Disability Insurance is your friend

A disability insurance policy is no more than a promise to pay, whether you become too sick or injured to work.

No matter how healthy you are today, you are still vulnerable to a disability caused by an unexpected illness or accident. Your ability to earn an income is considered your most important asset - not your home, boat or investments. If your income suddenly stopped, how would you maintain your household? Who would make those retirement contributions? Without an income, you would most likely sell or liquidate your other assets.

You are probably better prepared for death than for disability, however your chances of becoming disabled are much greater. The odds or the probability of Death vs. Disability * for every 1,000 people before age 65 is noted below.

Male Age 30 / 225 deaths / 331 disabilities
Male Age 40 / 218 deaths / 291 disabilities

Female Age 30 / 162 deaths / 566 disabilities
Female Age 40 / 148 deaths / 452 disabilities

* A long term disability lasting 90 days or more

If you think you can rely on others, you can't. Social security offers only limited benefits and 57% of all initial claims are denied. Group Coverage (if you have it) is not portable if you change companies. Benefits are also limited. Workman's Comp offers limited benefits, however you must be injured on the job. Do you have enough savings to support yourself for the rest of your life? You are unable to borrow money because your income has stopped. Will your assets be sold at fair market price or will you be forced to liquidate? Even then will you have enough money to support yourself or family?

The only way to protect your income, family and personal dignity is to own a personal disability income protection plan, aka Disability Insurance Plan. Qualified insurance specialists can assist you in designing a plan to meet your needs. Plan on spending 1.5 to 3% of your income for a quality disability insurance policy. Terms vary from company to company, so compare products carefully. QuoteBroker represents multiple insurance carriers and can provide you with an unbiased approach to selecting the best plan for your particular needs.

More technical information will be published soon.

Politics and Your Health Insurance Premiums

With California facing a budget deficit of more than $15 billion dollars, the Governor is calling for tougher Medi-Cal eligibility requirements and reduced rates paid to your healthcare providers. You might ask, "how does this affect me"?

Any changes that leave more California residents without health insurance coverage, will require providers to make up this financial short fall by charging individuals with health insurance coverage more for rendered services. In turn, the insurance companies will pass these increases to you - the consumer.

California already has over 6 million uninsured people, not including the millions that are under insured. Published reports suggest that the Governor's cut-backs will result in an additional 1 million uninsured, resulting in an estimated annual premium increase of $290 per family to cover the new uninsured.

We recommend periodically shopping for new health insurance several times a year. New affordable health insurance plans are constantly being introduced into the marketplace and there seenms to always be a "flavor of the month". In today's marketplace Anthem Blue Cross, Aetna and Blue Shield offer some of the best health plans for the money. Next year it might be someone else. Shop online and keep current of new rates being introduced.

Uninsureable? California Health Insurance Options

There is still hope for individuals that can not qualify for Health Insurance. The Major Risk Medical Insurance Program (MRMIP) offers limited health insurance benefits to California residents who are unable to purchase health insurance due to a pre-existing medical condition. If you have a pre-existing condition and are not eligible for COBRA, Cal-COBRA, or HIPAA, then you can apply to MRMIP as a last resort to obtain health coverage.

MRMIP provides health care coverage through contracted health insurance companies and health plans. MRMIP is partially subsidized; however, qualifying participants must pay a portion of the premium, which is costly.

As a result of California legislation there is a 36-month limit for participation in MRMIP. At the end of this period, MRMIP enrollees are given a one-time opportunity to purchase guaranteed issue health coverage through any indemnity policy, PPO, or HMO currently offering individual health coverage in California. Eligible MRMIP participants who are “disenrolling” after the 36-month period have 63 days to apply for individual health coverage. Ninety days prior to the disenrollment, MRMIP participants receive a notice of disenrollment and 45 days prior to disenrollment, participants are mailed a Certificate of Program Completion that enables them to obtain individual health coverage.

All participating indemnity insurance companies, PPOs, and HMOs who offer comprehensive individual medical coverage in California are required to offer a Standard Benefit Plan that is substantially the same as the health coverage offered while on MRMIP. These Standard Benefit Plans are the only health coverage required to be offered on a guaranteed issue basis and are separate from other individual health coverage that is available in the marketplace.

Before considering applying for MRMIP, consider other options; including joining your employer sponsored plan (if available) or applying for individual coverage. Many individual and family plans accept many pre-existing conditions, including high blood pressure, elevated cholesterol, and other common medical conditions. In some cases the insurance carrier will charge an "up-charge" or rating.

Always shop for the most competitive and affordable health insurance coverages. Health insurance quoting websites such as QuoteBroker provide you with free instant quotes and comparisons from the largest insurance companies offering coverage in your state.