Love Marriage and Insurance

Getting married is more than a union of lives and souls. It's also a union of financial responsibilities! Insurance needs are going to change when you get married, so make sure that you review your policies and get the most of out of your insurance—after all, it's an important part of protecting your new life together.
Car InsuranceMake sure to inform your auto insurance company or agent that you are married, because many auto insurance companies offer discounted rates for married couples. You may want to get quotes from both of your companies—and maybe some new ones when you're ready to merge your coverage. A multi-car policy could start saving you money right away—and check for other discounts like a low-mileage discount, if you carpool. Lastly, if you and your spouse will be driving each other's cars before you combine your coverage onto one policy, makes sure there's coverage for each of you as a permissive operator. You agent can help with that one.
Life InsuranceLife insurance might be the next thing to consider as you start your life together. Life insurance helps your spouse financially in the event of your death by covering debts you may have incurred, and is equally important to have if you are considering having children or even buying a new home. Discuss how much life insurance you need as a couple today, and make sure to regularly review your needs. Even if buying a life policy isn't in this year's budget, you can learn about the different types of life insurance for the future.
Health InsuranceEvaluate your health insurance plans, and decide if it's going to be better to keep individual plans, or make a change. For example, if you have a good employer-sponsored health insurance plan, it may be more cost effective to move your spouse over to your plan (or vice versa). You'll need to consider long-term plans as well as your immediate needs, if you're planning on starting a family. If you're a student, there are often health plans available on campus. And, if you have no coverage at all, you may want to consider a high deductible plan—just to have coverage for a major event.
Additional Homeowners CoverageIf you've just moved in together, or bought a new house, you'll quickly discover that you have a lot more stuff than before—and that doesn't even include wedding gifts, new furniture or wedding rings. Make sure that all your belongings are covered under your homeowners policy, and if you need to get additional coverage, don't delay too long.
It's important to note that homeowners insurance and renter's insurance, though they do protect the physical structure of your home and its possessions, they don't always cover jewelry or other expensive "one-off" items. Your homeowners insurance agent or insurance company, will be able to determine what kind of insurance coverage is best for your valuables, and may determine if a rider is needed on your homeowners policy to cover your valuables, such as jewelry.
Another factor you should discuss with your homeowners insurance agent when applying for your rider policy is whether the extension provides "actual cash value" or "replacement cost coverage." Though replacement cost coverage is more expensive than actual cash value, it provides more coverage because actual cash value factors in depreciation for the item. This means you will only be paid back what the item was worth at the time it was stolen or damaged, not the price you initially paid for it.
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Source : insurance.com

Your Life Insurance Company: How Good Is It?

Insurance companies keep tabs on you, and it is important that you keep tabs on them. If you see your insurance company in the news, be sure to find out why. It's important not only to concentrate on the policy you have, but also the company that provides it. The strength and stability of the company are important factors. To evaluate a company, you can use different tools offered by financial rating firms, industry associations like the Insurance Marketplace Standards Association (IMSA), or even your own state's insurance department.
What to look forWhen you evaluate a life insurance company, remember these key points:
1. State licensing and complaintsMake sure the company is legally licensed to provide insurance in your city and state. You can check the Company's website for its license status or contact your state's insurance department to verify this information.
Each state has a different way of dealing with insurance companies and with complaints consumers file against them. Many compile a complaint report every year by tallying the total number of complaints and ranking them in relation to each company's market share. If you notice that many policyholders filed complaints against a certain life insurance company, you can check with your state insurance department to see why. Complaints can range from minor, such as a bad experience with an agent, to something more serious, like misrepresentation of a policy or problems with a claim. Keep in mind that a complaint may only prove that a customer was unhappy, not that the company did something wrong.
2. Financial strength ratingsReview your life insurance company's financial strength and stability ratings. Check with major rating companies, but remember that not all life insurance companies are rated by every service. There are five different ratings firms that issue financial strength ratings for insurance companies. They are Standard & Poor's, Fitch Ratings, A.M. Best, Moody's Investors Service, and TheStreet.com Ratings (formerly Weiss Ratings).
When a life insurance company is rated, the rating gauges its probable financial future. For example, if it receives a low rating, it generally means the company doesn't have many assets and/or financial reserves available. This could affect payment of claims or the life of the company. A financially troubled company could have trouble paying claims, or be sold or closed. It is a good idea to keep an eye on your life insurance company's ratings, because they can fluctuate at any time due to any number of circumstances. The typical fluctuations occur from bad financial decisions and investments, the loss of money, mergers, and even the news of a possible merger.
3. "Seal of Approval"Throughout their history, life insurance industry officials have received great scrutiny from the press. As a way of strengthening public trust and support, a seal of approval called the Insurance Marketplace Standards Association (IMSA) designation was created.
IMSA membership shows that a company has passed a tough review of its practices and ethics. The assessment focuses mainly on marketing, sales, and customer service. To continue membership, a company must complete this test every three years. It should be noted that IMSA membership is a plus, not a reason to ignore other factors when considering a life insurance company.
Do you have any questions or comments? Please let us know.

Source :insurance.com

Federal vs. State Regulated Insurance: Which Is Better?

In an effort to streamline regulations that govern new coverage plans and update existing products when it comes to insurance, the American Council of Life Insurers (ACLI) is proposing to give insurance companies that do business in more than one state the option of operating under federal insurance regulations. The ACLI, along with other industry groups, insurance representatives and legislation, is working to create a new office in the National Treasury Department called the Office of National Insurers.

This new office would allow insurance companies to decide if they would rather operate under state or federal insurance regulation. It would also oversee consumer protection, regulation of premium rates and sales, as well as marketplace practice. Insurance companies would fund the office, and it is comparable to The Office of the Comptroller of the Currency (for banks) or the Office of Thrift Supervision (for credit unions or institutions for savings).

What areas the Office of National Insurers would cover
If an insurance company opted to operate under federal regulation, they would be required to join the guaranty association for each state they do business with. If the guaranty fund doesn't meet federal insurance requirements for coverage and benefits of a policyholder, a national guaranty association would then be established. "It may be easier for an insurance company to operate under federal regulation rather than state," says David Roush, CEO of Insurance.com. "This way, they won't have to tailor their services to be conducive to that of the state."

If a company prefers to stay regulated by the state, there are a few changes they would have to look at, such as, product regulation, producer licensing and market conduct.

Opposed to the Office of National Insurers
To some insurance companies, the idea of being federally regulated makes no sense, because not every state has the same insurance needs. For instance, Florida residents would be more apt to purchase hurricane insurance instead of earthquake insurance, where as California residents would be more prone to purchase earthquake insurance instead of hurricane insurance. Some state insurance officials argue that if states are going to have a need for more customized homeowners insurance plans, then it would make more sense to let regulation remain at a state level. Property and casualty insurance trade associations are the biggest opponents, because their main focus is to overhaul state regulations-and believe that insurance annuities and products really don't vary that much from state to state.

National Insurance Regulations
The National Association of Insurance Commissioners (NAIC) hopes to establish state task forces to regulate insurance companies. These task forces, acting without help from the federal government, would in effect be the beginning of a "national treatment" plan. Depending on the number of states an insurance company does business with; it will be regulated by up to a total of nine of those states.

The main insurance group that is pushing for federal insurance regulations is life insurance and annuities companies. In being federally regulated, these companies will then be able to be on the same level as banks-since banks can be chartered and regulated at both a state and federal level. Insurance companies and annuities companies feel that banks have an unfair advantage over them, because they can bypass the state-based regulations system - saving them time and money. As it is now, banks and security firms can get new products on the market faster than insurance companies and annuity companies (typically within 30-90 days)-whereas insurers have to wait between six to 18 months.

If you are interested in getting a life insurance quote or a homeowners insurance quote, visit Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance and homeowners insurance providers - helping you find the best life and homeowners insurance coverage for you.
Source :insurance.com

What's Your Worth on the Body-Parts Market

They say there's a price on everything these days, and your body parts are no exception. Worker's compensation, lawsuits and accidental death and dismemberment (AD&D) policies give monetary worth to your body parts, depending on what profession you are in. If you are injured and lose a limb in an accident, your profession (and how famous you are) will factor in on determining how much your limbs are worth on the body-parts market. For example, if a famous guitar player lost a finger or thumb, the part would be worth far more than if a regular Joe Schmoe lost them.

Typically, in the event you lose a body part on the job, worker's compensation will cover the cost of your injury. Each part of your body is assigned a set number of weeks for compensation purposes. The general equation they use when determining the worth of your body part is by taking a percentage of your weekly salary and multiplying it by the number of weeks assigned to the lost part.

Accidental death and dismemberment
AD&D, like worker's compensation, has a "schedule" for body parts in relation to compensation. If you claim AD&D because of loss of sight in one eye, you will get 50 percent of your policy because you still have effective vision in your other eye. If you lose sight in both eyes, you will receive a 100 percent payout. Many times, the payout from an AD&D may be 25 percent of the policy-it all depends on what body part you lose use of.

Historically, legs used to be worth far more than arms, but now, they are just about equal. This is because many jobs require keyboarding and assembly skills, and without hands and fingers, the tasks may be nearly impossible. And when it comes to your hands, your thumbs are worth much more than your fingers, mainly because the loss of your thumb inhibits your ability to grasp objects.

If you are thinking about getting an accidental death and dismemberment insurance, or if you are interested in getting a life insurance coverage quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping you find the best life insurance coverage for you and your family.
Source :insurance.com

A Charitable Donation-Your Life Insurance Policy

If you're a big-hearted person who is always concerned about the welfare of others, you may be considering donating your life insurance to a charitable organization. If you do decide to go through with it, not only will you be helping others, but you will be helping to get yourself a tax-deduction as well.

If using your life insurance policy to make a charitable donation sounds like something you want to do, there are a few things you need to consider before signing your life insurance policy over:

* Be sure the charity you are considering is a non-profit organization that has a 501(c) (3) status
* Talk with someone there to be sure they will accept your life insurance donation (term life policies are the least favorable to charities, because they offer the most headaches and the least amount back when the term expires

Tax deduction
If you are donating to get a tax deduction, be sure to name the charity as both the beneficiary and the owner of the policy. If you name it as one or the other, you will not be able to deduct the donation proceeds from your taxes. The rule of thumb is if you donate a term life insurance policy, you can deduct the premium from your taxes, where as if you donate a whole life insurance policy, you can deduct the cost of the premiums and the cash value from your taxes.

Show of hands: Who wants your policy
Many charities appreciate the thought of a life insurance donation, but they prefer to have use of the donation immediately. Smaller and local charities don't have the resources that larger ones have and will more than likely welcome any contributions they can get, even if they have to wait for the payout. When it comes to larger organizations and universities, a team of money managers is on-hand to decide how to make the most off of your life insurance policy. By investing the money you spend on the policy, charities and organizations may be able to earn far more off the initial donation you give them.

An example of this is when a university accepts a whole life insurance donation ($400,000 death benefit with a $30,000 cash value), but then immediately cancels the policy and collects off it. Instead of letting time go on and allowing the death benefits to grow, university money managers may decide to invest the $30,000 in the stock market to get a quicker return from the donation.

If you are interested in getting a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping you find the best life insurance coverage for you and your family.
Source :insurance.com

Estate Tax Reform: Why Millionaires Aren't Batting An Eye

Since 2002, the estate tax rate has been gradually decreasing, while exemptions levels have been steadily increasing. These elements combined have been paving the way for a complete repeal of the estate tax in 2010. Any inheritance that an heir chooses to sell will then be subject to capital gain taxes. But in 2011, there is a sunset revision, which will put the estate tax back into effect.

Opinions on what will happen vary, some millionaires believe the repeal of the estate tax will leave them paying less, some believe they will end up paying more, while others think the repeal will have no effect on their estate taxes at all. Many "high net worth individuals," meaning those who have more than $1 million in assets not including a home, aren't batting an eye to the estate tax reform. Studies show that many are keeping with their current plans on inheritance, and waiting to see what happens when the reform goes into effect. Also, many are planning to:

* Consult with a financial advisor on estate planning
* Increase or maintain charitable donations
* Leave trust fund where they are
* Leave life insurance policies where they are
* Increase or maintain plans for tax advantaged giving

Not many high net worth individuals plan to terminate trusts, decrease their donations to charities or children, or drop their life insurance plan completely.

If you are interested in getting a life insurance coverage quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping you find the best life insurance coverage for you and your family.
Source :insurance.com

Do You Need More Than Just Group Life Insurance?

Though group life insurance is a great deal, is it really all the insurance coverage that you need?

In most cases your employer owns the group life insurance policy, and you will either receive it as an employee benefit or you can purchase it through your company's benefits plan voluntarily. If it is a benefit, it typically equates to one full year's salary that is paid out to your beneficiaries at the time of death. Smaller companies may offer a set, face amount payout, depending on your position at the company. Larger companies usually offer better death benefits, like up to three times your salary, in the event of your death. Smaller businesses are more apt to offer smaller plans due to limited funds.

Group life insurance that is offered on a voluntary basis is typically more extensive than if it's given as a benefit. Depending on what kind of policy you have, your spouse and children may be covered as well. The size of your death benefit can vary, and at some places, there is a maximum amount of $1 million that can be collected by the beneficiary at the time of death. Some employers even go as far as to offer a whole life insurance policy, giving employees permanent life insurance coverage, even after they leave or retire. The main difference between individual life insurance rates and group rates is that the premiums in group life insurance rates go up every five years (or so), because the risk of death associated with age increases.

Why group life insurance is so "cheap"
The cost of insuring a group of people, rather than an individual person, is cheaper because the rate is based on the overall risk of the group. The insurer typically assumes that not all people who are insured will remain with the company until they retire, which in turn means a shorter life insurance term. Also, the likelihood of the entire group dying is far less likely than if you base it off of one person.

The cost to insure a $100,000 life insurance policy under a universal life group policy would only be $5 per month, or $70 per year. This is because generally, for a person in good health working a normal job, the cost per $1,000 worth of life insurance coverage is only 5 cents.

No medical exams required
Unless a severe health problem is listed in the questionnaire when applying for group life insurance, no medical exam will be required. In laymen's terms, you will qualify for life insurance, regardless of any outstanding medical conditions, making it a guaranteed issue.

If a health problem is found, a medical exam, including blood and urine specimens, will be required before you can be approved for life insurance. Figures will be listed and compared in table format, comparing the employee population of males to females, smokers to non-smokers, and the nature of the work being done at the company and by the candidate. High-risk jobs, such as construction or carpentry, will likely be more expensive than low-risk jobs, like working in an office or a bank.

Added Bonus
Group life insurance is a great added bonus for you; however, it should not be used instead of individual life insurance. With group life insurance, the coverage offered is not always enough to take care of your beneficiaries, especially if you are the main bread winner in the family. Also, you may lose your group life insurance coverage once you leave your current job, and if you developed a health condition while working there, it may be more difficult to get affordable life insurance rates at the next place you go to.

However, the option to keep your life insurance after your leave or retire may be available, but it will probably cost you ten to 25 percent more in insurance premiums. In the event your employer switches life insurance plans or cancels the one you have, you will no longer be covered.

The downsides of group life insurance coverage

* You may lose life insurance coverage if you change jobs
* Limited life insurance coverage options and features to select from
* Group policies are more standard than individual life insurance plans

If you are interested in receiving a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping find the best life insurance plan for you and your family.
Source :insurance.com

Child Beneficiaries And Their Life Insurance Trusts

According to Merriam-Webster's dictionary, a trust is a property interest held by one person for the benefit of another. The trustee (the person who holds the trust for another person) does not have the right to benefit from the trust. They can, however, be held accountable and liable for any lost funds, in the event they don't manage the assets responsibly.

It is a good idea to have a life insurance trust to benefit dependent children when your income is lost due to your death, but more so, it is important that these benefits you set up for your children are used the way you want them to be used. To do this you will want to create trusts for each of your children. Trusts are easy to create, so all you need to do is check with your life insurance company and see what verbiage you will need to include in your life insurance policy and will. You should appoint a guardian, as well as stating the trust in your last will and testament-in the case of a life insurance policy, your death benefits would be transferred to the trust after your death.

It's quite common for young parents to name each other as beneficiary, but if they both die, the money can be put into a trust for the couple's children. The trust agreement needs to be clear as to whom the trustee is and how the money is to be used.

What if I have a special needs child?
If you have a special needs child, and they can neither work nor care for themselves, a special needs trust can be set up in their name using your life insurance funds to pay for their care. Social Security is generally the income they can expect to receive when you die, so it's important to note that by giving the money to them outright, they may be ineligible for the Social Security until the money runs out. With the special needs trust, the trustee can pay for everything except for essentials, such as food, clothing, shelter and medication-which can be covered by Social Security instead.

It is most important to be sure that the terms of your trust are in writing and that you make the life insurance company aware, as well as the allotted trustee, of the arrangements of the trust.

If you are interested in getting a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping you find the best life insurance coverage for you and your family.

Source :insurance.com

Things To Consider Before You Sell Your Life Insurance Policy

Everything has a price and when you need money, selling your life insurance may sound like a good idea—especially if you are extremely sick because you can generally get anywhere from 50 to 80 percent back off the face value. However, although it may sound like a viable option, it’s important to keep in mind why you bought the life insurance policy in the first place!

Things to consider
When a viatical company is interested in buying your life insurance policy and they know you are ill, they will demand access to your medical records. Ultimately, the buyer makes the most money off of your policy the longer you are expected to live. Any and all details about your medical history and condition will be run over with a fine-toothed comb. Don't forget, they will keep track of your progress, many times using little to no discretion, by calling you on the phone, mailing out postcards, or getting in contact with you through a pre-determined means of communication. To sum it up, anyone (creditors included) will have open access to view your transaction.

Below are tips to consider before you sell your life insurance policy:

* Check into alternatives. If you need cash quickly, there may be other ways to get it, without having to sell your life insurance policy to a viatical settlement company. Check with your current life insurance company and see if they offer an accelerated death benefit. You may be charged a fee for acting on it, but at least you will be doing business with a company you know and trust.
* Talk it over with your beneficiaries. It’s a good idea to discuss your thoughts on selling your life insurance with your beneficiaries. If they are depending on your death benefits to pay for the cost of your outstanding medical treatment, they will need to know.
* Consult your accountant, financial planner or attorney. There are many financial aspects you should find out before selling your life insurance policy. Ask if the proceeds will be tax-free and what kind of impact it will have on probate and estate settlements. According to the Health Insurance Portability and Accountability Act, if the insured is terminally ill the settlement is not subject to federal income taxes; but if the insured is mildly ill or healthy, the settlement will be taxed as a capital gain.
* Check on viatical licensing or regulations. Your state insurance department will be able to tell you what laws there are for viatical companies or viatical brokers, such as the requirement for them to be licensed.
* Affects on public assistance. Public assistance is typically based on financial need, so if you go through a viatical life settlement, you may hinder the amount of assistance you get, as well as opening yourself up to creditors—because viatical life settlement proceeds are fair game in the financial world.
* Shop around for viatical companies. Companies differ on the amount of payout they offer for viatical life settlements, so be sure to shop around and compare. The Viatical Association of America recommends getting at least three different offers, so you can compare and see what the best and most beneficial payout will be.
* Escrow accounts. For legitimate viatical companies, getting a request to have an escrow account opened and ready when you accept the settlement is no big deal. But if the company you are going to sell your account to denies your request, it is right to assume that they may be fraudulent—because the denial of the account is a red flag that the money may not be there to cover your offer.

If you are interested in getting a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers – helping you find the best life insurance coverage for you, your family and your lifestyle.
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Source:insurance.com

Special-Risk Life Insurance Advocators

If you have a medical condition and have tried to purchase life insurance in the past, you already know that the cost of life insurance for you is going to be outrageous. Luckily, there are people out there called “special-risk advocators” who are like the superheroes of life insurance that will help people with medical problems find affordable insurance.

Special-risk advocators are here to save the day!
Have a medical condition and you’re worried about finding affordable insurance? Have no fear, special-risk advocators are here!

Special-risk advocators are in-house specialists who help to go between you and the insurance underwriters when it comes to getting approved for a life insurance policy. They generally know what to say, what things underwriters frown or smile upon, and who to go to for the best coverage possible. Many times, agencies will have a person specializing in impaired risks to help in cases like these. To find out if your special-risk insurance agent is qualified to handle your case, Insurance.com has compiled a list of questions to ask the specialist:

* Was the specialist a former agency underwriter? The best way to look at a person with former underwriting experience is that they know what underwriters like and what they don’t like. That’s why if the specialist used to work as an underwriter, they know what indicators and points to highlight before they call another insurance agent.
* Was the specialist a manger at an insurance company? Like a former underwriter, if a specialist is a former manager and has overseen the processing of impaired-risk applications, they may know what key things to avoid or what things to shine upon when applying for life insurance.
* Is the specialist a Risk Appraisal Forum member? Risk Appraisal Forum members are people who are familiar with medical advancements and therefore can help those with medical conditions to find affordable insurance.
* Charter Life Underwriter (CLU) designation. CLU agents have taken courses and have worked hard to find how the business of life insurance works. The agent contacts an intermediary agency that helps to find insurance for people with medical conditions. For part of the override (agent’s commission) these intermediaries will contact other insurers and get life insurance quotes for you. If you do decide to go through the CLU, be sure to check and see which insurance companies they get quotes from—just to be sure they are going through a number of life insurance companies to get you the lowest quote available.
* Listen to what they ask you. When you’re being questioned by your agent, make sure the questions they are asking you are pertinent to your health problems. If they haven’t asked you many medical questions, they may not be knowledgeable enough or tend to just push the application through in hopes that it will be approved. A specialist who is knowledgeable will ask you detailed questions, because they know what it takes to secure a life insurance policy for someone with your medical problems.
* Ask around. If your agency doesn’t have an advocator or specialist, ask for someone who has experience in finding life insurance for people afflicted by medical conditions. Just because they aren’t an underwriter, doesn’t mean they don’t have the knowledge and wisdom it takes to find affordable insurance

Superheroes at work
An underwriter is the person who will process or deny your application, and your insurance rate. Your application, medical records, life insurance medical exam (complete with blood test) and statements from your doctor regarding your health, are all reviewed to see what they can offer you and at what price. If not all the information is collected, and the underwriter is being pressured by your agent to make a decision, you may be issued a higher-priced policy.

After all is said and done, if you have been declined, special-risk insurance advocators will go to work to find a “standard” life insurance policy that will work for you and your budget. Even if you’re quoted at an outrageous premium, your advocate may be able to secure you the lowest possible rate by going back through your files, picking out key points to focus on, then calling a few different underwriters to discuss alternative options.

Don’t give up hope
With competition getting fierce, traditional life insurance companies are starting to reevaluate their own policies and procedures when quoting people with medical problems.

Where can your advocate help you the most?
Even if your condition is not listed below, a well-qualified special-risk insurance advocate can usually find a life insurance company to issue you a policy—though the cost may be quite pricey.

* Alcohol and drug abuse
* Cancer
* Depression
* Diabetes
* Hazardous occupations or hobbies
* Heart disease
* Hepatitis C
* Hypertension
* Obesity
* Stroke
* Tobacco Use

If you are interested in finding out more about life insurance, or getting a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers – helping you find the best life insurance coverage that benefits you, as well as your beneficiaries, while still being within your budget.

The Creation of a Viatical Settlement Database: Will It Prevent Fraud or Compromise Your Privacy?

A national viatical settlement database is being created that will help track suspicious or fraudulent behavior in viatical-related transactions. But will it really help to prevent fraud? Or will it compromise your privacy and impede on your personal-financial life choices?
The Life Settlement Institute (LSI) is a nonprofit association made up of six, privately held viatical settlement companies. Its claim is that the database will help to prevent fraud by following-up on policy-sellers or buyers who are believed to be engaging in fraudulent activities, as well as professionals and brokers whose conduct is questionable. Critics, however, are leery to accept this all as fact, and believe that it will be possible for the information that is contained in the Viatical Settlement Database to be used for other purposes.
An infringement on privacy is a major concern, as well as personal information being sold to other companies and being used to attempt to sell other insurance policies and loans.
What is a viatical settlementA viatical settlement, also known as a life settlement, is when a life insurance policy is sold to a third party for a percentage of the death benefit. The third party then becomes the beneficiary or new owner of the policy. Once the insured person dies, the beneficiary will collect the entire death benefit. The buyer must, however, pay all the future premiums until the insured dies.
Viatical settlement database opponentsIn order to facilitate treatment, the Federal Health Insurance Portability and Accountability Act (HIPAA), requires a patient's consent to release medical records to "key players" (a requirement that the Bush Administration is currently trying to do away with). The main concern of skeptics to the database is that the term "key players" will change in meaning. It will go from just being your doctor and health plan provider, to including more groups, such as your insurer, bank, pharmacy, employer, medical data warehouses, and so on. If a company signs up for access to the Viatical Settlement Database, they may be able to divulge information about your medical history and past claims, in turn charging you higher premiums on your life insurance policy or denying you products.
If you are interested in receiving a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping you find you the best life insurance coverage for you and your budget.
Source :insurance.com

Terrorism Has Caused a Rise in Life Insurance Purchases

After the 9/11 terrorist attacks, a rise in concern for family and future, as well as in the number of people buying life insurance, erupted.
The tragedies of 9/11 awakened many people to the importance of having life insurance. As terrorism concerns lingered and built, life insurance agents saw a continuous increase in life insurance policy sales.
According to the MIB Group database (which holds information from both American and Canadian life and health insurance companies) there was an increase of almost two percent in life insurance applications in 2002, following the attacks of 9/11.
Buying life insuranceBe sure to do your homework when it comes to buying life insurance. Whether you are looking to buy a new plan, increase coverage, or if this is your first time buying life insurance, be sure to shop around. Looking online can help when trying to compare different insurance companies and their features. Also, talking to an actual life insurance agent can also be beneficial as you shop around for rates and terms. When dealing with an agent or filling out an application online, be sure to give the most accurate and detailed information possible. This will help you find the best and most accurate life insurance rate quote for your money.
If you’re healthy say NO to guaranteed issue life insurance policiesIf you’re healthy, there is no reason to buy into guaranteed issue, simplified issue, or quick issue life insurance policies. They are more risky and more expensive than regular term life insurance policies, because medical information and exams are not required, meaning anyone can buy them.
Don’t let prices make you buy something you do not need or want, and be sure to ask questions if you’re confused. It’s better to understand exactly what you’re doing before you sign, rather than waiting until after to start asking questions.
If you are interested in getting a life insurance quote log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers – helping you find the best life insurance coverage for yourself, as well as your family and their future.
Source :insurance.com

Life Insurance Rates for Smokers

Life insurance companies will generally place you in a risk category to determine how much you should pay for your premium. The categories are determined by your overall health and your lifestyle, including whether or not you smoke. Some companies use a "Super Preferred" or "Preferred Plus" class for the very healthy, and others have a "Substandard" or "Rated" class as well.
As an applicant for life insurance, you'll be placed in a risk category, such as "Preferred" or "Standard," along with a subcategory of "No Nicotine" that indicates whether or not you have smoked or use nicotine.
Rates for "Preferred, No Nicotine" will be lower than "Preferred, Nicotine" despite the current health of the applicant, because of the higher long-term risk of illness or death due to smoking-related diseases.
Are you considered a smoker?The questions about smoking and tobacco use are very specific when you apply for life insurance. A typical application will ask, "Have you used a tobacco product in the last twelve months?" You'll need to explain whether you use cigarettes, cigars or even chewing tobacco. Most importantly, you must state how often you use each tobacco product.
Whether you smoke several cigarettes a day or half a pack, you are a smoker and should answer the questions completely and honestly. But, here's the thing. If you only have a cigarette once a month when you're having a beer, you're still considered a smoker by most life insurers. The health risks are basically the same for occasional smokers – and the rates are often the same as well. However, cigar smokers who light up 3 or 4 times a year often get a break and are classified as non-smokers. From a life insurance standpoint, the celebratory cigar does not make you a "smoker" in the true sense of the word.
To tell the truthDuring the life insurance application and underwriting process, you may be required to get a medical examination to verify your health. Depending on the company and the type of insurance you purchase, the exam may include blood and urine tests as well as a full check-up.
Can a smoker "cheat" the system? Your body generally rids itself of nicotine within 72 hours. So, if the blood test and urine sample are given 72 hours after you last smoked, the nicotine level may be low enough to escape detection, but know that companies are looking for a negative reading for nicotine – not just a low level. If you've submitted your application as a non-smoker and have a positive result for nicotine, your company can raise the rate or choose not to issue a policy.
What happens if you are caught?If you're a smoker and you don't tell the truth on an application, you can be charged with insurance fraud. In addition, if your insurer makes the discovery while investigating a claim that's made after your death, they could contest the validity of your policy contract – and deny the claim for benefits based on your misrepresentation of the facts. If they discover your lie during the 2 year contestability period, they might choose to cancel the policy, if they don't offer policies to smokers.
What if you start smoking again after the policy is issued?It is important to be truthful when filling out your life insurance policy, but if you start smoking after it's issued, you are not required to tell your insurance company. If you die, and your life insurance premium was based on the nonsmoker rate, and you later began smoking, your death benefit will not be jeopardized. However, it's important to note again that if your cause of death is found to be a smoking-related illness, your beneficiary could have problems when making a claim.
Looking for different information? Have questions or feedback? Please let us know.

Source :insurance.com

Top 10 Most Dangerous Jobs

Do you work in a dangerous occupation? According to the Bureau of Labor Statistics, a job is considered dangerous based on the fatality rate, which is a ratio between deaths and the total number of people employed in the profession. The top 10 most dangerous jobs (by fatality rate) in 2007 were:

1. Fishers and related fisher workers
2. Logging workers
3. Aircraft pilots and flight engineers
4. Structural iron and steel workers
5. Farmers and ranchers
6. Roofers
7. Electrical power-line installers and repairers
8. Drivers/sales workers and truck drivers
9. Refuse and recyclable material collectors
10. Police and sheriff's patrol officers

This list does not reflect the actual number of deaths—for example, the occupation with the highest actual number of fatalities was "Drivers/sales workers and truck drivers" with 908 deaths in 2007.

Do you have the life insurance protection you need?
It's a fact that some occupations are riskier than others. But no matter what you do for a living, take a look at your life insurance needs. Life insurance can help you financially protect your loved ones after you die. If you're single, and no one is depending upon your income for support, you may not need life insurance. But if any of the following is true, consider buying life insurance:

* You're married and your spouse depends on your income
* You have children
* You have an aging parent or disabled relative who depends on your income
* Your retirement savings, pension, or other cash accounts won't adequately support your loved ones after you die
* You have a large estate and expect to owe estate taxes
* You own a business
* You'd like to donate life insurance proceeds to a charity or school

Calculators and worksheets are available to help you determine how much life insurance you need. You may want to contact an insurance agent or broker who can help you determine what type of life insurance is best for you and the amount of coverage you need.

Do you have the disability insurance you need?
If you work in a high-risk occupation, you probably know how important it is to have disability insurance coverage. But don't rely on government programs such as Social Security and workers compensation as your main source of protection. In reality, government programs pay only limited benefits under restrictive terms (e.g. you must meet a strict definition of disability to qualify).

Your employer may offer group disability insurance at low or no cost to you. This coverage is called Accidental Death & Dismemberment Coverage. But you may also want to consider purchasing an individual disability insurance policy. Although you'll pay more for individual coverage than for a group policy, you often get more benefits. And keep in mind that if you leave your job or otherwise terminate your relationship with a group, you can't take your disability policy with you, and you usually can't convert it to an individual disability policy. This means that you may be left without disability coverage when you need it most.

Shop around for coverage
Since many different types of life and disability policies are available, it's important to shop around for coverage to find a life insurance policy that meets your individual needs. Since premium costs vary widely, get quotes from several insurance companies. Just make sure you're comparing policies that offer similar benefits.

Do you have any questions or comments? Please let us know.
Source :insurance.com

Will Mental Illness Affect Your Life Insurance Cost?

If you're considering getting life insurance, but you're worried that a history of mental illness will hinder your search and you'll be stuck paying high premiums, worry no more. Insurance companies are generally most concerned if your condition will affect your life expectancy and make you a high death risk. If you took Xanax for anxiety or anti-depressants after a tragedy, your life insurance company probably won't view you as a significant risk.
Times of reactive depression-depression that is triggered by a tragedy-won't affect the cost of your life insurance if you can show your insurance agency that you took the steps to get better. By showing them your medical records and being honest about your condition, you'll be more likely to get better rates and premiums. "If you hint at a problem, but don't say whether you are taking care of it or have been treated for it, the life insurance companies won't know what to think," says David Roush, CEO of Insurance.com. "The less they know about your situation, the higher the risk they will see you as," says Roush.
Even when it comes to more serious cases of clinical depression, like manic depression or bi-polar disorder, life insurance companies won't necessarily give you a higher rate. If you are taking care of the problem, and they see that you are in control of the situation, you won't have as hard a time finding affordable life insurance, as you would if you left your disease untreated.
When to applyIf you are diagnosed with a mental illness and are getting treatment, it would be wise to wait a couple months before applying for life insurance. In doing so, you are giving your body adequate time to adjust to your medication and treatment.
What your insurance agent will want to knowLife insurance companies will want to know when you were diagnosed, who your doctor is, what kind of treatment you received and how you are progressing with your treatments.
Suicide red flagIf your medical history shows one or more suicide attempts, a life insurance company will want to see proof that you are receiving full treatment before they will consider issuing you a policy. With a suicidal history, most companies will wait one to two years before issuing you a life insurance policy. It will probably be more expensive the first few years, and may include a "suicide clause" that denies death benefits to be paid out if the insured dies from suicide within the first two years.
If an applicant is hospitalized for suicidal tendencies or for attempting suicide, they are considered a higher risk than a person who has suicidal tendencies, but is able to function in society, goes to work and has been taking medication to treat the illness. Again, by showing your life insurance company that you are taking care of yourself and your condition, they will be more open to consider issuing you a lower-rated premium.
If you are interested in getting a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping you find the best life insurance coverage for you and your family.

Source :insurance.com

How Your Use of Alcohol Affects Life Insurance Costs

The Society of Actuaries says that alcohol abuse may take off anywhere from 10 to 15 years of your life. But did you know it can also raise your life insurance premiums?

When applying for life insurance, you will have to answer questions on the application related to your alcohol use. There is no actual insurance ruling on "problem drinkers" or "alcoholics," but excessive drinking can lead to certain medical conditions which will ultimately affect what insurance rate a life insurance company assigns you. It's very rare that you will be denied coverage based on the answer you give, but it may prompt a further investigation into your life and use of alcohol.

Red flags
When a life insurance company is reviewing your application and records, there are a couple of things they look for that may "red flag " you as a risk:

* Liver enzymes.
If you took a blood test, your life insurance company may test a sample for liver enzymes. If levels are elevated, it may mean there is an alcohol-related medical problem. Also, if you're not a drinker, elevated levels may signal there is something seriously wrong with your health. A decision for your life insurance will be postponed until you meet with a doctor and find the reason your liver is not functioning like normal.


* Drunk driving conviction.
Even if it was your first time and an isolated incident, if you were cited with a drunk driving conviction, you might get a higher premium because it's a red flag for alcohol abuse. If you get a DWI, your life insurance company will be more prone to search through your record, to see if there is more than just the one cited incident.


* Attending physician's statement (APS).
An APS is a statement that your insurance company requests from your doctor or physician regarding your health.

It is used to check for anything that shows alcohol is affecting your health. It may have the same information that you wrote down in your application, but if your doctor has concerns about your drinking, they will be included as well.

Survey says
The underwriter gets to make the decision on what happens if they notice one or more of the above red flags while reviewing your life insurance application. They can either:

* Issue the policy
* Offer you a more expensive life insurance policy (due to concerns on alcohol abuse or medical conditions)
* Decline your application
* Postpone your application
* Seek out further information from you and your doctor(s) and order a blood test to aid in the informational investigation

Admission to drinking
If you received a DWI a couple of years ago, and you take a life insurance medical exam now and it comes back with high enzyme results for your liver, or you admit to drinking heavily, your insurance premium may be highly unaffordable. If, on the other hand, you admit to drinking heavily, but the tests come back that you have normal liver functions and you have no current DWIs on record, you may get standard rates.

Getting lower premiums
Depending on what red flags your tests threw up, there are different things that you can do that will get your premiums lowered:

* Flat extra premium.
Recent or multiple drunk driving convictions may lead to a flat extra premium being tacked on to your regular life insurance premium. These fees will typically disappear anywhere from two to five years after your last conviction


* Lessen your drinking.
You don't have to quit entirely, but even reducing your drinking to a moderate level can help you get lower premiums. Be sure to document dates and visit your doctor so he/she can monitor your progress as well. You can approach your life insurance company over a period of six months to two years, and show them your proactive approach at bettering your health.


* Improve your health.
As stated above, by lessening the amount you drink, getting your liver enzymes in check, and taking better care of your body and health, you should be able to get your life insurance premium lowered. If your insurance company is unwilling to lower your rates, don't be scared to shop around-there will be another underwriter out there who is willing to look at your health improvements and give you a better quote.

If you are interested in getting a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping you find the best life insurance coverage for you.
Source :insurance.com

What Benefits Are Offered To Terminally Ill Policyholders

Accelerated death benefits are benefits offered to terminally ill policyholders who are in need of money. Either a lump sum payment, or monthly payments deducted from the policy's face value, may be offered by the life insurance company to the policyholder. They began in 1988 as a way of helping terminally ill AIDS patients collect part of their life insurance proceeds. Over time, it has expanded to illnesses that are terminal, chronic and catastrophic (amongst a few others).

What can trigger an accelerated death benefit?

* Terminal illness, chronic illness, or a physical condition is diagnosed where death is likely to occur within a set time
* Medical conditions, such as catastrophic illnesses or dread diseases, that will result in death, unless very extensive care and extraordinary medical treatment are given
* Long-term care in a nursing home, nursing facility, or at home, where the person is unable to perform daily activities, such as eating, drinking, dressing, bathing, toileting or continence
* Permanent nursing home confinement

Most life insurance companies will begin payment of accelerated death benefits if the policyholder's life expectancy is under one year. Depending on your life insurance company, accelerated death benefits can only be engaged if you have a catastrophic or dread disease, such as a heart-attack, stroke, coronary artery bypass surgery, kidney failure, or life-threatening cancer. Only a select few insurance companies will begin a payout of your accelerated death benefits if you have a major organ transplant, AIDS, loss of eyesight or a limb, or paraplegia. The income from accelerated death benefits is not subject to being taxed federally, and in some states, not even subject to state income taxes.

To be given the option of accelerating your death benefits, some companies do charge you a higher insurance premium, while others only charge if you do engage the option. Depending on the life insurance company and how their policy for accelerated death benefits is setup, the monetary advances may either be charged as a lien against the policy (where interest is charged on the advanced amount), or the loss from the policy being cashed in is taken from the amount advanced to you.

Limitations of accelerated death benefits
Depending on which insurance company you have, the amount of the accelerated death benefit you choose to engage in may be limited. To do this, restrictions will be made either on the percentage of the death benefit, or the total amount you receive. The typical form of payout is lump-sum distribution, but if your state restricts this, you will be offered monthly payments.

In most cases, an accelerated death benefit rider can be added at any time, but depending on which life insurance agency you go through, you may only have the ability to sign up for it upon purchasing your policy. If you're unsure whether your life insurance policy, be it group or individual, has an accelerated death benefit policy, be sure to contact your life insurance agent or life insurance company.

If you are interested in receiving a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping you find the best life insurance coverage for you and your family.
Source :insurance.com

The War Rages On: Fighting Cancer. Fighting to Get Life Insurance

In 2007, the American Cancer Society projects that around 1.4 million new cases of cancer will be diagnosed. Of that 1.4 million, almost 560,000 will result in a cancer-related death, which further equates to more than 1,500 cancer patients dying each day. If you are diagnosed with cancer, your hardest fight may not be to battle the odds and survive five years past the diagnosis date, but the actual fight to find life insurance.

When is the best time to buy?
There is no actual set time limit when it comes purchasing life insurance after a cancer diagnosis. Determining factors when an insurance company is deciding on coverage depends on the size, type and location of the tumor. If you are currently undergoing treatment, the chances are slim-to-none that a life insurance company will be willing to sell you life insurance. But if you’ve been cancer-free for a few years, there’s a good chance they will cover you, though your premiums may be high.

The thoughts of high life insurance premiums may get you sick to your stomach, but don’t worry, after a given period of time, they will disappear. Many insurance companies just charge higher premiums in the beginning in case your cancer makes a come back, but they gradually decrease as time goes on.

How you can save
A few suggestions on how to save yourself the most money when purchasing life insurance after beating cancer:

* Always shop around. Prices and rates vary per company, so the more you look around, the better the chances are you can find a lower premium.
* Check organizations you’re with. If you are involved in a professional, membership, political, or fraternal organization, check to see if they offer group life insurance. There’s no hurt in asking.
* Start bigger. Search larger life insurance companies first, then start looking at smaller ones. Depending on your diagnosis, you may be granted a better or more affordable policy through a larger life insurance company because they tend to grade insurance risks by stage and type of cancer.
* Graded policies. If you can’t get full death benefits, consider getting a graded policy with limited benefits. If the insured dies from a condition the person had before the life insurance policy took effect, the life insurance company may pay out a portion of the premiums and part of the face value. However, if the death occurred after the waiting period, a full-death payout will be awarded by the company.

Unlock your medical records
If you want to get the best premiums and rates around, be sure to keep your medical records and files up to date and give copies to your life insurance company. Make sure all the names of the doctors, dates and types of treatment you received, and what kinds of medication you are on are also included in the file. Life insurance underwriters will be better able to make a decision on what kind of rates you will receive when they can see your progress from start to present.

Another good way to get life insurance is by showing that you are taking care of yourself. By including in your records that you are going to follow-up doctor’s visits, taking the appropriate medications and just plain being healthy, life insurance companies may be more prone to letting you purchase life insurance coverage sooner, and shortening the length of time that high premiums will be charged. In this case, honesty is the best policy, and the less you are seemingly hiding, the easier it will be for life insurance underwriters to assess your condition and decide what kind of premium to give you.

Note: If you have a history of cancer in your family, that doesn’t automatically mean you will have problems buying life insurance. When buying coverage, this “risk” is just another factor that will be taken into consideration.

If you are interested in getting a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers – helping you find the best life insurance coverage to benefit you and your family.
Source :insurance.com

Affordable Life Insurance For Asthma Sufferers

In the United States, asthma continues to be a growing concern not only for asthma sufferers, but for life insurance companies as well. The main concern of insurance companies is that half of all asthma deaths occur in people younger than 65. Though asthma is a very serious and potentially deadly condition, it is still possible for asthma sufferers to find affordable life insurance.
If you have asthma, it would be beneficial to shop around for different life insurance quotes. The severity of the asthma that you have, the persistence of it, and how well you respond to treatments, are all deciding factors for insurance companies when they are considering your policy. The National Institutes of Health have set goals for asthma treatment, and if you accomplish such goals, your premium may go down. The list includes:
Low occurrences of wheezing, cough, shortness of breath and chest tightening
Asthma symptoms not affecting your sleep
Asthma not causing a disturbance in your work or school schedule
Full participation in physical activities
Hospital stays or visits to the emergency room that are not asthma triggered/related
Asthma medication taking effect without causing adverse side effects
If you're an asthmatic and you apply for life insurance, your life insurance company will want to know the results of your pulmonary function tests (given by your doctor) and what your "peak flow meter" reading is (typically a self-test done at home). The tests will show how good you are breathing, which helps insurance companies see how much of a risk you truly are.
Within the past three years, if you haven't suffered from any "exacerbating asthmatic episodes," where you were required to go to the doctor, emergency room, or take off of school or work, your application will appear more favorable. As a result you could potentially qualify for a standard or preferred life insurance policy. As long as you maintain a healthy and active lifestyle, your insurance rates should be affordable. However, if medication isn't working for you, that's when you may see an increase in your insurance rates.
Asthma attacks and higher ratesThe plan laid out by the National Institutes of Health is ultimately what a person with asthma who is looking to buy life insurance needs to strive for. If the last series of asthma attacks were so severe that you needed medical treatment, then you will have to wait longer to get the better rates. The longer it's been since a severe attack, the easier it is for you to get a more affordable policy. Also, life insurance companies tend to look down and become leery of policyholders who have frequent, though less severe, attacks. In the eyes of the life insurance company, this could mean that the medication is failing and a new treatment may be needed.
A smoker and an asthmatic?Asthmatics who are smokers may have one of the most expensive policies. Not only will the policyholder be charged with smoker rates (up to three times the amount of non-smoker), but also, they will be charged a surcharge on their life insurance policy because they are an asthmatic. Regardless if you smoke or not, it is still important to visit your doctor at least twice a year to have your asthma monitored. This will not only be beneficial to your health, but it will also show the life insurance company that you are taking care of your condition.
A list of the medications you are on should also be given to your insurance company-Even though they may use the amount and kinds of medication you are on as an indicator of how severe your asthma is, a list should be given to your insurance agency. If you are taking a lot, it may seem that by giving them this information, your rates will automatically skyrocket, but remember, their main concern is how well you respond to the treatment. If you recently switched medication, it would be a good idea to hold off on applying for life insurance for a year or two, just so you can establish a history with the medication and show that you are meeting your goals.
If you are interested in receiving a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping find the best life insurance coverage for you and your family.
Source :insurance.com

Is It Possible To Buy Affordable Life Insurance After A Heart Attack?

So you've just recovered from a heart attack and you hope to find affordable life insurance. The application for life insurance has a question regarding if you have been treated for heart disease or a heart attack. How do you answer? Do you lie and say no? Or do you say yes, and chance getting denied or stuck paying a higher life insurance premium? Well if you decided to answer honestly and mark yes, you may be in luck.
Depending on how severe your heart attack was, and how severe your heart disease is, you may be able to get affordable life insurance that won't cost an arm and a leg. Also, by not lying, you don't have to worry that you will be caught and have your life insurance premium automatically increased and be forced to pay retroactive fees.
"Though heart disease may signal a red flag for life insurance companies, it doesn't necessarily mean a customer will have to pay more," says Dave Roush, CEO of Insurance.com. "By taking the proper steps to treat heart disease, a customer can quite possibly qualify for a standard life insurance rate," says Roush. "With the advances in medical technology and testing, it is becoming easier and easier to give predictable life expectancy rates for those who are suffering with heart disease."
When to strikeIt may seem like a good idea to apply for life insurance the moment you realize you really need it, but financially, it isn't always the smartest move.
Life insurance companies don't look favorably on applications that are submitted right after a heart attack, and the premium for a policy issued after a condition like that, will likely be high. The best thing you can do, for your pocketbook, as well as for yourself, is to wait to apply for life insurance. By waiting a year or two, you are giving your body ample time to heal as well as giving yourself time to adjust to any medications or new-lifestyle changes you may be instructed to do by your doctor. By waiting, you are also showing the life insurance company that your condition has been stabilized and you took the appropriate steps to make your overall health better.
Document your progressBe sure to document any and all progress that you've made. By having this detailed in your medical files, life insurance providers may be able to issue you a lower premium. Also, when applying for life insurance, if an underwriter sees that you are forthcoming about your heart disease and you have listed all the things you've done to keep it under control, you will be more likely to receive an affordable life insurance plan. By telling a life insurance company exactly what happened and what steps you've taken to correct or better yourself, you are showing them you have nothing to hide, and this can ultimately save you money.
If you are interested in receiving a life insurance quote, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class life insurance providers - helping you find the best life insurance coverage for you and your budget.
Source :insurance.com

Life Insurance and Obesity: Weigh More - Pay More

When it comes to buying life insurance, most people aren't surprised to learn overall health is a factor in determining the premium a person will pay. What catches most people off guard is that weight – in some cases, just the 30 or 40 pounds you're trying to lose – plays a role, too.
Why? Because every life insurance company will take your physical build into consideration when determining the cost of your insurance.
The reasoning is pretty straightforward. Obesity is clearly linked to serious health conditions, such as diabetes, heart disease, stroke, hypertension, some types of cancer, sleep apnea, gallbladder disease and more. These conditions not only present a risk to those that are obese, but to life insurance underwriters as well. Though an overweight person might be otherwise healthy, his increased risk of developing a more serious health condition because of his obesity translates into a similar financial risk for the insurance company offering life insurance quotes.
It's An Epidemic
Obesity is an epidemic in the United States. More than 34 percent of the U.S. population is considered obese, according to data collected by the U.S. Centers for Disease Control and Prevention, and more than 66 percent of the population is overweight. Obesity is defined as a body mass index (BMI) of 30 or greater. Those with a BMI of 25 to 29.9 are considered overweight. BMI is calculated from a person's weight and height and provides a reasonable indicator of body fatness and weight categories that may lead to health problems. You can calculate your BMI through the CDC.
This epidemic is what has caused concern in the life insurance industry – and has translated into higher premiums for those who are overweight and obese. "The increasing prevalence of obesity is too significant for the life insurance industry to ignore," reads a Swiss Re study. The report analyzed the impact of obesity on mortality trends, identifying the implications of the obesity epidemic on the pricing and underwriting of life insurance products. Swiss Re is a leading global reinsurer that focuses on risk transfer, risk retention finance and asset management.
The study concludes that "the life insurance industry must tackle issues associated with increases in obesity by ensuring that the related risks are accurately assessed and rated, and that consumers are charged an appropriate premium to reflect the risk they present."
You Can Still Get Insurance
If you are rejected by a life insurance company because of your weight, there are companies that will insure you.
These companies will offer a graded death benefit policy, which is a death payment that increases with the age of an insured. In other words, the longer you live, the more money paid out to your beneficiaries.
These, too, can be expensive. You can ask for a lower death benefit to make the premium more affordable, but you trade off the amount of money that your beneficiary will receive.
Paying More than Life Insurance Premiums
It's not just higher life insurance premiums that will hit the pocket book of those that are obese and overweight. Many will pay more in direct health costs, according to the CDC, like preventive, diagnostic and treatment services. And as a nation, we're all paying more in medical costs – to the tune of nearly $100 billion annually – because of this epidemic.
Then there are other things, like paying more for health insurance and even being asked to purchase a second seat on an airplane. There's even a growing trend for emergency medical transport companies to charge obese people more for ambulance service.
Save Money, Get Healthy
If you want to ensure you're getting the best life insurance quotes when you shop for life insurance, then it's time to get healthy.
Remember that losing weight isn't the job of a crash diet or exercise alone. It's a combination of the two and more. It's a life-long lifestyle change that includes healthy eating, regular physical activity, and a balance of calories consumed versus calories used. Those that lose weight slowly – about 1 to 2 pounds a week – are more successful at keeping the weight off, according to the CDC.
The benefits of a healthy lifestyle – beyond the best life insurance quotes and premiums – include improvements in blood pressure, cholesterol and blood sugars, as well as lower risk for many of the health conditions listed at the top of this article. Participants in the National Weight Control Registry even reported improvements in energy levels, physical mobility, general mood and self-confidence.
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Health Insurance Reform in 2009

"Let there be no doubt: health care reform cannot wait, it must not wait, and it will not wait another year."
President Obama made this bold promise to hopeful Americans in his recent address to Congress. Few listeners debate the importance of health care, but providing quality affordable health care for every American will clearly challenge Democrats and Republicans to work together to meet this goal.
As unemployment rises, even fewer Americans will have health insurance through an employer. And, rising medical costs are forcing small and large businesses to reduce coverage, increase co-pays and deductibles and raise the amount that employees must pay each month. Some small business owners have even converted traditional health insurance plans to high deductible plans.
Insurance.com offers these tips for evaluating your health care options and saving money on your medical bills.
My employer offers an HMO and a PPO. How do I decide?Both provide excellent care, but you may want to choose an HMO if its network of doctors and hospitals matches your needs. Health insurance with a Health Maintenance Organization (HMO) is generally less expensive. You're required to select an HMO physician to be your primary health care provider. This doctor will coordinate all of your medical care, including referrals to specialists within your HMO network. If you seek treatment from a non-network physician, you will generally pay most of the cost yourself.
A Preferred Provider Organization (PPO) is more flexible than an HMO plan, but it still operates with a list of physicians and hospitals that are "within the PPO network." You may visit an out-of-network provider, but you will pay the difference between the PPO network and out-of-network prices. Both plans usually offer a prescription drug benefit, as well. Some companies are offering options that allow you to combine features of both HMO and PPO plans.
I can't afford full health insurance, but I want coverage for major emergencies.A high deductible health insurance plan or catastrophic health insurance offer coverage for major illnesses or accidents. For example, a plan with a $5,000 deductible requires you to pay all of your medical expenses up to $5,000 before your insurer begins to pay. If you choose a high deductible plan, try to save a small amount of money each month in a Health Savings Account (HSA) so that you're not overwhelmed by routine medical expenses.
I have health insurance, but it seems like I'm always paying for something.Sad but true. You may owe a co-payment for doctor's visits or a trip to the ER. Usually, this is a flat fee, but it can get expensive if you don't stay within your plan network.
Secondly, payment for expenses is subject to your annual deductible, which is the amount you pay toward your medical expenses before the insurance company begins to pay claims. Some HMO plans do not have deductibles but do have co-payments.
Lastly, there's co-insurance, which is the percentage of your medical costs that you pay after you reach your annual deductible. 80/20 co-insurance is a common option, and that means that your insurer pays 80% of your bills and you pay 20%—after your deductible. So, anything you can do to reduce your medical bills will help you reduce your out-of-pocket expenses, too.
I don't have health insurance. What can I do?Almost every hospital has a financial aid office that will evaluate your personal situation and determine your ability to pay for required care. Generally, a hospital will provide sliding scale fees if your income is 400% or less of federal poverty limits and may eliminate bills entirely if your income is 200% or less of federal poverty limits. But hospitals have to make money, too, so they may not publicize these programs or provide much assistance in applying. Be prepared with recent copies of your tax returns and W-2's to prove your need.
We agree with President Obama that all Americans deserve quality affordable health care and look forward to the details of its delivery. What do you think? Looking for different information? Have questions or feedback? Please let us know.

Source :insurance.com

Short-Term Health Insurance

You've just graduated from college or moved out on your own, and you're no longer covered under your parents' health insurance plan. Or perhaps you've flown the coop on your cubicle job and you're looking for the next big thing. Maybe you've found a new job, but your new employer's group health insurance plan won't kick in until you've been with the company for three months. These are good reasons to look into short-term health insurance if it's available in your state.

What's in a name...
As the name implies, short-term health insurance typically offers coverage for 30 to 180 days, although some plans will cover you initially for up to 12 months. If your short-term need runs longer than the coverage, you may be able to renew the plan, but don't count on anything beyond a year.

Most short-term plans will cover you in the event of an accident or a sudden illness. As you might expect with almost any health insurance plan, short-term plans may have benefit limits, and you'll be required to cover an initial deductible and to make co-payments. You'll be allowed to pick your own doctors, hospitals, or other health-care providers. You'll get coverage for inpatient and outpatient services, hospital room (including intensive care unit) and board charges, lab examinations, and X-rays. These plans rarely require a physical exam, and coverage often begins as soon as the insurer receives your application and first premium payment. Applications may be mailed in or submitted over the Internet, and payments may be made by check or credit card. Check with the provider for complete information on coverage and the application process.

...And what's not
To keep the premiums down, short-term health insurance plans don't offer all of the benefits of permanent plans. Most won't cover treatment of a pre-existing condition (i.e. an illness or injury that has produced signs or symptoms, or for which you've received treatment, in the past five years). In addition, these plans don't cover routine medical exams, preventive care, dental or optical care, or pregnancy and childbirth expenses.

Short-term health insurance policies are exempt from the portability requirements in Title I of the Health Insurance Portability and Accountability Act of 1996 (HIPAA). Insurance carriers issuing these policies don't have to guarantee their renewability, and most don't. They also don't have to waive any pre-existing condition limitations for individuals otherwise eligible for those waivers.

But despite their limitations, short-term health insurance plans can help you fill the gaps in your health insurance coverage. And that's just what the doctor ordered!

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Source :insurance.com

All You Need to Know About Health Insurance

With medical expenses soaring higher every year, health insurance is an expensive necessity. Knowing more about health insurance can help you get the coverage you need while keeping your expenses down.

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. (Learn more about HMO, PPO, and 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.). This arrangement provides a strong incentive for you to stay in-network, usually by covering less for services received outside 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 coverage pays your room, board, and incidental services costs if you're hospitalized
* Surgical expense coverage covers surgeons' fees and related costs associated with surgery
* Physicians' expense coverage pays for visits to a doctor's office or for a doctor's hospital visits
* Lab coverage pays for laboratory services like X-Rays and other diagnostic lab tests

What might be covered?
When comparing health insurance plans, check to see if they provide additional benefits that you may need, including:

* Prescription drugs
* Preventive care
* Mental health benefits
* Maternity care
* Vision care
* Dental care
* Chiropractic coverage

What will it cost?
In addition to the monthly premium expense, you may have other out-of-pocket costs. These costs can really add up, especially if you have children or other family members who visit the doctor frequently. Check to see if the health insurance plan you're considering requires you to pay any or all of the following:

* Co-payment: The flat fee you'll have to pay each time you visit a health insurance provider (can vary by provider type).
* Deductible: The amount you'll have to pay toward your medical expenses (usually annually) before the insurance company begins to pay claims (generally required by indemnity plans).
* Coinsurance: The percentage of your medical costs you'll have to pay after you reach any deductibles that apply.

Where can I get health insurance?
You may get health insurance through a group plan at work or through another group affiliation (a school, a club, etc.) or by purchasing an individual plan on your own. By purchasing an individual plan, you may be able to customize the health plan.

A good way to compare rates, plans, and options for your individual needs is to shop online. Comparing online health insurance quotes helps to ensure you get your best rate.

How do I decide which plan is best?
The best health insurance plan for you is the one that gives you the greatest flexibility and the most benefits for the lowest cost. Unfortunately, there's no such thing as a standard health insurance plan. As you would when making any major purchase, you'll need to shop around and get several quotes before choosing a plan. Here are a few points to consider:

* What co-pays, deductibles, and coinsurance requirements apply?
* How much freedom do you have to choose your own health-care providers?
* Does the plan cover the health services that you need?
* Does the plan cover the health-care providers you're currently using?
* Does the plan offer family, as well as individual, coverage?
* Does the plan cover pre-existing conditions? If so, is there a waiting period?
* Does the insurance company have a good reputation in the industry and a positive rating from a major ratings organization and your state's department of insurance?

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Understanding the Difference Between HMO PPO and POS

Which health insurance plan is best for your small business?Health Maintenance Organizations (HMOs), Preferred Provider Organizations (PPOs), and Point-of-Service Plans (POS) are all types of managed health care. The purpose of managed care is to provide its members with access to a comprehensive system of medical care that offers savings and encourages quality service. While larger companies can afford to offer a choice of health plans, a smaller business can save money by comparing health insurance plans each year before the annual enrollment period. While cost is a key factor, make sure that the network you select provides convenience and coverage in your local area.
Health Maintenance Organizations (HMO)When your health care coverage is provided by a Health Maintenance Organization, you typically must select an HMO physician to be your primary health care provider. This doctor will coordinate all of your medical care, including referrals to specialists, such as a dermatologist, cardiologist or surgeon. If you choose to seek treatment from a non-network physician, you will generally be required to pay most of the cost yourself. By law, an HMO cannot require referrals for emergency care, so an HMO will pay for emergency room treatment without a referral.
Due to the restriction of choosing from mostly HMO network services, it's important to check the physician listing and hospital affiliations for the HMO you are considering. If the list is extensive and you are satisfied with the hospitals used by the HMO network, an HMO may be a good choice. On average, HMOs are the least expensive health option for employers and employees. Doctor's visits, preventive care, and medical treatment are covered by your monthly insurance premium, and there is no individual or family deductible to meet. There is generally a co-payment for each visit that varies based on the type of service provided and the plan you select, but typically no co-insurance. Most standard HMO plans do not have a lifetime maximum benefit amount. Some HMOs are starting to offer more choices in plan configuration, allowing their members to visit preferred providers outside of the network. This gives their members access to an HMO network and a PPO network at the same time, although the PPO portion usually involves deductibles and co-insurance.
Preferred Provider Organizations (PPO)A Preferred Provided Organization is more flexible than a traditional HMO insurance plan, but it still operates with a list of physicians and hospitals that are considered "within the PPO network." With a PPO plan, you may visit an out-of-network provider and still receive some coverage for their services. However, because the insurance company has not negotiated discounted rates with these providers, you will usually have to pay co-insurance or the difference between the network and out-of-network prices. The co-payment amounts for office visits and other services are also smaller if you see a doctor in the PPO network than if you see an out-of-network doctor. If you do choose to stray from your PPO network, you may need to pay for the treatment and submit the receipt to your PPO insurance provider for a partial reimbursement. Lastly, you do not need a referral if you wish to see a specialist, nor do you usually need to select a primary care physician.
HMO vs. PPO Prescription PlansBoth plans may include a prescription drug benefit if you, as an employer, choose to offer one. You can decide what percentage of each prescription is covered by your HMO or PPO and what percentage the employee will be required to pay. The coverage price may range anywhere from a co-pay of $5 for some drugs, to a co-pay of almost the entire amount for others. Most plans also include a higher co-payment if the employee chooses a brand name drug over a generic formula, if one was available and recommended by the physician. Some HMO medical buildings have an in-house pharmacy, which may be an added convenience.
Point-of-Service Plan (POS)The POS plan is like a combination of the HMO and PPO plans. You are required to designate an in-network physician to be your primary health care provider. You may go out-of-network if you choose, but in doing so, you will have to pay most of the cost yourself, unless a primary care physician refers you to that specific doctor. In that instance, the health plan will pay all or most of your bill. Depending on the networks available in your area, a POS plan may be a great choice for your small business, if your employees work in multiple cities with different groups of doctors and hospitals available to them.
There are many choices for today's small businesses, and some health insurance companies give you the ability to offer more than one option to your employees. If you are interested in getting a health insurance plan for yourself or your business, Insurance.com helps you compare multiple rates from top health insurance providers.
Do you have any questions or comments? Please let us know.

Source :insurance.com

Choosing a Group Health Plan for Your Business

Finding the right group health plan for your business can be downright intimidating: sorting through lists of insurance companies and plans; checking and re-checking the dollars and totals for deductibles and co-pays; making sense of plan limitations and exclusions; deciphering a dictionary’s worth of insurance-speak. It’s enough to make anyone feel like a high-school freshman again.

You don’t have the time for all this research and number crunching. But can you really afford to leave it on your “maybe someday” list? As the cost of medical care rises, the risks of not having health insurance are more apparent than ever. Today a single injury or illness if uninsured can leave a family in financial ruin. Moreover, group health coverage is a key benefit of employment. You may not be able to hire and keep the best employees without offering health coverage. The point is: don’t procrastinate!

But take heart: a little basic knowledge can help you shake off those freshman jitters. Here are three quick lessons to help you find high-quality insurance at a reasonable price:

Know the type of benefits you need
Have a good understanding of your employees’ healthcare needs before you start shopping. Do they require frequent medical care or do they rarely see the doctor? Are they more concerned about preventive checkups or coverage in case of emergency? Are prescription or maternity benefits important to them? This is an essential first step. You want to purchase a plan that offers the medical benefits your employees need, without a bunch of “extras” your employees won’t take advantage of. You’ll pay for these “extras” in the form of higher premiums.

Get multiple quotes from multiple insurance companies
Comparison-shopping really pays off. Don’t limit yourself to the options available through a single insurance company. And if the thought of calling all the insurers in your area sounds tedious, find a licensed agent to help you. An agent can discuss the pros and cons of the various insurance companies and plans in your area, provide you with quotes for each, and offer valuable advice based on your group needs. The simplest way to get in touch with an agent is through the Internet, but make sure that any agent you work with is licensed in your state.

Take full advantage of all available tax benefits
There are significant tax benefits for employers who offer group health insurance to their employees. For example, businesses can generally deduct 100% of the premiums they pay on qualifying group health plans. You’ll also want to look into the newly approved Health Savings Accounts (HSAs). These are tax-favored savings accounts that can be used to pay for medical expenses. Be sure to ask your agent for more information on how to take advantage of HSA-eligible plans in your area.

Courtesy of eHealthInsurance Services Inc.
Source :insurance.com

Do Your Homework When Buying Group Health Insurance

With any group health insurance plan that you choose, there are always going to be limits to that plan, and before you purchase a particular group health insurance plan for your company, you will want to do your homework. For instance, you will want to find out what is offered and covered under the proposed group health insurance policy and if the health insurance company is financially sound. If they are in the midst of a merger for example, or not as financially stable as you would like, their delivery of service may not be as good as is promised.

It is also important to understand what kind of features and benefits will be provided in the health plan that you are buying. In some cases, a group health insurance plan will be presented with a summary of benefits, but this is just a summary. For complete details as to what the plan consists of, or to get information on the exact ins and outs of the plan, you will need to request the information from your health insurance representative.

To help you narrow down your decision between health insurance plans, we have listed some questions and helpful tips below. These questions and tips will help keep you on track with what kind of plan you initially set out to purchase for your organization.

* What happens with claims and appeals?
Traditional health insurance plans and PPOs may require employees to file claims for reimbursement. HMOs typically require less paperwork. How fast can claims and appeals be taken care of?
* Emergency room services.
Is prior approval needed for an emergency room visit? Or does the plan follow the "any prudent layperson" standard-that means that if any person reasonably believes he or she is suffering from a medical emergency, the HMO cannot deny payment?
* What is considered an out-of-pocket expense?
Are there expenses for different kinds of health care? What are the co-pays and deductibles? What is the maximum annual and lifetime payout?
* What is the grievance and appeals process?
Is the appeals process internal or external? Is there a third-party arbitration for difficult issues? How much time does it take to settle a problem? What is the process for members to appeal claim denials or file other grievances?
* What are the limitations or exclusions?
Be sure to read the fine print. Know what services are covered under the particular group health insurance plan you are looking to purchase. Make sure you ask your healthcare provider if there are limitations or exclusions on things like experimental procedures, transplants, infertility treatments, laser eye surgery, bariatric surgery, preventative scans, mental health coverage, rehabilitation, drug therapies, and durable medical equipment.

Check with the Better Business Bureau (BBB) or the state insurance department, or ask for the latest member-satisfaction survey and see if there are any complaints against the health insurance company you are considering working with. In addition to calling the BBB, request the names and phone numbers of other companies and organizations who have the group health insurance plan you are considering. Call and find out why these companies have this group health insurance plan, why they like it, if they've encountered any problems, and if so, how the health insurance company handled it.

If you are interested in receiving a group health insurance policy quote for your company, log on to Insurance.com. Here you will be able to evaluate multiple rates from best-in-class health insurance providers-helping find the best group health insurance coverage for your employees and yourself.
Source :insurance.com