Platinum Benefit Advisors Blog

Platinum Benefit Advisors Bloghttp://www.platinumbenefitadvisors.com/blog/View Platinum Benefit Advisors's Website Blogen-uspostmaster@www.platinumbenefitadvisors.comInsurance Website Builder - www.insurancewebsitebuilder.comurn:uuid:9dbf80cb-148b-4294-a49d-dcb6fd4d364eurn:uuid:ba9a40ad-1967-492c-9eef-b22203943697Medicare Preparation: Top 5 Myths about MedicarePeople are talking, but do you know the difference between Medicare fact and fiction? Check out these Top 5 Myths about Medicare and put your knowledge to the test. Medicare Myth #1: Medicare is similar to private health insurance While Original Me...Wed, 24 Aug 2011 12:11:05 -0500<h1>People are talking, but do you know the difference between Medicare fact and fiction? </h1> Check out these Top 5 Myths about Medicare and put your knowledge to the test. Medicare Myth #1: Medicare is similar to private health insurance While Original Medicare (Part A and B) does provide access to doctor and hospital services, there are limits to which doctors and hospitals you can visit. With Medicare plans provided by a private insurer, you may have a broader choice of service providers. You may even be able to continue using your current doctor and hospital. Medicare Myth #2: Medicare provides you with free healthcare That’s not entirely true. With Medicare Part A, you won’t have to pay a premium and you will be covered for hospital stays and services. If you select another Medicare option like Medicare Part B or Part D drug benefits, you may be responsible for some costs. Medicare Myth #3: Medicare covers everything You are not covered for routine dental care, eyeglasses, or hearing aids with Original Medicare (Part A and Part B). To receive coverage for these, consider a Medicare Advantage plan. These plans include the same coverage as Original Medicare, but are managed by private insurance companies and have different cost-sharing structures. Medicare Myth #4: You can enroll in Medicare at any time For your initial enrollment in Medicare, you have three opportunities to make your selection: <ul> <li>three months before your 65th birthday OR</li> <li>the month of your 65th birthday OR</li> <li>three months after your 65th birthday. </li> </ul> Once you’ve made your selection, you can choose to keep your same Medicare health plan for the next year or change plans during the annual election period (AEP). Medicare Myth #5: Your prescription drugs are covered by Original Medicare This is not the case and you will need to get Medicare Part D for your prescription drugs. You will need to buy Part D coverage from a private company that has been approved by Medicare to provide these plans.urn:uuid:2e76442e-94db-4708-9c4f-a16690c0cd81Debt ceiling: Investors acting like ostriches? By Paul R. La Monica July 14, 2011: 1:19 PM ET With long-term rates so low, it seems the bond market is not worried about a U.S. debt default. But do investors have their heads in the sand? Click chart for more on bonds. NEW YORK (CNNMoney) -- The...Thu, 14 Jul 2011 13:05:31 -0500 By Paul R. La Monica July 14, 2011: 1:19 PM ET With long-term rates so low, it seems the bond market is not worried about a U.S. debt default. But do investors have their heads in the sand? Click chart for more on bonds. NEW YORK (CNNMoney) -- There is a lot of talk about how politicians are playing a game of chicken with the debt ceiling. But when you consider how calm the market -- especially bond investors -- have been as the August 2 D-Day approaches, another avian creature comes to mind: the ostrich. Are fixed-income investors burying their head in the sand and ignoring the possibility that Republicans and Democrats won't play nice and raise the debt ceiling? Bond rating agency Moody's said late Wednesday it was putting U.S. debt on review for a possible downgrade if there is no agreement to boost the borrowing limit -- which would likely result in the government missing interest payments to creditors. And Moody's rival Standard & Poor's has reportedly told lawmakers that it may downgrade the U.S. even if it doesn't technically default. Advertisement Fed chairman Ben Bernanke has been using the word "calamity" in front of Congress the past two days to describe what would happen if the debt ceiling is not raised. Still, the yield on the 10-Year U.S. Treasury is a very low 2.92%, a sign that there is strong demand for Uncle Sam's debt despite the dire warnings about what might happen if there is no deficit deal. (Bond yields fall as their prices get pushed up.) More on America's debt crisis Contrast the low rates in America with the yields on long-term bonds from some of the troubled nations in Europe. Italy's 10 Year government bond yields 5.6%, for example. And that's nothing compared to the rates for the most troublesome three little PIIGS-ies in t he Euro Zone. Portugal's 10 Year yield is 12.7%. Ireland's 10 Year yield is 13.9% And in Greece, aka the birthplace of this current sovereign debt crisis (as well as democracy), the 10 Year yield is a staggering 17.1%. Of course, U.S. Treasury yields shouldn't be trading at Italy-like levels, let alone the double-digit rates of Portugal, Ireland and Greece. But shouldn't bond investors be a little more nervous? Amazingly enough, most experts say no. That's because they still believe that despite the jawboning in Washington, the market has faith that the president and Congress will eventually hammer out a deal before the nightmare scenario of bond defaults and no Social Security checks unfolds. "When you look at Treasury yields, the market does not seem to be disturbed by this at all," said Jeffrey Cleveland, senior economist at Payden & Rygel, a money management firm in Los Angeles. "There are lots of questions about whether the U.S. will default, but it seems unlikely to happen." In other words, the hope is that even though Washington may push the market to the precipice, it will not actually take it over the cliff like it did in the autumn of 2008 with the bank bailout. Remember those fun days? Congress actually voted against TARP the first time it came to the floor, only to watch the Dow plummet nearly 800 points. You have to think that the buffoons in Washington (many of whom were in Congress in 2008) remember that market plunge. So you would think they would want to do everything they could to avoid a sequel, right? Right? One would hope. But sadly, lawmakers may feel that they can afford to wait. First, they apparently need to prove to their base that t hey are not going to be the ones to cave in. to the demands of their political opponents. Essentially, they are holding off on shopping for presents until Christmas Eve. "Investors just do not believe politicians won't come to an agreement on the debt ceiling," said Keith Springer, president of Springer Financial Advisors in Sacramento. "We are used to the partisan jockeying by now. It seems to me they are close to a deal but are just bickering and waiting to the last minute." If that's true, then I guess it does make sense for yields to be this low. Springer and Cleveland both said that the bond market is worried about sluggish U.S. economic growth -- and a plan to raise the debt ceiling is not going to rejuvenate the stagnant job market. Joe Balestrino, chief fixed income market strategist with Federated Investors in Pittsburgh, added that he thinks the bond market (as well as our big creditors like China) recognize that if the U.S. does actually default, it's more due to political reasons than economic ones. Even if we lose our pristine triple-A rating, U. S. debt may still look reasonably attractive compared to the bonds of other nations. "Treasuries still seem to be benefiting from a flight to quality. Even if the U.S. defaults, where does one go for quality? Germany and Japan don't seem to be great alternatives either," Balestrino said.urn:uuid:d25790e3-1925-4282-8689-7bd1ca62fe70April 18th New 2011 Tax Deadline for Taxpayers!Lori Rademacher, Expert Tax Solutions, Inc.,  January 17, 2011 Well it’s that time again to turn our thoughts to taxes and what it will mean for your family this year!  What’s New This Year…. The IRS has announced that ...Mon, 17 Jan 2011 11:01:03 -0600Lori Rademacher, <a href="http://www.facebook.com/pages/Expert-Tax-Solutions-Inc/186626978031971?ref=ts&v=info#%21/pages/Expert-Tax-Solutions-Inc/186626978031971">Expert Tax Solutions, Inc.</a>,  January 17, 2011 Well it’s that time again to turn our thoughts to taxes and what it will mean for your family this year!  What’s New This Year…. The IRS has announced that this year your taxes will need to be filed by Monday April 18th instead instead of the traditional April 15th deadline (which would be a Friday).  This is being done apparently to accommodate the Emancipation Holiday Observed by the District of Columbia.  Whatever the reason, taxpayers now have 3 additional days to worry or work on those taxes!  Note that if you need to file an extension, that date is also extended from October 15th to October 17th. Some Taxpayers will not be able to file their return until mid to late February.  For Taxpayers that Itemize, Claim Education credits or claim Educator Expenses the IRS has also changed this filing time.  The IRS announced that this is due to late changes from Congress and not having time to develop the software to follow the changes.  They hope to be operating as soon as possible but are alerting taxpayers of the delay. See the IRS website at <a href="http://www.irs.gov">www.irs.gov </a>for further details. As they new tax year begins, stay informed and as always contact your trusted Tax Accountant for details on these and other changes that have been enacted for Tax Year 2010. For more info on Expert Tax Solutions, Inc. visit <a href="http://www.facebook.com/pages/Expert-Tax-Solutions-Inc/186626978031971?ref=ts&v=info#%21/pages/Expert-Tax-Solutions-Inc/186626978031971">HERE</a> urn:uuid:1c91432a-8d73-49d0-8cde-66a58777e7afHow can I lower the cost of my health insurance without sacraficing my coverage?Brian L. Platte, Platinum Benefit Advisors, Inc., January 13, 2011 When it comes to health insurance, one question I am consistently asked is, "How can lower I lower the cost of my insurance without sacrificing my coverage?" There are several ways ...Thu, 13 Jan 2011 22:42:10 -0600Brian L. Platte, <a href="http://www.platinumbenefitadvisors.com">Platinum Benefit Advisors, Inc.</a>, January 13, 2011 When it comes to health insurance, one question I am consistently asked is, "How can lower I lower the cost of my insurance without sacrificing my coverage?" There are several ways to accomplish this, however, my personal favorite is to spread the risk over several companies. When I say spread the risk over several companies I'm not referring to buying several Major Medical policies either.  Let me explain further: In the world of insurance we as consumers have a tenancy to equate the size of our deductible with the overall quality of our coverage.  A $1000 is better then a $2000 deductible and a $500 is better then a $1000 deductible, right?  Well this is true to a point unless that is you don't have to use your coverage.  It's pretty common knowledge that the higher your deductible is the lower your monthly premium is, right?  So how can we increase our deductible and at the same time make sure we don't go bankrupt if we have a major claim? Statistically, 70-80% of the most common major claims are related to accidents and critical illnesses such as a heart attack, stroke, cancer, or terminal illness to name a few.  Many people are unaware that you can actually purchase stand alone supplemental benefits to cover these items.  Best of all these plans are portable (you can keep them as your Major Medical policies change over the years), the benefits are customizable to work in conjunction with your Major Medical policy and best of all the premiums are typically locked in long term.  So how exactly does this work?  First, I would highly recommend taking a high deductible plan, either an HSA (Health Savings Account) or a traditional copay plan.  How high of a deductible?  Depending on the size of your family and circumstances I would recommend a $4000 or above.  This may seem very little high to a lot of folks but stay with me and I will show you how you to actually lower your costs, increase your coverage, and actually lower your out of pocket expenses by doing this.  Let's assume you are 40 years old, married and have 3 children.  For simplistic examples sake you currently have a $1000 deductible with a copay for office visits and Rx, and you pay $1000 mo.  By moving your deductible up to $5000 your premium would go down to roughly $550 saving you $450 mo.  Now with that savings you purchase an accident policy for $50 mo. that covers you up to $5000. You then purchase a critical illness policy for $100 mo. that will pay you or your spouse a lump sum of $50k if you have a critical illness or $10k if your children do. So let's summarize what you just accomplished: You now have a $5000 deductible and have saved $450 mo.  Keep in mind even though your deductible is $5000, this doesn't apply to your office visit copay, Rx coverage, or preventative benefits. You then took $50 month from your $450 savings and purchased a accident policy which will cover the $5000 deductible on your Major Medical policy for anything accident related.  For example broken bones, stitches, burns. You also took $100 from your $450 savings and purchased a critical illness policy which will pay you and your spouse a lump sum of $50k or $10k for your children if any one were to have a critical illness.  This will more then cover the deductible on your Major Medical policy and provide you an additional $45k to live on while you're recovering.  This reminds me, have you ever wondered why families put on benefit dinners to raise money for a loved one with a critical illness, especially when you know they had good health insurance?  It's not necessarily to raise money for their medical cost but rather all of the out of pocket items we don't consider such as: <ul> <li>Replacing a paycheck</li> <li>House payment or rent</li> <li>Co-pays and deductibles</li> <li>Car or truck payments</li> <li>Credit card payments</li> <li>Lost income of self or spouse</li> <li>Non-covered “experimental” treatments </li> <li>Home health care needs</li> <li>Home and auto modifications</li> <li>Groceries and utilities</li> <li>Keep your business going</li> <li>Maintaining your family’s quality of life</li> <li>Housekeeping or childcare expenses</li> <li>Expenses associated with training for a new profession</li> </ul> So for the most common reasons you would use your coverage you actually have nothing out of pocket, have more coverage then before and have an overall savings of $300 mo. or $3600 year!!!!!  Even if you happened to go to the hospital and it wasn't the result of an accident or critical illness, in less the a year and a half you will have saved up your $5000 deductible in savings alone. Pretty neat, huh?  Of course you maybe paying more or less then this particular example but I can honestly tell you I've done this for a countless number of individuals and families and there is always a significant savings. So a smaller deductible doesn't necessarily mean you have better coverage.  You might just be paying a lot more for a lot less coverage. If you want to learn more please request a quote <a href="http://www.platinumbenefitadvisors.com">HERE</a>. To learn for about accident policies, click <a href="http://www.gacquote.com/quote/quote_result.php?AgentID=532&quote=24hour">HERE</a>. To learn more about critical illness policies, click <a href="http://www.lifestyleprotector.net/?AgntID=justerm:platte&Affiliate=justerm:ahcp">HERE</a>.