A Northern California newspaper reported today that insurance companies are indicating that their average 2008 health insurance premiums will increase on average 10%.
We disagree. Although statistically this may be accurate, the truth is that our office has seen rates in California and Texas averaging 20-27% this year. One national Health provider has sent a number of our clients premium increases of 40-65%. Most increases will become effective in July (for new business) or at the policyholders 6 month anniversary or 1 year anniversary.
What you are not hearing from the insurance industry is that these future rate increases do not include age increases or policy age banding changes. The most common method of age banding is to have a single rate for individuals between age 35-40, etc. This year a number of insurance companies have eliminated "age banding" and are now charging a tier rate, meaning you will receive age change increases, at birthday 35, 36, 37, 38, 39, 40. Insurance providers are also charging higher rates for women, a perfectly legal practice, as their actuarial staff supports these increased rates with a higher utilization of services and more medical conditions.
What should you do?
First, start with running an instant health insurance quote online two to four times a year. Online brokers have the most up to date rates and you can compare your policy against other companies best plans available in your state. It takes less than 5 minutes.
With this information, plan a potential exit strategy if your premium rates become unaffordable. Insurance companies usually notify you in advance of their intention to increase premiums. If you decide to switch carriers, you should have ample time to apply and be approved with a new company prior to receiving any actual rate changes. This policy is also good to avoid any potential gap in coverage. Another tactic is to change plans within your current health insurance companies product portfolio. This is valuable if you have on going medical conditions or serious pre-existing conditions.
Take time to design a health insurance program that meets your family or businesses needs. This is a serious financial commitment, especially if you select the wrong plan. For more information contact Quotebroker.
It is becoming increasingly popular to have Health Insurance providers allow members to select the type of Prescription Drugs he/she would like to fill at the pharmacist. Different co-payments or deductibles may apply to these selections, so it is important that you understand the difference between a name brand, generic or formulary Rx Drug. Here are some common questions and answers that may help you.
Q. What is a brand name drug?
A. A brand name drug is approved by the Food and Drug Administration (FDA), and is supplied by one company (the pharmaceutical manufacturer). The drug is protected by a patent and is marketed under the manufacturer's brand name.
Q. What is a Generic drug? A. When a drug patent expires other companies may produce a generic version of the brand name drug. A generic medication, also approved by the FDA, is basically a copy of the brand name drug and is marketed under its chemical name. A generic drug may have a different color or shape than its brand name counterpart, but it must have the same active ingredients, strength, and dosage form (i.e., pill, liquid, or injection), and provide the same effectiveness and safety as its brand name counterpart.
Q. What are examples of each?
A. Valium is a brand name drug whose generic counterpart is Diazepam. On the other hand, Amoxicillin is a generic drug of the brand drug Trimox.
Q. Do all brand name drugs have generic equivalents?
A. No. Approximately half of all drugs on the market have generic versions.
Q. Are generics as safe as brand name drugs?
A. Yes. The FDA requires that all drugs be safe and effective and that their benefits outweigh their risks. Since generics use the same active ingredients and are shown to work the same way in the body, they have the same risks and benefits as their brand name counterparts.
Q. What is a formulary?
A. A formulary is a list of both generic and brand name drugs that are preferred by your health plan. Often, many drugs on the market produce the same results equally well. Health plans will choose formulary drugs that are just as safe and effective as the alternatives but cost less. A team of pharmacists and physicians meet to review the formulary and make changes as necessary.
Q. How does the formulary work?
A. The formulary for your health plan provides a list of medications that a team of health care specialists have approved. Your doctor will write a prescription based on your medical needs, but the formulary provides him with recommendations from the pharmacist and physician team.
An effective formulary system provides a medication safety feature. When drugs and administration methods are systematically included (or deleted) in a controlled drug formulary, there are a number of benefits. For instance, each new drug added undergoes a peer review process that uncovers any safety concerns with the drug. Also, when drugs are systematically added to the formulary, there is adequate time to educate the staff before the drug is used. An organized formulary also ensures that the number and variety of drugs is kept to an effective minimum. There are approximately 13,000 prescription drugs on the market today and several drugs can often be used to treat the same condition. A formulary, based on safety and cost considerations, helps to limit the drugs recommended by your plan's health care professionals.
Q. Is there a price difference between formulary and non-formulary drugs?
A. You will usually pay more for a non-formulary drug when a formulary version is available.
QuoteBroker.com is an online insurance brokerage firm that offers a free health insurance quoting system. Within minutes you can quote and compare all health insurance plans offered in your state. When comparing plans and features, note the Rx benefit with each plan. You will instantly see the cost savings of using a formulary or generic drug benefit.
The Health Insurance industry is changing. More insurance plans rely on patients paying higher deductibles or large co-payments. At the same time, there are many health insurance plans that offer higher deductibles, with full coverage for preventative services - one company being Aetna.
With the proper utilization of services in their large "network" of providers, you can enjoy the following benefits.
All Managed Choice Open Access Plans offer:
* Visit most any licensed doctor or hospital you choose. Your out-of-pocket costs will be lower
in Aetna’s nationwide network of participating physicians and hospitals.
* Unlimited office visits to your primary care physician and specialists
* No claim forms to fill out when you visit a network provider
* No referrals required to see a specialist
* No waiting period to access preventive health (routine physicals)
* 100% annual routine OBGYN exam coverage — no waiting period, no dollar maximum, and no copay or deductible when you visit a network provider
*Coverage for prescription drugs
*Routine physicals include lab work and X-rays
*100% coverage on in-network childhood immunizations
For more information about Aetna and other quality carriers, shop online using QuoteBroker's consumer friendly website. Instantly shop and compare all major health insurance companies / plans offered in your area. Enjoy side by side benefit and rate comparisons, or apply online. If you need help - just ask to speak to a licensed insurance specialist.
A new health insurance study finds; "middle class" families are underinsured and most vulnerable to medical bankruptcy.
In a recent study, the Commonwealth Fund reports that one in every five adults under age 65, or approximately 25 million Americans did not have sufficient health insurance to protect them from financial hardship. Despite having health insurance, these individuals were "underinsured" and after experiencing a serious medical condition or treatment, their out of pocket expenses averaged 10% of their income. (10% being the benchmark number to determine underinsured). These additional expenses were not only due to the higher cost of insurance premiums, but also combined with the growing number of health insurance plans that require patients to pay a higher percentage of their medical bills; usually through higher deductibles or patient co-payment charges.
The countries medical crisis continues with over 50 million people being uninsured and 25 million people underinsured. Both groups forgo routine health screenings and often do not take their prescriptions as needed or at all.
With the increasing number of online resources available to locate affordable health insurance, it is recommended that you compare your policy and plan features against your current insurance company offerings each 6 - 9 months. As more and more individuals receive online insurance quotes, insurance companies are updating their insurance portfolio's cycles more often to remain competitive.
Most self employed individuals and seniors seeking Delta Dental Insurance are limited to buying individual plans that are DMO's - Dental Maintainance Organization plans. Like medical HMO's, DMO's often have limited dental network and it is highly unlikely your dentist will be on that list. If your dentist accepts Delta Dental Insurance coverage, he/she is most likely referring to Delta Premier, which is offered to employer groups.
There is an answer to this problem and it is a little known secret called "Dental for Everyone" offered by Quotebroker. Here, individuals, association members and seniors may "coat tail" a larger association group plan offering coverage, which is administered by a third party and underwritten by Delta Dental.
The Dental for Everyone plan allows you to select either the Delta Dental Premier or PPO plan. Through this program vision insurance is also included (separate from Delta) For more information visit DENTAL FOR EVERYONE.
Visit Quotebroker for affordable health insurance, dental coverage and other quality products for individuals, association members and employer groups.
An adequate employee benefit program is essential in business today, no matter what size company you own. Affordable health insurance and other group insurance programs are a necessary tool for attracting new employees and retaining current ones. In fact, when it comes to employee retention, benefits can make or break their company spirit. Certainly new employees consider benefits to be a decisive factor when it comes to evaluating new job opportunities.
Employee benefits like health insurance, life insurance and retirement plans can be costly, which is why almost all small employers share the costs with their employees. Another option for keeping costs in check is to offer a more modest benefits package. Basic health insurance and dental, don't have to be expensive.
Voluntary benefits have never been more popular than they are today. Employers are "sponsoring" - not "paying for" additional benefits for their employees. For example; you may have several employees that would like to purchase life insurance, but they could not normally qualify for a plan with reasonable premiums, due to their health status. You could offer a small group life insurance or disability plan that employees can buy without having to qualify medically. (check around for participation requirements, as many companies require a percentage of all eligible employees to participate). If you have not looked at Group Life insurance rates - do. If you have a small company, you will most likely decide to pay for the group premium. Dental, Long Term Care and Disability insurance are other types of voluntary benefit programs. These programs are "feel good" benefits that don't have to cost you a dime. For greater participation, implement a Cafeteria 125 plan that allows employees to pay for their benefits before tax and through automatic payroll deduction.
In these economic hard times, many employers are looking to cut benefits. Instead, shop around for better benefits and premiums. Insurance providers are also fighting to retain their book of business. They don't want to loose you. QuoteBroker allows small businesses to shop for insurance online, or work directly with an employee benefit specialist that can often negotiate better premium rates and plan features. Start today by calling (800) 783-0802 x 711
