Dental Plan Insurance

Dental plan insurance covers the entire or most of the expensive visit to the dentist for an affordable monthly price or premium. This ensures that you see the dentist on a regular basis and you do not have to worry about seeing the dentist if you have an emergency and you cannot afford to pay him. Some dental plan insurance gives coverage for regular dental cleaning, fillings and crowns. This is good if your tooth gets chipped or if you have cavities, emergency tooth replacements. If you lose a tooth in an accident your coverage helps you to pay for the replacement non cosmetic oral surgeries in case you need a tooth extraction or surgery and dental x-rays to check your teeth and your gums condition.

Dental insurance makes it easier and more affordable to take good care of your teeth and get the best dental coverage you desire. Now thanks to the internet you can also search online for a dental insurance free quote for an affordable dental insurance plan. Doing this can save you a lot of time and also some frustration. You can get the best dental insurance plans that suit you and your family from the leading companies just by getting free quotes.

Some companies also have individual and family dental insurance plan both of which have different type of benefits. With most insurance plans today, you can choose your own dentist so you do not have to change the dentist you are comfortable with. Protecting your teeth for as long as possible is very important so having good dental care is essential and now with this type of insurance, dental care is more affordable for individuals and families. You can find the cheapest dental insurance just by a click of a mouse so what are you waiting for? Get affordable coverage today and start protecting your teeth.

Key Terms and What You Need to Know About Health Insurance

When purchasing health insurance you need to understand a couple terms that will help with the decision process. I’ve included a brief explanation of these key terms to help you search for a health plan that will fit your specific needs and budget. Please remember the cost for medical exams, procedures, and hospitalization are extremely high so you need to have health insurance to limit the amount you will pay in the event of a serious illness or injury. It is also important to note that health insurance is not designed to pay all of your medical costs; insurance is simply designed to limit your exposure and assign the risk of paying high medical costs to the insurer.

Premium

So let begin with your monthly bill or the monthly premium. This is the amount you pay on a scheduled basis. For instance, if you get insurance through your employer, you would pay your part of the premium each payday. If however you have an individual or family plan outside of work, you would pay the full premium cost on a monthly, quarterly, semi-annual, or annual basis. You will need to pay your premiums on time or the plan can lapse or be cancelled, then you risk exposure to those high medical costs.

What is a negotiated rate or discount?

The greatest benefit in having health insurance is that the insurance company actually negotiates with doctors and hospitals for the best rates. These rates are then passed on as a discount that you pay, up to your deductible and according the plan co-insurance. You may feel that you are paying all the bills but the insurance is already at work providing cost discounts and coverage according to your plan benefits.

Deductible

What is a deductible? The deductible is an amount of money you spend annually before the insurance starts paying. A typical deductible may be $1000 for the policyholder (Individual) and $3000 for the family. For example, you may have an MRI scheduled, which can cost as much as $3000. If you have a $1000 deductible you would pay the first $1000 of the bill. You have now met your annual deductible and the insurer will begin to pay part or all of the remaining $2000 based upon your co-insurance.

Co-insurance

You may have heard of an 80/20 plan in the past? Basically this means that once you have met your deductible the co-insurance kicks in. This is a way the insurer helps with expenses and protects you from paying a large portion of medical costs up front. With the MRI example you have now met the $1000 deductible the co-insurance begins. If you have an 80/20 plan that simply means the insurer pays 80% and you pay 20% until your out-of-pocket maximum is met. So, with the $3000 MRI bill you pay the deductible ($1000 in the example) and now the insurer pays 80%, or $1600, of the remaining $2000 bill. Your responsibility would be 20% of the $2000 bill or the remaining $400. So with the MRI example of a $3000 in costs, and considering you have a $1000 deductible 80/20 plan, your total expenses would be $1400 and the insurer pays $1600. Of course this example is considering you have not had any medical expenses previously applied toward the deductible and it is also important to note that co-insurance can and will vary from 100% to 50% based upon the plan design.

Out of Pocket Maximum

The out-of-pocket maximum is the maximum expense you will have any given year for your medical costs. In other words, you pay the deductible and a portion of co-insurance to a limit on an annual basis. This is the out-of-pocket maximum and limits your exposure in the event of a serious illness or injury. All health insurance plans have an out-of-pocket maximum and this information can be found in the benefit brochure or simply ask your Agent.

Preventative and Child well care

As of September 23, 2010 all health insurance plans now pay 100% of nationally recommended preventative care and child well care visits. This simply means you have no costs when visiting the doctor for preventative care services. It is important to note your physician needs to code the service as preventative to ensure the insurance company pays 100% of the cost.

Co-pay

The Co-pay is the amount you pay for a doctor office visit, prescription coverage, or specific medical expense. For example, many plans offer co-pays for a doctor office visit and you simply pay the co-pay amount such as $25 and the insurance company pays the remaining costs. Many plans offer co-pays however there are health plans that do not offer this benefit or there can be limitations as to the amount of co-pays offered per person per year. Please look over the benefit summary of your plan or ask your Agent the benefits of your plan.

This is just a brief explanation of key terms and I would suggest reviewing the benefit brochure offered by the insurers and your Agent before purchasing any plan. It is essential for you to understand how your plan works so you can get the most benefit from the coverage offered. By understanding health insurance basic terms you also have the opportunity to shop for the plan that best fits your specific needs and budget.

The Ideal Amount of Life Insurance Policy

Scouting for a life insurance policy? You must be sure of your need for taking life insurance before you can decide about how much and where to take a policy from. Life insurance is a must for anyone with dependents and fixed obligations. Financial investment planning can protect you from future financial difficulties and also secure your family in the event of any untoward incident. But the task of arriving at an optimum amount of insurance policy is quite difficult and confuses the best of minds.

Practically, your life insurance requirements change every few years as you take on more responsibilities and your family grows. For an unmarried young man with his father still working, there is not much need for life insurance. But as one gets married, has kids and with dependent parents, the need for an insurance policy increases. Every insured person needs to review his insurance coverage periodically to match it with his increasing/decreasing needs. Factors like age, marital status, earning power of all employed in the family etc. have to be considered for arriving at your life insurance needs. Your financial investment planning should neither be in excess of your requirements nor less than what you must have. By under-insuring, your family may have to bear everyday financial hardships in the event of an untoward incident like death or disability of the insured. Similarly with excess insurance you could end up wasting a lot of hard earned money that could have been utilized for other household needs.

There are various methods available to help calculate your insurance requirements. Depending on your earnings potential and your ability to folk out regular premiums from your salary, the insurance plan should be able to:

• Provide minimum income protection to your family to uphold their present level of living standards. The basic requirements for food, clothing, shelter and education should be easily met with at current standard of living.
• Once you ensure that basic life needs are secure, you should plan your long term savings to meet goals and inevitable needs arising in future like child education, marriage, buying a house and vehicle etc.
• To remain independent throughout your life, you need some pension plan post retirement to maintain a respectable living standard and be able to meet the increased medical expenses. A good pension scheme taken early in life when you are young and healthy means lower premiums and regular income for old age.
• Finally, having planned and secured all immediate and future needs, you would also want your wealth to grow. Judicious financial investment planning should help you determine the long term wealth creation goals and how much you need to invest at regular intervals to achieve the same. Your life insurance India policy should be able to negate the effect of inflation and increase your wealth corpus.

The easiest and basic income based life insurance thumb rule agreed to by most financial experts says that you must insure 8 to 10 times your gross annual income for your family’s security. It will be even better if you can incorporate fixed costs like rent and fixed obligations like home loan, child education loan etc. along with minimum income ensuring insurance plan. Supposing your annual income is Rs 200,000 and your other long term fixed costs amount to another Rs 300,000. Then your optimum insurance policy should be for Rs 1,900,000 (Rs 200,000 * 8 + Rs 300,000).

Affordability of premium payment is another important factor to be kept in mind while planning insurance coverage. Going overboard with huge premium payouts for a large insurance policy can muddle up your daily finances. Plan to set aside a reasonable 6% to 8% of your disposable income for regular insurance premium payments to ensure that you do not face cash flow problems now. By planning the premium as a certain percentage of your income, you can scout for the maximum and best insurance cover available in the market at that rate.

Besides these general methods of life insurance calculation, you can also opt for well planned and comprehensive insurance calculation techniques like:

1) Total dependents’ needs calculation will incorporate all the current cash needs the your family after the insured’s death as well as the ongoing financial needs to main a certain lifestyle.
2) Sufficient insurance to replace the loss of regular income in case of premature/ sudden death or disability of the insured is also a good way of securing your family. This approach calculates the future expected earnings of the insured during his entire life time including promotions and the cost of inflation.
3) For people with big loans and mortgages, the asset preservation approach of calculating insurance cover is best. This ensures that the taxes and debt arising due to death of insured are easily taken care of while preserving the estate and assets at the current value.