Month: September 2017

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What is the Minimum Amount of Health Insurance Coverage that I Should Have?

How much health insurance do I need?

Health insurance can be difficult to understand, and it can be hard to determine how much coverage you need. The minimum amount of health insurance coverage varies from one person to another. There are a lot of factors to consider when choosing coverage and finding the right amount for you and your family.

Legal Requirements

Under the Affordable Care Act individuals are required to have health care coverage. If you are not enrolled in a plan that provides the Minimum Essential Coverage (MEC) you may have to pay a penalty for each month you were not covered. The penalty is paid when you file your federal income tax return. Examples of plans that are considered to meet MEC include employer provided plans, government plans and individual plans purchased from an insurance company.

A qualifying health insurance plan must provide general coverage in order to be considered MEC. For instance, plans that offer discounts on medical expenses or plans that only cover vision and dental are not considered MEC. Simply having a plan that meets the MEC criteria is enough to exempt you from paying a penalty. The amount of coverage through your plan does not matter with regard to the fee.

Evaluate Your Specific Needs

Having medical insurance is enough to meet the requirement of MEC, but it is important to find a plan that fits your needs. There is not a one-size-fits-all solution to determining the proper amount of health insurance you should have for your situation. To find the right amount of coverage, look at your medical needs throughout a typical year. Write everything down to easily keep track of it all. Count how many doctor’s visits you go to in a normal year. Track both wellness visits and visits to a specialist if you have a chronic condition. Make note of any prescription medications you take. Do this for yourself and any dependents you have.

Find the Right Plan

Once you have an understanding of your specific medical needs you can find a plan that best serves those needs. The minimum amount of health insurance coverage that is ideal will allow you and your family to receive the amount of care you need based on what you tracked over the year (see above). If the cost of the insurance is less than what you would pay without insurance, including the MEC penalty, then that is the right amount for you.

Figuring out this number can be hard, so that is why Bob Johnson Insurance is here to help. Click here to contact us with any questions you may have.

Understanding Health Insurance Series
Understanding Health Insurance
The Basics that Every Person Needs to Know about Health Insurance

4 Reasons Everyone Needs to Have Health Insurance

What are the Different Types of Health Insurance and Why Do You Need Them?

3 Answers to Common Health Insurance Questions

What is the Minimum Amount of Health Insurance Coverage that I Should Have?

 

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What are the Different Types of Health Insurance and Why Do You Need Them

Types of Insurance

Ah, the world of health insurance—it can be mind-boggling. Before you strain your brain too much, let us help decipher all the different types of health insurance and why you need them.

Basically, there are two types of insurance:  private health insurance and public health insurance.

Public Health Insurance

Medicaid

Public health insurance is funded by the government. Medicaid is state-run and offered by the government to help low-income individuals and families with medical care. Individuals and families must meet an income requirement to be eligible for Medicaid, and those requirements vary depending on the state.

Medicare

Medicare is government health insurance provided to the elderly (age 65 or older). Medicare covers most medical costs. There are four main parts or Medicare:

Part A covers care in hospitals and nursing facilities

Part B is your medical insurance. It covers doctors and outpatient care, and also covers some things not included in Part A, like physical therapy and home health care.

Part C is called the Medicare Advantage Plan and this allows you to get health coverage for Part A and B through a private health plan

Part D is for medication and covers some prescription drug costs. Low income individuals may qualify for additional coverage.

Private Health Insurance

If you don’t qualify for public health insurance, you must opt for private health insurance. Most people get this through their employer. Under the Affordable Care Act (ACA), you can also buy health insurance on your own, but it usually costs significantly more than plans available through an employer, because you pay for the entire plan yourself rather than the shared employer cost.

Types of Private Health Insurance

HMO (health maintenance organizations) require you to obtain medical care from their provider network. It costs less, but you have less choice of doctor.

PPO (preferred provider organizations) allow you to choose in-network or out-of-network doctors. Costs are covered, but in-network care costs less.

Reimbursement plans reimburse you based on your costs.

Indemnity plans pay based on what happens.  For example, if a person were to break their arm, the plan would pay a set amount for the needed health care.  It is considered to be a fee-for-service plan and has no restrictions on your choice of doctors or hospitals. The insurance company is paid a fee each time you get medical care. Naturally, with indemnity plans, your out-of-pocket costs are higher than in an HMO or PPO.

 

Understanding Health Insurance Series
Understanding Health Insurance
The Basics that Every Person Needs to Know about Health Insurance

4 Reasons Everyone Needs to Have Health Insurance

What are the Different Types of Health Insurance and Why Do You Need Them?

3 Answers to Common Health Insurance Questions

What is the Minimum Amount of Health Insurance Coverage that I Should Have?

 

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4 Reasons Everyone Needs to Have Health Insurance

Why You Need Health Insurance

One of the hot political topics right now is health insurance.  Who should be able to have it?  What about costs?  Can you go without it?  What is the penalty?  BJI is here to help.  This month, we’re talking about what you need to know to make the best decisions that you can about health insurance.

One of the most basic questions is whether or not you actually need health insurance.  Read on, and we think you might realize why everyone should have it.

Life is Unpredictable

Although life’s spontaneity sometimes is pleasant, unpredictable occurrences can have dire consequences for your health and your budget. Significant illness that you don’t expect (such as cancer, diabetes or a suddenly needed operation) and traumatic events have high medical costs that can ruin your credit rating.  Medical bills are one of the most common reasons for personal bankruptcy and easily can set you back for years.

Whether it’s an illness you didn’t expect or an accident that wasn’t supposed to happen, health insurance needs to be in place BEFORE you need it.  Of course, the hope is that there’s no need for urgent care or a hospital stay, but it is a good feeling to have the peace of mind knowing that you’re covered.  You won’t have to worry about the stress of paying medical bills while recovering, AND your budget won’t be blown from an unplanned emergency.

Maintain Your Most Valuable Asset – Your Health

Your health is valuable! Many of us think about insurance in terms of covering accidents and illnesses, but maintaining good health is just as important. It keeps one of your prized assets – your health – in tip-top shape.

Without health insurance, you may be less prone to visit the doctor for a routine checkup. However, having a health insurance policy allows you to take advantage of “preventive care” that is included in most plans.  You are able to see your doctor for regular checkups, get vaccines, and participate in other benefits (such as health screenings) that help you to maintain better health.  The plan you choose will determine what actually is included.

Reduce Your Costs

Insurance companies have special negotiated rates with doctors who are in-network.  When you have health insurance, covered in-network health care costs less for you – even before you meet your deductible.

Avoid Paying a Penalty

In addition to your health being valuable to you personally, it is also valuable to your budget. Current health insurance laws require you to carry health insurance or pay a penalty.  For any month that you, your spouse or tax dependents do not have “minimal essential coverage.”  The fee is either a percentage of your household income or per person whichever is higher.  You can avoid this penalty just by having health insurance.  Later this month, we will discuss this topic a bit more.

Obtaining health insurance is important for everyone. You never know what the future holds, but you can be sure to get the best health care you need with the right insurance coverage. BJI is here to help.  Contact us today.  We will show you options and to help you decide what type of health insurance fits your situation and your budget.  Click here.

 

Understanding Health Insurance Series
Understanding Health Insurance
The Basics that Every Person Needs to Know about Health Insurance

4 Reasons Everyone Needs to Have Health Insurance

What are the Different Types of Health Insurance and Why Do You Need Them?

3 Answers to Common Health Insurance Questions

What is the Minimum Amount of Health Insurance Coverage that I Should Have?

 

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Keeping Boat Insurance Afloat in the Off Season

expensive pleasure boat safely stored under canopy on a hyrdolic lift in a dock

Summer is over, and you’ve taken your boat out of the water. To save a few dollars, you cancel your boat insurance. After all, what could possibly happen to your baby while it’s hibernating? A lot, according to Progressive.

“You’d be shocked at the number of claims filed in colder months,” says Dominic Mediate of Progressive. “Nearly two out of every 10 Progressive boat claims filed in northern states happen between Labor Day and Memorial Day.”

Don’t take a gamble on nothing bad happening.

Common off-season claims:

Fire, theft, vandalism and flooding

Most claims are filed for one of these reasons, which can occur anytime of year. Without coverage, boats damaged by fire, theft, vandalism or flooding aren’t protected.

Injuries that occur on or around your boat

Some boaters don’t realize they could be responsible for injuries that occur on or around their boat — even if the injured person was there illegally. Without liability coverage, you could be responsible for the damages or the injured person’s medical bills.

Keeping your policy all year round might also save you a few bucks.

Progressive’s disappearing deductibles reduce your Comprehensive and Collision deductible 25 percent for every claim-free policy period. Four policy periods in a row without a claim equals a $0 deductible. Canceling your policy could mean paying more or the entire deductible, generally $500 or $1,000.

Check your policy and consult Bob Johnson Insurance, Inc. Click here to contact BJI or call 865-922-3111.