Short term car insurance 20
- Flexibility Through a Pivot Health Short-Term Health Insurance Plan
- Supplemental Health Insurance for Coverage Gaps
- What Coverage Does The ACA Offer Me?
- Why Would I Consider a Private Insurance Plan?
- Deciding Which Plan to Choose
- Lease a car on a European vacation
- How to arrange for a short-term lease on a brand-new car in Europe—cheaper than a rental for longer periods of three weeks or more, and better insured
- What is Insurance?
Are you among the millions of Americans who are in the market for health insurance coverage? If you’ve already started researching your options, you’ve probably come across insurance terminology such as short term medical insurance, supplemental health insurance, fixed indemnity, major medical and private insurance plans. But what distinguishes these plans from one another? And with so many choices available to you, how can you decide which type of insurance plan best meets your needs?
Let’s take a closer look at each of these insurance coverage options. The more you know, the easier it will be for you to decide which plan to select.
Flexibility Through a Pivot Health Short-Term Health Insurance Plan
Do you need medical coverage for a limited amount of time? If so, short term medical insurance might be right for you. Uninsured people who may benefit from a short-term medical plan include those who:
- Are looking for an alternative to COBRA
- Missed the annual enrollment period for plans purchased on or off the healthcare exchange
- Are temporarily unemployed
- Recently graduated, or are adult children who lack coverage under a parent’s plan
- Are employed but do not have group insurance coverage
- Do not qualify to apply for coverage on the marketplace during a Special Enrollment period
- Are waiting for employer benefits to start
A short term health plan from Pivot Health is all about choice. It provides you with the option to select the deductible amount that best meets your coverage and budget needs. Because short-term medical plans do not meet the Affordable Care Act (ACA) requirements for major medical plans to provide essential minimum coverage, you should be sure to check terms and conditions of each type of plan that you are considering. However, many short term medical plans provide coverage for up to $1,000,000 in benefits per coverage period, and also offer affordable coinsurance rates.
There are many advantages to choosing a short term medical plan for your temporary health care coverage needs, such as:Coverage duration You choose how long you need insurance protection: anywhere from one month up to several. Networks Visit the providers you want with no restrictions. This is a significant advantage over many plans sold through the government insurance exchanges, which usually specify coverage through limited provider networks. Plan features Choose additional benefits based on your health care needs and budget, such as prescription drug coverage, low out-of-pocket maximums, and in some cases, extra non-insurance savings such as access to vision benefits and telemedicine consultations. Options You receive a medical coverage solution until the time when you may select a major medical plan.
When you want a plan that offers you a great range of choices and flexibility in plan features and length of coverage, short term health insurance deserves your consideration.
Supplemental Health Insurance for Coverage Gaps
Do you already have a major medical insurance plan either through your employer or one that you purchased on or off the health care exchange? Even with this coverage, you may struggle financially with high out-of-pocket expenses when medical emergencies occur. That means it’s time for you to consider purchasing a supplemental health insurance plan.
Supplemental health insurance plans, including fixed indemnity plans, are structured to help fill in the coverage gaps that exist with many major medical plans. You receive additional insurance protection to help you pay for expenses when unexpected medical accidents or illnesses occur. That’s because a supplemental health insurance plan provides you cash benefits that you may use for any type of expense you choose, including your deductible, copayments or coinsurance. Some people find they even use the cash benefits from their supplemental health plan to pay for everyday living expenses, such as car payments, rent or mortgage, or child care.
Just as with short term medical coverage, supplemental health insurance does not meet the ACA requirements for minimum essential coverage. This type of plan is designed to work with your existing major medical coverage, not replace it.
What are other advantages to purchasing a supplemental health insurance plan?Low premiums Supplemental health insurance provides you with a cost-effective means of managing your out-of-pocket expenses during medical emergencies. Guaranteed coverage Coverage starts as soon as you purchase the plan. (Be sure to check your state’s regulations on pre-existing conditions and limitations). Daily hospital benefit This benefit extends to any illness or injury covered by your plan. No provider restrictions Benefits are paid at a predetermined rate as outlined in your policy, without requiring you to see providers within limited networks.
Depending on the specific supplemental health insurance plan you select, your coverage may even provide:
- Critical illness coverage for children
- Unlimited telephone or video consultations with doctors 24/7
- Accidental death insurance (like a small life insurance policy)
- Disability insurance from a covered accident
- Discounted vision services
- Prescription drug savings cards
Keep in mind that not all supplemental plans offer the same benefits and advantages. Be sure to carefully review plan provisions and evaluate your health care needs so that you select a plan that is right for your situation.
What Coverage Does The ACA Offer Me?
The Affordable Care Act (ACA), also known as Obamacare, was signed into U.S. law in 2010. The ACA itself is not a health insurance plan. Rather, the ACA law significantly reformed the health care delivery and health care insurance markets in the United States.
The ACA had several key objectives: to increase the number of Americans who have insurance, to improve the quality and accessibility of health care, and to reduce the cost of health care. As one step towards achieving these goals, the law introduced health insurance exchanges (also called marketplaces) for shoppers to compare and purchase health insurance plans. Depending on where you live, your exchange is organized either by the federal government or your state.
To make it easy for shoppers to review plan coverage options and pricing, all plans sold through the exchanges fit into one of four standard levels of coverage. In addition, all exchange plans are considered major medical plans. To comply with ACA regulations each plan also must provide the following 10 essential health benefits:
- Outpatient care
- Emergency care
- Maternity and newborn care
- Mental health services and addiction treatment
- Prescription medication
- Rehabilitative services and devices
- Laboratory services
- Preventive and wellness services, including chronic disease treatment
- Pediatric services
The ACA also included new protections for all insurance shoppers, regardless of whether plans are purchased through the exchange. These protections serve to:
- Eliminate pre-existing condition restrictions and gender discrimination.
- Prohibit your coverage being dropped if you become ill or make an honest mistake on your application.
- Enable adult children (up to age 26) to remain covered under their parent’ insurance.
- Give consumers more power to appeal denied insurance claims.
For consumers who qualify, subsidies in the form of premium tax credits and cost-sharing reductions may be available to help lower the price you pay for insurance coverage. This can be an advantage to purchasing plans through the exchange.
Other Key Factors to Consider
As part of the ACA law, all Americans (except those who qualify for an exemption) are required to purchase health insurance coverage. If you don’t buy an ACA-compliant health insurance plan either on or off the exchange, you may be subject to a tax penalty.
In addition, if you plan to purchase a health insurance plan that meets the ACA 10 essential benefits regulations, you must do so during the designated annual enrollment period. For 2017, the open enrollment period ended on January 31, 2017.
If at any time you experience a qualifying life event you may be eligible to purchase coverage on or off the exchange via a special enrollment period. Qualifying life events include a change in family status, the loss of your coverage or a hardship.
Health insurance coverage purchased through the government exchange may be a good option for many consumers. However, there are still many people who compare their options and then decide to purchase private health insurance coverage.
Why Would I Consider a Private Insurance Plan?
Private health insurance plans, including short-term medical coverage, supplemental health insurance and ACA-compliant major medical policies, continue to be a popular purchase decision. In fact, a recent study shows that 2.5 million Americans who are eligible to receive subsidies for health insurance plans bought via the government exchange still decide to purchase private health insurance coverage.
So, what are the top reasons for buying private health insurance?
If you don’t have employer-sponsored health care insurance, and you don’t qualify for cost-reducing subsidies, purchasing insurance directly from a health insurance company or a broker might be a good choice. Rates in the private insurance marketplace may be more affordable, due to greater competition and more choices of benefit plans.
How do you know if you qualify for subsidies that help reduce costs for insurance plans purchased through the exchange? Qualification is based on income. You may qualify for subsidies if you meet several criteria and earn less than 400% of the Federal Poverty Level. Keep in mind that you may only use subsidies to purchase health insurance plans through the exchange—and only during the open enrollment period or a special enrollment period if you qualify.
All health insurance plans sold through the federal exchange must conform to standard (or tiered) coverage levels and plan features. But these standardized plans might not be right for everyone. Ask yourself: do any of these situations apply to you?
- Your health care circumstances require that you have access to more medical services and benefits than provided by an exchange plan.
- You would like coverage for only a short-term basis.
- You want to be able to access a wider variety of medical providers (doctors, hospitals, and other medical facilities).
- You want additional plan benefits that aren’t offered through an exchange plan.
- You seek different plan structures for deductible, coinsurance, copayment or out-of-pocket cost than those offered through the marketplace plans.
If you answered yes, take some time to check into private health insurance coverage.
Choice of Insurers
Health insurance consumers will find a greater number of plan options and providers available to them through the private insurance market. In fact, throughout 2016, a number of health insurance companies announced their decision to withdraw from offering plans on the government exchanges, leaving health insurance plan shoppers in some states with very limited options. On the extreme end, five states have only one insurer offering plans through their state exchanges in 2017. For 2018, the choice of insurance companies/plans are expected to be even more limited, as premium rates on the exchanges are expected to continue to increase significantly. If you prefer to receive coverage through a specific insurer, purchasing coverage through the private marketplace might be your only option.
Do you have a chronic condition that requires you to receive health care services from specific providers or facilities? Do you have a strong sense of loyalty to a group of providers? Many health insurance plans offered through the exchange have limited provider networks. If you don’t receive treatment from that network provider, your coverage benefits may be reduced or you may not be covered at all. You may find that private health insurance plans offer greater network flexibility and benefits coverage.
Deciding Which Plan to Choose
Choosing a health insurance plan is a major decision that can have a significant impact on your health care and finances. When researching which plan is best for you, be sure to take stock of your needs and carefully compare your choices. Whether you need coverage for a short period of time, supplemental coverage to complete gaps in your major medical plan, or you want to purchase a major medical plan on or off the exchange, there are many options from which you may choose.
Lease a car on a European vacation
How to arrange for a short-term lease on a brand-new car in Europe—cheaper than a rental for longer periods of three weeks or more, and better insured
Leasing can be cost-cutter, especially for unusual vehicles like vans or SUVs (though not, sadly, tractors).• Intro
• Doing the math
• Resources The military policeman stopped my car just outside Trieste, and as I handed over my papers, I knew there was going to be some explaining to do.
The carabiniere officer, part of a routine anti-smuggling roadblock near the Italy-Slovenia border, became confused as he shuffled through the car's title (which, like the plates, was French), ownership papers (which stated I'd purchased it in Milan), and my driver's license (which said I lived in Pennsylvania).
"It's a short-term lease, " I tried to explain. He stared at me suspiciously.
"Sir, please step out of the vehicle and open the trunk."
That's the sum total of problems I've ever encountered when leasing a car in Europe—and since my trunk wasn't full of Slovenian cigarettes, I was back on my way shortly.
The upsides to leasing a car in Europe
The benefits of a lease—often called a buy-back, or purchase/repurchase, program —are legion. Lease agreements are packed with perks no rental outfit offers:
- It costs anywhere from 18 to 70 percent less than renting
- You get unlimited mileage
- You get roadside assistance
- Parlez-vous leasing? When I say you get "your choice" of car, that choice is actually limited pretty much to a Renault or Peugeot, since leases are all offered by French car manufacturers. (It's complicated, but basically these programs take advantage of a loophole put into place 50 years ago as an attempt to lure French émigrés back home after World War II.) You get a brand-new car of your choice direct from the factory *
- Rates are guaranteed in U.S. dollars
- No VAT or local taxes will materialize when you return the car—a chronic problem with rentals
- There are no airport surcharges
- There are no "extra driver" fees
- The minimum age for a lease is 18 (with most rentals, you have to be 25)
- You get free insurance and full coverage (none of that rental agency nickel-and-diming with CDW, theft, and liability each costing $7 to $24 per day).
- There's also no deductible
The full insurance/no deductible thing is key. Once I turned in a regular rental with a scratch on the door (it got sideswiped while parked in Palermo), and the rental company charged me the full $300 of deductible to fix it.
On the other hand, I once returned a leased car—arranged through Auto Europe (www.autoeurope.com)—missing its entire back windshield (wouldn't ya know it, the car got broken into the night before I was to turn it in). The backseat was still glittering with shatterglass when I drove it up to the leasing agent at the airport, but since the lease came with full insurance and no deductible, I just handed over the keys with a sheepish grin and an apology.
The downsides to leasing car in Europe
OK, you know there's got to be a downside, and there is: the 17-day minimum. Leasing won’t work for your two-week vacation.
Also, leased vehicles can only be retrieved or returned at a few dozen locations, including 18 (Renault) to 28 (Peugeot) cities within France, plus major airports throughout Europe—with outside-France pick-up and drop-off fees ranging from $49 to $275 (priciest in Spain, Portugal, and Rome). Know that Peugeot's out-of-France fees are roughly half those charged by Renault.
When does leasing a car in Europe make sense financially?
Leasing is a great option for specialty vehicles
"A four-wheel-drive or coupe convertible is very hard to get, or very expensive, with a rental," said Guy Geslin, vice president of Renault USA (www.renaultusa.com). "But with a lease, we can get it very easily, and for a very fair price."
The figures bear him out: The leasing outfits undercut rental agencies by 11% on a seven-passenger van, and rental outfits couldn't rustle up a convertible in all of Paris, while Europe By Car charged only 8% more for a 1.6-liter coupe than for a midsize.At what point does leasing become more cost-effective than renting?
"In France, it's closer to 17 days," said Alexander Roy, president of leasing specialist Europe By Car (www.europebycar.com).
"In Italy or Germany, closer to 30 days," though "for people who always buy all the insurances, the breaking point will be closer to 17."
I ran my own numbers pitting the three leasing agencies against both Hertz and Avis. I won’t bore you with the details (except to say that Hertz was priciest by a long shot every time), but the practical upshot was that, if you’re the type to refuse the CDW and other insurances (an unrealistic scenario in countries where it's required, including Italy and Spain), rentals can be cheaper over a 17-day period (by 30–36%) and even a 30-day period (15%), but a lease clocks in at 10% cheaper on a six-week period.
However, once you compare apples to apples and tack the insurances and airport surcharges to the rental costs, leasing often comes out on top : 28% cheaper on the 17-day option, 45 percent cheaper for a month, and 70% cheaper over six weeks.
Resources for leasing
Auto Europe (www.autoeurope.com)
Since Auto Europe does both short-term leases as well as regular rentals (at the best rates in the business), they're the best place to shop first to see which method—renting or leasing—will cost you the least in the long run. They do cheap cell phone rentals, too.
Europe By Car (www.europebycar.com)
Europe By Car saves you some legwork by grouping together all of the factory programs, allowing you lease a brand-new automobile direct from a European manufacturer (mostly French—lots of Peugeots, Renaults, and Citroën's—but also everything from Fords and Nissans to Audis, Alfas, BMWs, or Mercedes) at prices a fraction of what rental rates would run for similar long periods of time. Plus, their Web site lets you peruse pictures, stats, and strikingly honest reviews of all the models available.
Renault Eurodrive (www.renaultusa.com)
Direct line to the Renault short-term leasing program. Note that Renault offers a greater selection of specialty and larger vehicles than does Peugeot.
This article was by Reid Bramblett and last updated in April 2011.
All information was accurate at the time.
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Copyright © 1998–2013 by Reid Bramblett. Author: Reid Bramblett.
Ever wondered what they mean by ‘Long Term Insurance’ and ‘Short Term Insurance’?
Quite honestly, before I got into insurance, I never really cared, and I bet the same thing applies to you, right?
But like me, I’m quite sure you don’t want to look stupid at a function when someone asks you: “So who does your short term insurance?”
Before we look at the fundamental difference between these two common types of insurance covers, let’s first define the term “insurance”. We don’t want to put the cart before the horse.
What is Insurance?
Insurance is simply the transfer of the risk. You transfer your risk of loss to an insurer and pay a premium to have that risk insured.
It could be:
- the risk of dying, while owing a lot of money on your bond or
- the risk of having your new expensive LED SMART TV blow up after a lightning bolt slams into your house.
Whatever it is, the risk transferred to an insurer forms the basis of insurance.
That’s why each and every month you part with some of your hard earned cash to have that brand spanking new silver BMW insured.
Not nice to owe the bank R350 000 on a silver BMW which has just gone missing, right?
Could you imagine strapping on a pair of old dusty Nike running shoes during a particularly freezing Highveld winter and jogging 50km to work and back every morning while still paying off the luxury German car you no longer have the pleasure of driving?
Forget BMW and their sheer driving pleasure – sounds more like sheer driving hell to me.
I bet it sounds like sheer hell to you too, and so you transfer the risk of vehicle theft or damage to an insurer. They charge you an amount for taking the risk off your hands. If you car gets nicked and is not recovered, the insurer pays out the R350 000 and you square off with your bank before marching into the dealership again.
Okay, the transfer of risk idea is easy enough to understand, but are there any specific differences between types of insurance?
I mean what is the difference between my car and home insurance contract and my life insurance policy?
When guys talk about long and short term insurance, what do they mean?
Insurance can be divided into two basic categories: Short and long term insurance.
Within each category are a number of different types of insurance such as:
- car and home insurance or
- life insurance.
The major – but not defining difference – would be that with a long term insurance policy, you are looking to insure a person for the long term.
With short term insurance you are covering possessions for the shorter term. Remember that with any type of insurance cover, you are covering either a specific item or a specific eventuality for a period of time.
So am I suggesting that any item I insure for a long period of time is deemed to be long term insurance?
Does that mean if I insure my home for thirty years it’s covered under a long term insurance contract? After all, 30 years is a long term.
Not quite. The time period you are insured for is not what defines the type of insurance.
Below is the fundamental distinction between long and short term insurance.
When a life is insured it is deemed to be long term insurance. That’s what you need to remember.
When it’s any other item besides a human being that’s being insured, it’s deemed to be short term or general insurance.
So while you might have a house insured under your short term home owners policy for 20 years, because you are not insuring a life, its short term cover.
Let’s take a look at examples of long and short term insurance policies so you get a better understanding:
John Blogg calls in an insurance consultant because he needs to insure his life.
John takes out a life insurance policy which will pay out a specified amount of money to his wife when he passes away. This is long term insurance with John himself being the life being insured and his death being the eventuality.
At the same time John decided to take out a 10 year endowment policy for his kid’s education. This is a fixed term investment. The endowment savings policy is taken out through the same life insurance company and is also deemed to be a long term insurance product because John is the insured life (a natural person) and again because of the nature of the investment there is a long fixed premium paying term involved.
So even though the endowment policy is an investment through a life insurance company, and John is not actually insuring his life, it’s still long term insurance. That’s because it involves John as being the insured person, and should he pass away the accumulated monies in the investment will pay out to the nominated beneficiary on the policy.
Let’s look at John’s current car and home insurance policy.
The items currently insured are a BMW (his vehicle), some couches, a fridge, television sets, crockery and cutlery (household contents). Are we agreed on the fact that we’re not talking about someone’s life here? This type of cover is going to fall under the short term insurance category.
Talking about cars…Has your car ever been stolen and you didn’t have insurance? Did you get that sick feeling in your gut?
Tell us about it by leaving a comment as a guest below
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The InsuranceFundi Team(Visited 4,670 times, 3 visits today)
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