More than 1 in 3 U.S. adults carry medical debt, survey finds

 Kate Dore, CFP® / CNBC / /Read Article

KEY POINTS

Medical debt is a growing burden among Americans, with more than 1 in 3 U.S. adults carrying a balance, according to a Healthcare.com survey.

Over 6 in 10 adults with overdue bills received care knowing it would rack up debt, and more than half of balances exceed $1,000.

However, fewer than half of patients are attempting to negotiate bills, the findings show.

Medical debt is a growing burden among Americans, with more than 1 in 3 U.S. adults carrying a balance, according to a 2021 Healthcare.com survey.

The findings also revealed that more than 6 in 10 adults with overdue bills received care knowing they couldn’t cover the costs, and more than half of balances exceed $1,000.

Flood insurance rates set to surge for many Florida homeowners as new FEMA calculations kick in

 

If you pay flood insurance for your home, get ready for some sticker shock.  Changes to the way FEMA calculates premiums are set to take effect this Friday, and homeowners all across the Tampa Bay region could see significant rate hikes.

The vast majority of Floridians have their flood insurance policy through FEMA’s National Flood Insurance Program -- and big changes are about to be rolled out.

"We're seeing probably 90% to 95% of homes within the Tampa Bay region that are in flood zones see rate increases as a result of this," explained Doug Myrick, Principal of Insurance Policy Centres.

This is the first major overhaul of this program since the 1970s.  Currently, NFIP premiums are calculated based on flood zones and elevation.

The new system is called Risk Rating 2.0, and the goal is for rates to reflect the actual risk of each property, taking into account multiple factors like proximity to water, and drainage.

"For those homeowners, it's definitely something to be proactive on in terms of understanding the change and how it affects you, because, unfortunately, we were only given a 30-day window of being able to communicate this change," Myrick said.

Come Friday, anyone purchasing a new NFIP policy will be charged with the new formula.  While anyone with an existing policy will start seeing changes on April 1st.  And there will be some hefty hikes.

"We're seeing some of those go from $600 to $11,000 per year within the NFIP program," said Myrick.

Those increases are capped at 18% a year, so any huge spikes will be phased in.

Still, Myrick says there are concerns.  FEMA has not released exactly how Risk Rating 2.0 is calculated, or provided all of the factors the formula uses.

"From what we can tell, the biggest rating factors are value of home," he said.  "We've seen examples where you move it from basically different values, and as the value goes up, the premium increases pretty significantly at the same time."

Meaning, a homeowner who spent money elevating their home could pay the same rates as a non-elevated home since it would be more expensive to rebuild, even though the risk of damage is lower.

"It basically just wiped out those rate credits to where somebody is not as financially incentivized to build up and become storm resilient," said Myrick.

Over the last two weeks, local members of Congress have taken action to try to delay the rollout of Risk Rating 2.0 because of the burden homeowners could face.  Letters were sent to House leadership and FEMA urging action, and Tuesday, Senator Marco Rubio introduced a bill to push the changes back a year.

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Is My Pool Covered By My Homeowners Policy?

This is one of the most common – and complicated – questions insurance agents hear, and unfortunately, it depends on your policy. If you have an HO1, HO2, or HO8, chances are good your pool isn’t covered. However, if you have an HO3 or HO5 homeowners policy, you may have coverage for your pool.

How Homeowners Insurance Applies to Pools
While pools are generally intended for fun and recreation, they can also be a tremendous liability if someone gets hurt. Aside from increasing your personal liability exposure, pools are also expensive to maintain and repair. While there’s no universal answer to whether pools are covered by insurance, it’s nearly always true that they’re expensive.

Insurance companies are well aware of this. They take both the personal liability and structural liability into account when deciding whether to insure a home with a pool. Some insurance companies classify a pool as “an unattached structure” which is covered by Coverage B in a home insurance policy; others consider it “personal property,” which is covered by Coverage C. Where you live may impact if your pool is covered and how it’s covered.

Coverage options vary because each state has different weather patterns. Hurricanes, tornadoes, blizzards, and earthquakes can affect pools differently, which is why it’s irresponsible to make blanket statements about coverage for home pools.

In Florida, it’s pretty common for an insurer to only insure the pool for personal liability when the owner is not found negligent. This type of coverage does not protect the pool itself and will not pay to repair physical damage to either above-ground or in-ground pools. Moreover, Florida homeowners insurance companies typically won’t cover applicants with slides or diving boards (this is also true for Kin).

Again, each state and insurance company have different protocols.

Is Your Pool Cage Covered?
It depends. If damage is caused from something other than a hurricane, and the pool cage is attached to your home, then yes, it may be covered under your Coverage A. However, if there is a hurricane, insurance companies (including Kin) exclude coverage for cages because they are not designed to withstand a hurricane.

We know pool cages are expensive, so one option is to purchase an endorsement for a hurricane screen enclosure. This generally costs $100 per $10,000 of coverage and still requires the homeowner to pay a deductible. To keep expenses low in the event of a hurricane, consider a 1% hurricane deductible, if possible. This way there is less out-of-pocket expense in the event of serious hurricane damage.

Lastly, if you do have a pool, regardless of where you live, it’s worth considering extra personal liability coverage. Before you think you can’t afford it, here’s a little perspective: for every $100,000 of personal liability, premiums rise about $10 annually. That’s less than a $1 a month to receive $100,000 extra coverage if someone is injured in and around your pool.

For all of your questions and or concerns, please Text or call me at (941) 979-1101, email works great as well, bestlifegps@gmail.com. 

Happy Labor Day!

 

“No work is insignificant. All labor that uplifts humanity has dignity and importance and should be undertaken with painstaking excellence.”  Martin Luther King, Jr. Labor Day is a special occasion to honor the American workers who make our country great. Your contributions and achievements benefit the prosperity and well-being of our nation.  Before the summer comes to an end, take some time to enjoy the long weekend and celebrate all of your hard work. Whether you’re relaxing at the beach or hosting a backyard barbecue, we hope you can spend these last few days of summer with your loved ones. There is a lot to be thankful for on Labor Day, including the opportunities we have been given in life to follow our chosen professions. I’d like to express my gratitude and appreciation for everything you do, and for supporting me in my career as an insurance agent.  Happy Labor Day Weekend

Pros & Cons of Medicare Advantage

Medicare Advantage plans, or Medicare Part C, are popular private insurance alternatives to traditional Medicare. In fact, about one-third of Medicare beneficiaries are enrolled in a Medicare Advantage plan — a number that has nearly doubled in the last decade. While these plans often cover stuff that Medicare does not, copays and other out-of-pocket expenses can be higher. Let’s explore some of the pros and cons of Medicare Advantage. 

Understanding Traditional Medicare

Medicare can be confusing, so it’s important to first understand what the various parts cover and how they fit together. Traditional Medicare has two parts: 

• Medicare Part A. Part A is hospital insurance. It covers some inpatient hospital care, limited skilled nursing care, hospice care and other specified services. Part A is typically premium-free.
• Medicare Part B. Part B is outpatient insurance. It covers some doctors’ fees, outpatient hospital visits and other specified medical services and supplies not covered by Part A. Part B has a standard monthly premium based on income.

Traditional Medicare has deductibles, copays and other out-of-pocket expenses that can add up quickly. To cover this, private insurers also offer supplemental plans known as Medigap. Medigap premiums depend on the insurer, where you live and the exact plan. If you sign up for a Medigap policy when you first enroll for Medicare, you can’t be denied and the insurance provider can’t charge you more for pre-existing conditions. Lastly, Medicare Part D is also offered by private insurance companies and covers prescription drugs. 

So, What Exactly Is Medicare Advantage?

Rather than a supplemental plan and traditional Medicare, Medicare Advantage plans combine Part A, Part B and usually Part D into one, convenient plan. They cover all Medicare services and many also offer extra coverage for dental, hearing and vision. 

Most Medicare Advantage enrollees pay no additional premiums (other than Part B premiums). However, most Medicare Advantage plans come with unexpected expenses when you get sick, since copays and other expenses can be higher. What these plans pay may also differ depending on your overall health. This makes it harder to budget for healthcare. 

In general, most Medicare Advantage plans offer fewer choices when it comes to healthcare providers, as these plans work similarly to employer-provided group health insurance. With traditional Medicare, you can choose any doctor who accepts Medicare (most do), but with Medicare Advantage, you are required to visit in-network providers on HMO plans and may pay higher copays or coinsurance if you go out-of-network with a PPO plan. Medicare Advantage plans are also regional, so if you move or travel, you may not be covered. 

Medicare Advantage Details

When it comes to Medicare Advantage plans, there are many details and a lot of fineprint. Overall, Medicare Advantage plans have fewer upfront costs, but the potential for high out-of-pocket expenses is greater. Contrarily, Medicare + Medigap has higher upfront costs but covers a vast majority of expenses if you get sick. You can switch Medicare Advantage plans during annual enrollment periods, but if you want to switch to traditional Medicare, you may find you no longer qualify for Medigap policies or may be charged at a higher rate. 

In Summary

Medicare Advantage Pros

• Extra benefits (ex. dental, vision, hearing, etc.)
• Many different plan options
• Cost-effective, if you remain healthy

Medicare Advantage Cons

• Network of providers
• Lack of out-of-region coverage
• If you get sick, more potential out-of-pocket expenses

While Medicare in general can be confusing, Medicare Advantage plans add another layer of complication. That’s why it’s important to speak to a qualified Medicare agent to help you make informed decisions that are right for you and your family. Contact Insurance Policy Centres today! 

Preparing your office for the in-office meeting

 

Preparing The Conference Room or Meeting Room

• Make sure the room is free of clutter and the tables are wiped down.
• Have wipes available in the conference room to assure visitors of a clean environment.
• Make sure any whiteboard has been wiped clean from prior meetings. (This is not just a good idea, it protects client privacy).
• Lock away client folders or private information.
• Have note pads and nice pens for clients to take notes easily.
• Have a pair or two of reading glasses for those who forget theirs.
• Have phone charging cords for different types of phones for client use.
• Have mints available – for all.
• Have spare umbrellas available if it starts to rain when they are ready to leave.
• Have Wi-Fi guest passwords printed and available.
• Pretest any video being used.

Being prepared beats “oh, our apology.”

Enjoy seeing people again IN PERSON.

Stay safe,

~ DOUG

A Little Mistake with Your Dog That Can Make You Poor

In today's modern world as a pet owner, there is one expense that is becoming increasingly necessary: Pet insurance. Insurance isn't something that you would consider an optional item for yourself, and you shouldn't for your dog either. It helps make veterinary care more affordable

Puppy Insurance

The best time to purchase insurance is when you get a brand new puppy. Puppies are expensive and require several vet visits right away. You'll need to take your puppy in for an initial wellness exam as well as vaccinations (8 weeks, 12 weeks, and 16 weeks). That's assuming you don't have to treat for anything else (worms, parasites, etc.) and what about when it's time for spaying and neutering?

Plus, insurance covers the accidents that might come with puppyhood such as eating things they shouldn't and protects young puppies against things that are unexpected. Imagine if your small puppy falls and accidentally breaks a leg or if your new Golden puppy thinks the hand towel looks like an edible treat. These are more expensive accidents than you realize!

Older Dog Insurance

Even if you have an older dog, you can still obtain dog insurance. Most companies will insure dogs up until they reach old age, often around 14 years old. If they have been ill or had a disease (like cancer), the coverage will likely not cover future charges related to a pre-existing condition.

The truth is that at some point about 50% of dogs will have a major emergency or illness in its lifetime. The veterinary world can now offer us top-notch care, but it does come at an expense that many an average pet owner can't afford. Pet insurance allows you do not have to consider euthanasia as a treatment choice!

Dog Health Insurance

Dog health insurance works very similarly to human insurance. You must be able to afford monthly premium payments. You can select plans based on what you want to have covered, the deductible you want to pay, etc.

It is important when selecting a dog health insurance plan that you compare the various options among companies. Not all plans are created equal. Some offer higher deductibles and have more exclusions and restrictions. Make sure everything is covered! It does you no good to not have routine wellness items covered or to not cover for major emergencies.

Dog Medical Insurance

Other considerations when purchasing an insurance plan:

 Is your vet an approved vet? Just like with human health insurance plans, not all vets are included in the network of an insurer, so if you like your personal vet, try to find coverage that will include him.

 What about emergency vets? People don't often think about the emergency vet until that person is needed, but make sure that your coverage will pay for a trip to an emergency vet.

 Are you covered when you travel? If you are someone that travels with your dog you need to make sure that an expense in another state on vacation will be covered.

 Are the plans standard or do you have to pay for a lot of add ons? For example, traveling coverage might be an add on, but what about more routine items.

 Know how claims are processed. Many pet insurance companies have you pay the upfront fee and then submit receipts. If so, can you afford the upfront fee and wait to be reimbursed?

 Will the premiums increase just because of your pet ages?

 Do you have what many companies consider a high-risk breed? These dogs might not be covered at all or only at a higher expense.

Lifelong Pet Insurance

Lifelong pet insurance is a type of insurance plan that is meant to cover your pet for the duration of its natural life. Of course, you need to read the fine print to be sure, but as a general rule, it means the insurance company can't remove your pet from the plan suddenly.

Lifelong pet insurance plans help limit the restrictions that can often be placed on a plan. For example, many companies will only cover treatment for a specific incidence for a limited time.

Additionally, a dog's veterinary expenses often increase as the dog ages. Lifelong plans ensure that your dog is covered when it likely needs it most and isn't dropped from a plan.

Veterinary Pet Insurance

Veterinary pet insurance, which also happens to be the name of one leading company, is easy to obtain. This can often lead to mistakes in selecting the right company and plan because it is so easy to get. Make sure to compare first!

While selecting an insurance plan, it's advisable to put together a medical record for your dog, if you haven't yet. Any company will want to know:

 Your dog's breed (or close as you can get if a mixed breed)

 Age

 Gender

 Medical History: This will include all visits to the vet and what happened there. If you don't have this on-file yourself, your vet can provide you with a printout history for an application. Keep in mind that many companies will not offer coverage for pre-existing conditions.

Dog Insurance Comparison

It is vital to do a thorough comparison of dog insurance policies. In the last few years, many, many companies have begun offering dog insurance. They are not created equal! It is imperative that you take the time to really evaluate the various plans and the companies. Check out the company's history and wellbeing.

Just like with human insurance, every policy is different and covers (or doesn't cover) a wide variety of things. Additionally, some companies have better track records than others and pay their claims better. Talk to your vet and get a feel for what your vet thinks about the available options. They are at the forefront to really have a better understanding.

Additionally, the internet can be an excellent resource for research and comparisons.

Have a happy doggy time

Doug Myrick