I Was Broke. Now I’m Not. Monday Money Tip: “Life Insurance”

Understanding Medicare’s Supplemental Insurance

Part A and Part B of Medicare cover a lot of different healthcare services for people over the age of 65, but not all services are included. It is a good idea to invest in a supplemental insurance policy, even if you are in good health at the moment. Supplemental insurance policies such as Medigap are important as a safety net to cover unexpected expenses.

Supplemental policies are sold by private insurers as an augmentation to Medicare Part A and Part B. The plans cover deductibles, co-payments and other expenses. Not all insurance policies work in the same way, so you should read the terms and conditions of each policy carefully to make sure you know what you are getting.

Your Medicare policy will take care of initial payments, while the Medigap policy will cover the expenses left over. If your Medigap policy doesn’t cover everything, then the remaining extras will have to come out of your own pocket. Co-payments, deductibles and un-covered expenses only increase as you age, so having an additional policy makes good financial sense.

What Is Not Covered By a Medigap Policy?

The vast majority of Medigap policies do not cover vision treatments or dental care. You will need to get a specific policy for those expenses. The company that provides your Medigap policy should be able to advise on the best specific insurance to get.

Before you can take out a Medigap policy you will need to have Medicare Part A and B. Each supplemental insurance policy covers just one person. You cannot name an additional person on a supplemental policy, so if you are a part of a couple then each person will need to take out their own policy.

It is important that you compare the offerings in your medicare supplement quotes carefully. Do not waste money on a plan that does not cover the kinds of treatment (or conditions) that are most likely to be required by you and your family. Before committing to any policy, talk to a neutral third party that understands insurance. Shop around to get the best deal.

What Is Medicare Advantage?

medicare part cWhile Medicare is helpful in covering the cost of some medical bills, there are certain services that it does not cover. For individuals seeking a more comprehensive medical coverage plan, Medicare Advantage may be the right choice.Medicare Advantage Plans are occasionally referred to as “Part C” plans. They may also be referred to as “MA Plans.” While Original Medicare operates by having the government pay for a person’s Medicare benefits, MA Plans operate through private companies. The private companies must be approved by Medicare, and these companies receive a flat rate payment by Medicare in order to offer Medicare benefits.

In terms of coverage, Medicare Advantage Plans still provide Medicare Part A and Medicare Part B coverage. This means that individuals who choose Medicare Advantage Plans will still be provided with the hospital coverage and medical coverage that would normally come from Original Medicare, only their coverage will come through Medicare Advantage Plans. This differs from Medicare Supplement Insurance, also called Medigap, because Medigap policies simply pay for the costs that Original Medicare does not cover. MA Plans must provide for all of the services that Original Medicare covers except for hospice care. However, consumers who choose to use MA Plans will still be covered for hospice care under Original Medicare. Additionally, MA Plans always cover emergency and urgent care services.

In order to be eligible for MA Plans, an individual must already have Medicare Part A and Part B. They must also live within the MA Plan’s service area. Typically, those patients who already have End-Stage Renal Disease, also known as permanent kidney failure, are ineligible for MA Plans.

Each Medicare Advantage Plan has its own premiums and costs for services; however, people generally choose MA Plans because they ultimately find these costs to be cheaper than the coinsurance, deductibles, and payments required in Original Medicare plans. Another reason that people choose MA Plans is because Medicare Prescription drug coverage is often part of the plans.

Buying Insurance Through AIG Direct Life Insurance

AIG Direct Life Insurance is a direct marketer of term life insurance who works directly with the consumer over the telephone. The consumer usually makes an inquiry due to advertising that the company places, and is connected to a trained and licensed life agent who represents AIG Direct Life Insurance.  You can also go through an independent agent like Root Financial when looking for AIG Direct life insurance.

The agent will discuss the types of life insurance that is available and will inquire of the buyer what types of needs he has in mind. There might be the need to cover a mortgage, cover living expenses in the event of a death, a college education and burial expenses.

Once an idea of general coverage needs are agreed upon, the agent has the capability of generating quotes base upon information that the prospective customer supplies to the agent. These quotes may be for differing amounts of coverage for various lengths of time.

Once the buyer decides to go ahead and apply for coverage, an application is completed over the telephone, as this is the most efficient and quickest way to apply for coverage. There are even some plans where there are no requirements for a physical, which will speed up the process.

When the application is completed, as the agent completes each last detail of the document, it is electronically submitted, and in some cases the underwriting is nearly instant, and in others it may take a few days. Once the policy is approved and issued, it can be sent to the buyer electronically, or a paper document can be mailed, if that is what the customer prefers.

Purchasing life insurance through AIG Direct Life Insurance over the telephone is a very efficient and effective of placing coverage in force, as people tend to change their mind if they have to wait too long as the process drags on.

Should I consider funeral insurance?

Funeral insurance, also known as final expense or burial insurance, is a type of life insurance that provides funds to a person’s survivors for the purpose of covering the expenses related to carrying out a person’s final wishes. This is especially applicable to expenses related to a funeral and burial.

Funeral insurance normally carries a low face value such as $ 5,000 to $ 50,000 with a beneficiary such as a family member who would make a claim on the policy and be paid upon the death of the insured. this money would, in turn, be used to pay funeral and related expenses. If the insurance payment is more than the costs incurred by the funeral, the remainder of the cash can be kept by the beneficiary to use as they wish. Since the beneficiary can legally use this cash any way they wish, make sure you trust your beneficiary. Otherwise, your final resting place may be in a paper sack.Last Wishes

Most people purchase funeral insurance prior to their need. This obviously takes the concern for these expenses off of the survivors when they are most vulnerable and often unable to cover the costs. This also gives the person covered the ability to ensure that they get the arrangements they want. This should not be confused with “pre-need insurance, which covers funeral and burial costs after they have been specifically chosen by the policy holder.

If a person is in ill health when they purchase this coverage, a policy called a “graded death benefit,” or “grab and go” policy can be purchased. This type of policy carries a benefit that gradually increases as time passes between the time the policy is ordered and the time of death.

Life Insurance Will Do It

It is important to remember that any monies that your beneficiaries receive from a life insurance payout can go towards funeral and burial expenses, but many people buy a separate policy for burial and funeral expenses to make sure that other insurance monies are guaranteed to go to the beneficiary. Funeral insurance is also offered at a lower face value than other types of life insurance.

Many financial advisers have their clients purchase a larger life insurance policy that will cover larger encumbrances such as a mortgage, college costs, and other expenses that will be dealt with by the survivors as well as the final expenses. Without these expenses, however, a final expense life insurance policy is a good idea.

Why You Should Consider Life Insurance

Most people that do not already have life insurance wonder if it is really worth paying for. It may seem like a lot of money going out for something that you will probably never use, however, as we will see in this article it is well worth investing in.

It is true that a healthy person rarely thinks about dying, however, you never know what can happen. A natural disaster, car accident, or unseen health problem could possibly affect any one of us at any time. Ask yourself what would happen to your family if you happened to pass away unexpectedly. Could your family keep up with the expenses of day to day life on there own? I know it is not a nice thought, however, it is one that you should take the time to think about if you really care about your family!

Not only will they have the normal expenses of day today life to worry about, but they will also have an expensive funeral to pay for! A good life insurance program, however, can help them avoid lots of stress and potential bankruptcy.

If you make the wise decision to buy health insurance, you will have two options to choose from. You can buy term life insurance or whole term life insurance. Whole life policies build up cash value that your family can use, whereas term policies don’t. The decision of how much coverage to get will obviously depend on the financial needs of your family.  You can get a quality set of quotes from Nomedicallifeinsurance.net for both term and whole life insurance.

How much you pay will depend on your health conditions and your age when you apply for the life insurance. Once you make the wise decision to protect your family and purchase life insurance the next step is to talk with an insurance agent who will explain all of the options that you have.

Protect those you care about with life insurance

Insurance is a much-debated, often misunderstood topic. It considered by some a necessary evil, in that it purports to protect those you care about. Today, there are mixed feelings about health insurance in light of President Obama’s mandatory health insurance initiative. This article gives an overview of the concept of insurance and describes two categories of life insurance and briefly highlights health insurance.

The idea is basically based on providing a benefit from a pool of subscribers with the idea of lowering the cost for individual participants.Term Life v Whole Life Plans
Life insurance companies generally deliver life insurance in two major categories, term life and whole life. Term life gives protection for the life of the term, e. g., 5-year, after which the policy ends without any further benefit. Whole life on the other hand insures the life of the insured for their entire lifespan, at the end of which a sum is bestowed on survivors or beneficiaries.

Advantages & Disadvantages
– Term life is only paid for a specific term, and may be converted to the whole life during the first five years.
– Whole life allows insured to leave a guaranteed, tax-deferred legacy for survivors. Individuals can also borrow against or use the cash value of their policy for personal needs, unlike term life policies.Health Insurance?
Insurance policies cover catastrophic major and medical illnesses and differ from provider to provider. Some individuals get coverage from employers while others pay out-of-pocket. Beside home mortgages, it represents the largest portion of families’ incomes, and thus is a vulnerability for many.

President Obama’s law mandates insurance coverage for all, with a penalty for those who do not obtain coverage. The mandatory portion of the law is viewed as governmental interference by some. The good news is that subsidies are provided if you do not meet the threshold. Even angrier, are proponents of single payer insurance system, such as exists in Canada. However, that idea did not gain traction in Congress, and what is now known as Obam-care, is the law of the land.

Saving Money On Auto Insurance

In the present tough economic times you may be looking for ways to save money. Taking a closer look at your household bills can pay huge dividends. One area that most people overlook is their auto insurance because they assume it is a set rate. Here are some areas of your insurance bill to examine.

You might want to do some comparison shopping to make sure your company is giving you the best deal possible. Comparing insurance companies has never been easier, and you probably will not even have to leave home. There are several web sites available that will let you compare insurance companies to get your best deal. Taking some time to research what is out there could equal significant savings.

Your deductible is a good place to look. The insurance company will reward you with lower premiums if you assume more of the financial responsibility of claims. If you are a safe driver, and have minimal claims, a higher deductible might make sense.

Insurance companies also look at the amount of miles you drive each year. Your premium is, in part, calculated from this mileage estimate. Check with your local agent to see if your provider offers discounted rates for lower mileage.

If you drive an older vehicle you might be paying for coverage you don’t need. For instance, collision insurance on an older vehicle is often unnecessary. Research the replacement costs of your vehicle, and then compare what you are paying annually for collision coverage. If you are paying more in coverage than what the vehicle is worth, collision coverage doesn’t make sense.

Combining all of your insurance needs with one provider can lead to lower premiums. Providers want all of your business, and they are willing to reward you by lowering premiums to get that business. There is also the convenience factor of only having to deal with one company for all of your insurance needs.

Probably the easiest way to save money is to ask about your eligibility for any other discounts. Your company may not disclose all of the discounts they have. Asking is the only way you will ever know if you are missing savings. Sometimes it is a good idea to look for websites that specialize in insurance in your area like this site for Florida auto insurance. They may know of special discounts that specifically apply to you because of your residence.

These are just a few ways that you can save on your insurance bill. Taking time to research can save a lot of money. Get creative and see if there are other ways that you can save on your auto insurance.