What is a "Health Savings Account"

Hey, just a quick note: I found this presentation online that explains Health Savings Accounts! Hope you learn from it!

What’s Causing the Rising Costs of Health Care?

It’s no secret that the cost of health care is increasing every year. As a result of changes in the health care industry and the economy, we’re seeing higher costs for medical services and treatment, which impact insurance premiums. Our health care system has a lot to offer—at a price. This is affecting everyone: consumers, employers, health care providers, insurance agents, insurance companies, and the government. Let’s take a look at some of the challenges we’re facing and measures we can take to address the rising costs of health care.

Higher demand for medical services – as Americans expect more from their health care providers, health care spending is increasing at a faster pace than the rest of the economy. Higher demand and more frequent use results in more spending.

Developments in medical technology – new and improved technology helps diagnose and treat various medical conditions—which has enhanced our quality of life. However, the research, development, and maintenance of new technologies are expensive and costs are generally passed down to consumers.

Prescription drug costs – the fastest-growing health expense in our country is Rx drugs, which are costly to develop, approve, and market. It may take many years and millions of dollars to bring a drug from the laboratory to the local pharmacy.

An aging population – as baby boomers reach middle age, they require more medical services. According to America’s Health Insurance Plans (AHIP), people over 50 use twice as much health care as those in their twenties, and almost four times as much by the time they reach 60.

Treating the uninsured population – an estimated 45 million Americans have no form of health insurance. Most costs associated with their care (emergency room visits, for example) are left unpaid.

Government regulations – various mandates and regulations imposed by state governments increase the cost of insurance coverage for all insured consumers in those states.

Increasing provider expenses – physicians are facing astronomical malpractice insurance costs to protect their practices and themselves from costly and damaging litigation, causing many to retire early or charge their patients higher costs for medical services.

Fraud and abuse in the health care system – when a provider receives payment from an insurance company for services never rendered or a consumer submits a fraudulent claim, every American pays the price.

If you are looking to lower your cost of health insurance, or want to make sure that you have the proper coverage, visit this website or contact me at my office.

Homecare Service Contracts are not Long-Term Care Insurance

Living in your home while recovering from an illness or injury is certainly preferable to sitting in a nursing home. And homecare service companies can often provide the care needed. Unfortunately, there have been cases where homecare firms offered contracts that caused some seniors with poor health to think that they were getting much more. A homecare provider’s services may include visiting aides who cook, clean, bathe, and help with other activities. Or the company might give you access to special care by a registered nurse or physical therapist. And for an upfront fee, the contracts promise discounted, quality care when you need it without any medical underwriting. The contracts do not, however, include provisions for care in a nursing facility. And when the agreements are sold by insurance agents, seniors may get the wrong impression that they are buying Long-Term Care Insurance policies. Then by the time they need nursing home care, it’s too late to obtain the proper protection. If you or your spouse has been turned down for Long-Term Care Insurance because of advanced age or poor health, I might be able to help find a policy. In addition, there may be alternative solutions, such as a medically-underwritten annuity that could possibly provide higher than normal payouts, to meet your long-term care needs.