Personal And Business Insurance Are Inexpensive Risk Reduction Tools
Get educated on what you need, then do something about it!!!
DID YOU KNOW: OVER 40 MILLION PEOPLE IN THE US DON’T HAVE HEALTH INSURANCE???
How many businesses do you go into and don’t ask cost? Then how do you make your purchase decision? That is part of the current government-regulated mess we have that the Health Saving Account approach tries to address. Putting the purchasing power in the hand of the consumer is key, so be nice & humble and the price drops!
Health insurance is very important from a personal, family and business standpoint. We need to personally do what we can to make sure we are covered for any needs – and to help improve the healthcare process. This includes our involvement in both dealing directly with service providers and limiting our risk through insurance.
Many people believe that it is up to the government to address the rapidly increasing health care costs and problems, but they have actually caused many of the issues through burdensome legislation and programs. When we add in all on that for litigation, fraud and administrative problems, the costs become an even bigger problem.
On a positive but expensive note, there are also improved technologies, better medicine, therapy and cures that vastly improve life.
From a personal business perspective, health care is the only industry where the consumer goes in for some type of service, they don’t know or even ask about the costs and then they leave not knowing what is owed or how / if it will be paid.
Therein lies one of the big opportunities, putting health care back into the hands of the consumer. This also underscores need for education and personal attention.
A LOOK AT THE NUMBERS
What follows are some historical points to consider:
– Bureau of Labor Statistics calculates that health care costs have risen at twice the rate of inflation since 1970
– Today’s costs are about $2 trillion per year with about half being government spending – including: $550B hospital; $400B doctors; $190B prescriptions; $115B nursing-home; $82B dental
– Employee premiums for employee-sponsored insurance increased 60%+ over last 5 years
– Premiums are rising at 3 times wage growth
– 25% of insured households paid over 10% of their household expense on medical expenses
– Over 75% of people in debt due to medical expenses had insurance at the time
– Half of the people run up credit card debt to address their medical costs
– One-quarter have overdue medical bills
– Catastrophic illness coverage is misunderstood
– Insurance approval is required before many procedures
– One of three people feel health insurance is unaffordable
– Half of the people have refused treatment for serious conditions
– One-quarter have avoided surgery
– Half have postponed routine physicals
– Half have delayed taking prescriptions
What follows are some potential industry fixes and cost savings for some items:
– Cap malpractice awards – saves up to $200B
– Digitize records, billing and prescriptions – saves up to $150B
– Eliminate fraud – $100B
– Drug oversubscription and generics – $25B
– Lower the 7.5% tax rate to promote consumer power
– Allow insurers to sell across state lines
WHAT WE CAN DO TODAY
The approach successful people and companies have taken include some or all of the following:
– Education and empowerment
– Personal attention
– Patient control and involvement
– Health Insurance – high deductible
– Discount prescription cards
– Guaranteed-issue accident policies
– Guaranteed-issue critical care policies
– Health Savings Account – can invest up to deductible each year
– Long Term Care policies
We suggest talking to your health insurance provider to have them address your specific needs.