A Guide to The New Health Care Bill (H.R. 3590) Part Two

This is Part 2 of “A Guide to the New Healthcare Bill.” Here, we continue to provide some of the most crucial mandates found within the new health care bill.

Increased Subsidies and Tax Credits
One of the most drastic adjustments to the bill concerns government subsidies. The new bill provides a large amount of tax credits for acquiring an insurance plan. Actually, the revised bill contains much more tax credits than the original Senate bill contained.

Now, the bill is designed in a sliding scale structure. Tax credits and subsidies are available to households who gain up to four times the federal poverty level. This means that the cap on subsidies ends at $88,200 for a family of four. If you make less than this, then you’ll qualify for tax credits. A family of four that brings in about $40,000 would receive premium caps that would hover around 6 percent of total income.

The Introduction of Exchanges
The bill introduces new state-sponsored purchasing groups which are called exchanges. Uninsured people, freelancers, and even small businesses can decide to purchase coverage through these exchanges. The exchanges basically empower these people to acquire coverage equivalent to that which employees of large companies can acquire. If you currently work for a large firm, you won’t see much of a change. But, if you get fired or laid-off, you might be able to qualify for this subsidized coverage.

Technically, the new bill doesn’t account for a totally government run plan. However, the new exchanges do operate under a federal office that manages governmental employees’ health plans. So you basically are signing up for a national plan if you do go for subsidized coverage. These plans are technically private and nonprofit.

The Exclusion of Abortion
The new health care bill does not allow taxpayer money to be allocated towards abortion or other elective procedures. The bill does not mandate that any plan is required to cover abortion. If a plan does cover abortion, then the insured parties must pay for the abortion coverage separately from the subsidized coverage. The bill also defers some of the decision to the state level, wherein state congressional lawmakers have the option to ban abortion coverage or ease laws pertaining to abortion coverage.

Republican Input for the Bill
President Obama has agreed to implement some Republican provisions into the new health care bill. Originally, Republicans wanted to add a structure by which investigators would pose as patients to attempt to uncover insurance fraud. Also, Republicans wanted the bill to address medical malpractice reform and some tort reform. These additions were not included in the final bill. However, Senator Charles Grassley of Iowa suggested increasing Medicaid payments to primary care physicians, and this appears to have been left in the final bill.

As you can see, the new health care bill has a lot of bells and whistles. We’ll see most of the mandates implemented around 2014 and later. You should take a look at your tax bracket to see how you can qualify for medical tax credits. If you’re self-employed, employed at a small business, or uninsured, then be sure to read up on exchanges. You can still choose from a menu of policies, even though they’re all generally subsidized.

You can also read more about insurance rates for health care on our main site.

The Vocabulary of Auto Insurance Rates

Auto insurance rates are contingent upon a variety of factors.  You can take steps to lower you auto insurance rates if you maintain a clean driving record, choose the right vehicle, and take other precautionary steps. In this article, we’ll go over some common terms used in auto insurance parlance.

Bodily Injury Liability – This type of insurance will cover the costs incurred if you caused an accident in which someone else was injured or killed.

Collision Insurance – This will pay for damages to your vehicle if the vehicle is involved in a collision. It doesn’t matter who is at fault, collision insurance will cover your vehicle regardless.

Medical Payments – You will purchase limits on medical payments. Medical payments pay for medical and funeral expenses for the driver and any passengers in the car at the time of an accident. The insurance company will provide coverage regardless of who caused the accident.

Property Damage Liability – This insurance covers damages you might cause to the property of someone else as a result of a car accident.

Comprehensive – You can purchase comprehensive insurance, which pays for damages to your car that are unrelated to accidents. Examples are fire, vandalism, flood, glass, debris, graffiti, etc. Most of the time, you need to pay a deductible with comprehensive insurance.

Uninsured Motorist Bodily Injury – The insurance company will pay for the bodily injury or death of you and your passengers if you get into an accident with an uninsured motorist. However, this insurance doesn’t apply to any damages sustained by your vehicle.

These are a few frequently used terms in auto insurance. Familiarize yourself with them, because you’ll need to know them.

High Insurance Rates and Disputed Claims

Homeowners’ insurance rates can be expensive and overwhelming. While all homeowners struggle to pay the large insurance rates that come with owning a home, most homeowners expect insurance companies to pay when they have a claim. If your insurance company has denied your claim, you have many options. Here’s what you should do.

1.Don’t take no for an answer. Statistics show that less than 1% of people appeal or query a denied claim. But over 50% of the people who DO fight back actually get their claims approved. This means that persistence will get you far. Insurance companies unjustly deny almost 10% of all claims. If you are filing an honest claim and you’ve got the evidence to back it up, then you just might win your claim. More often than not, claimants who issue a query for their claim will actually get a better settlement, or will be able to reverse a denied claim.

2.Obtain all correspondences with the insurance company. You need to make sure you get everything in writing. Ask for the insurance company to review the case. Request that the company include detailed information regarding the status of your claim, and why they denied the claim. You might be unaware that many jurisdictions require insurance companies to issue written documentation to claimants.

3.Go over your policy in detail. Compare your policy with the insurance company’s response to your claim. If you notice discrepancies, then you can build a case. Assemble this evidence in writing and incorporate quotes from your policy to prove your claim. Often, disputes over insurance claims come from the way that the policy is interpreted. This means that if you can put together a strong case for why your claim should be honored, you’re more likely to receive funds from the insurance company.

4.Defend yourself from Claims Process Errors. Each insurance company has a specific company policy regarding the way they process claims. Often, they require that you file claims within an allotted period of time. Some companies will even deny claims because you didn’t fill out paperwork on time, or you left something blank. The majority of legal jurisdictions have laws that state that insurance companies cannot deny claims due to claims process errors. So, don’t take this flawed logic.

5.Talk to your agent. Since you’ve developed a relationship with someone at the company, it might help to discuss matters personally with your insurance agent.

6.Check with authorities. If you live in the U.S., the State Insurance Department can inform you as to your rights regarding insurance claims.

7.Hire an agent. Professional Loss Consultants will fight the insurance company for you. They’ve often got an inside track on what’s going on. Usually, they just charge a percentage of your claim. Don’t pay money up front to these folks. If they’re good, they’ll only take a percentage of your claim. They can be very useful; as they’ll work hard to make sure you get your money.
You have to be dogged when you’re dealing with insurance companies. If your claims have been unjustly denied, you have to fight. Remember; keep fighting until you win your claim.

7 Steps to Lower Auto Insurance Rates

There’s a science to securing the lowest car insurance rates on the market. While shopping around for car insurance rates can seem daunting, there are a few things you can do reduce your premiums. If the goal is saving money, then follow these steps when searching for car insurance.

1.Maintain a good credit history. Auto insurance companies often analyze your credit history to determine your risk factor status. This might seem obvious, but all it really means is that you pay bills on time and stay out of debt. A good credit history will also help keep your home insurance rates low.

2.Live in the country. Purchase a home in a rural or suburban area rather than in the city. In rural areas, less crime and less traffic means it’s less likely your car will be vandalized, stolen, or involved in an accident. This is much easier said than done, but it’s the hard truth. Living in a city means you’ll pay more for auto insurance.

3.Drive fewer miles to qualify for car insurance discounts. Many car insurance companies offer low-mileage discounts to customers who drive less than 8,000 miles per year. Also, if you use public transportation frequently, you may qualify for a commuter’s discount.

4.Pay a higher deductible. You can slash your monthly insurance premium by up to 20% if you agree to pay a higher deductible. Of course this means that you’ll be responsible for paying the deductible if you’re involved in an accident. But, if you’re a safe driver, a higher deductible and a lower premium can save you lots of money.

5.Purchase a ‘plain Jane’ car. All auto insurance companies rate cars based on their make, model, year, and sometimes, even their color! Most insurance companies will place powerful sports cars or flashy automobiles in the high-risk category. This is because car thieves target these cars more often than ‘regular’ cars. Also, the fact that some of these cars can reach speeds in excess of 180 mph motivates the insurance companies to classify them as high risk.

6.Be a defensive driver. Many auto insurance companies offer discounts to drivers who have no traffic violations or accidents for a period of 3 years. Sometimes these price breaks are quite significant, so you should obey the law and be very cautious if you want to take advantage of these discounts.
7. Park in a garage. If you report that you park your car in a garage, you can often receive small discounts from insurance companies. This is due to the fact that cars in garages are less likely to be damaged or vandalized than cars parked on the street.
As you can see, there are a variety of ways you can reduce your monthly insurance expenses. Be sure to take advantage of any discount you might be able to procure. Many people believe it takes practice to combine discounts and reduce your price. Either way, it’s smart to capitalize on discounts so that you end up paying less for auto insurance.