured business loan. Applying for a business loan additionally requires filling up a form that checks numerous factors related to the enterprise you might be in. The form normally takes under consideration the authorized and business obligations that must be verified for approving the loan. The unsecured enterprise loans are also favorable due to the liquidity factor. since, there is no such thing as a need to pledge any collateral; businessmen can really feel secure about the future of their equity. Additionally, by proper utilization of the Business Loans , sufficient funds will be generated without contemplating the assets factor. This is a win-win situation for both the parties involved. Whereas the lender can ensure that with proper utilization of the loan, the interests may be properly paid, the borrower can venture into business without having many worries. The Unsecured Business Loans are the very best financial choices for sudden enterprise needs. One can fuel the growth of the enterprise by borrowing money from the lenders and later, when sufficient funds can be found, they will pay back the loan. Nonetheless, correct utilization of the loan is a vital factor as the returns on investment must be sufficient to look after the rates of interest together with the principal
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