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What are the basic types of Auto Insurance coverages?
1. Bodily injury liability, which provides coverage for bodily injury claims from the people you might injure in an accident.
2. Property damage liability, which covers any property damages to third parties, such as another person's car you damage, which you cause or are responsible for.
3. Medical payments to the policy owner and other passengers in the policy owner's car.
4. Uninsured and underinsured motorist coverage, which protects you when the negligent driver has no insurance or insufficient insurance (in most states, this covers only bodily injury losses -- though some states also include property damage losses).
5. Physical damage covers damage to your car
a. collision, which covers losses to your car when you are involved in a collision
b. comprehensive, which covers most non-collision physical damage to your car (if your car is damaged in a storm, or a windshield breaks, for example).
What does Property Damage cover?
The property damage portion of a homeowner's policy covers loss or damage to the home and other structures on the property. In the event of a total loss, the amount paid depends upon the dwelling policy limit of the insurance contract as well as the type of coverage provided under the contract.
On some policies, other structures (such as detached garages, tool sheds, fences, guesthouses, and gazebos) are typically covered at the rate of 10% of the limit set for the dwelling itself. For example, an insurance contract that provides $100,000 coverage for a dwelling typically will provide up to $10,000 coverage for other structures. Trees, shrubbery and other landscape are typically covered for 5% of the dwelling limit.
There are so many different Health Plans out there. What do all those letters (HMO, POS, Etc.) mean?
HMO: An HMO (Health Maintenance Organization) is an organization that provides or arranges for coverage of certain health care services required by members of the organization. Typical HMO coverages include access to a primary care physician, emergency care, and specialists/hospitalization when needed.
Many HMOs operate with preventative medicine in mind by addressing your health care needs while you are healthy so as to prevent disease or illness.
Critics of HMOs address concerns as to a lack of selection of primary care physicians, "assembly line" medicine, and denial of adequate referrals in the event of disease or illness. Critics often claim that a HMO may deny certain claims and may make health care decisions based upon a pure profitability standpoint as opposed to decisions driven by providing the best level of care for its patients.
HMOs are valuable in providing good care for many members—many HMOs organizations take very good care of their members’ health care needs while managing costs.
IPO: IPO (Independent Provider Organization) operates by having an HMO contract directly with independent physicians to provide services to HMO members.
PPO: PPO (Preferred Provider Organization) is a form of managed care under which health care providers contract to provide medical services at pre-negotiated rates. Members who subscribe to a PPO are required to use the health care providers who participate in the PPO network—utilization of a health care provider outside the PPO network may result in the member paying more out-of-pocket for services that could have been provided within the network.
HMOs often use a PRO (Peer Review Organization) to assure that members receive appropriate services that meet professional standards of care. Complaints regarding levels of service are often referred to the PRO for resolution.
POS: POS (Point of Service) plans allow the individual policyholder or certificate holder to visit out-of-network, non-participating doctors for a fee. If the services of a non-participating health care provider are utilized, the individual often obtains restrictions of benefits or incurs more out-of-pocket costs.
What is Long Term Care?
Long term care refers to assistance with the very basic, everyday activities that most of us can do for ourselves. We call them ADLs or Activities of Daily Living. As a result of illness, injury or advanced age, many people need assistance in order to eat or dress or bathe. The need for long term care may also result because a person has cognitive impairment. Some people need supervision or reminders to accomplish every day activities, such as using the toilet, eating, bathing, dressing, and so forth.
Who should consider purchasing Long Term Care Insurance?
Anyone who is age 45 or older should consider long term care insurance when planning his or her insurance needs. "Consider" does not necessarily mean "purchase". Depending upon a person's particular insurance budget, there may be other insurance needs that deserve priority. Certainly, the purchase of long term care insurance should never create a financial hardship.
Does Medicare cover Long Term Care?
Medicare will only provide for some skilled care in very limited situations. It was not designed to cover activities of daily living. Rather, it was designed to cover acute care or skilled care such as that provided during a short hospital stay.
Does Medicaid cover Long Term Care?
Yes, but in very limited situations. Medicaid will generally apply only to those with very low incomes and very few assets. Even then, there is only limited choice of what and where benefits will be provided. For example, there might be limited choice of physician and facility, no control over the number of people sharing a room, or no ability for the family to pay for any extras.
Will a Long-Term Insurance policy affect my eligibility for Medicaid benefits?
Medicaid rules vary from state to state. Most likely, when long-term care benefits begin, they would either disqualify you for Medicaid or the state will be entitled to the amounts that you receive.
Will a Long-Term Insurance policy affect my eligibility for Medicaid benefits?
Medicaid rules vary from state to state. Most likely, when long-term care benefits begin, they would either disqualify you for Medicaid or the state will be entitled to the amounts that you receive.
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