Children's Health Insurance Coverage Changes

The Congressionally approved spending increase children's health insurance program will maintain health insurnce coverage for those already enrolled, but those currently lacking health coverage will have to look elsewhere. This development could not have been foreseen a year ago. Democrats proposed a huge spending increase on the federal-state partnership known as the State Children's Health Insurance Program. In addition, Many Republicans embraced the idea, while states were drawing up plans to expand health insurance coverage.

Virginia was one of several states going into the year thinking about expanding eligibility limits for SCHIP. It's a typical state in that it provides health coverage for families with incomes up to twice the federal poverty level. Lawmakers across the state line in West Virginia approved an expansion that would have raised the eligibility level to $51,510 for a family of three. It's now at $37,774. The increase would have led to about 4,000 more West Virginia children receiving health insurance coverage.

Republicans say any expansion should not allow middle-income families to drop private health coverage for the government sponsored coverage. They insisted that SCHIP retain a new Bush administration directive that makes it harder for states to cover middle-income children. Democrats criticized the directive for months. They promised to rescind it, but failed.

The directive said that before states cover higher-income children, they must meet the following threshold: At least 95 percent of children eligible for Medicaid and SCHIP with incomes less than twice the poverty level must be enrolled in those programs.

Many states say meeting that threshold is nearly impossible. But that's not all the directive said. Even if states meet that threshold, the middle-income children will have to go without private health insurance coverage for a full year before they can enroll in SCHIP, and their families will have to pay premiums or co-payments that are 5% of their income.

The directive will affect about half the states. 14 are already covering children above $42,925 for a family of three and 10 more were planning to do so, says the Center for Children and Families at Georgetown University.
One of those states, California, is considering a proposal that would require all Californians to have health insurance coverage, but a central piece of that proposal also increases the threshold for SCHIP eligibility — from the $42,925 level for a family of three to the $51,510 level.

Blue Cross Blue Shield of Michigan rate calcualtion critized

a nationally renowned health insurance expert testified at a consumer hearing that Blue Cross Blue Shield of Michigan used flawed, inappropriate methods to determine proposed rate hikes at issue in a consumer challenge.

James Geyer, former chief actuary for Aetna Inc., said BCBSM methods resulted in a substantial overstatement of its losses from its individual health insurance policies purchased by individuals without employer sponsored coverage, participation in these policies is growing as employers drop workplace health insurance benefits.

BCBSM earlier this year sought a 24% increases, on average, for these individual health insurance policies. Blue Cross was granted a 10% interim rate hike, which took effect June 1. The rate hikes affect roughly 19,000 people in 7 Blue Cross individual health plans. Blue Cross says the rate hikes are needed to offset losses in the individual health business, which totaled $52 million over 10 years.

If BCBSM had performed a more precise analysis of growth in the value plans the insurer would either break even or make $1.3 million, Geyer said, instead of incurring as much as $13 million in losses from the lines of business in question.

New York Health Insurance Plan

From Lower Hudson Online

A NY state lawmaker proposed today that New York create a $59 billion health insurance program that would cover everyone in the state, and probably be paid for through a huge tax increase.

The plan, by Assembly Health Committee chairman Richard Gottfried, would generally replace the private health plans that now provide coverage to residents through their jobs.

He offered no suggestions, however, on how to pay for the health plan, which would give New York the country's largest state-run health insurance program.

Gottfried acknowledged that the program would have to be paid for by new taxes, but he said he believed NY residents would wind up paying less under his plan than they pay now in health insurance premiums and deductibles. His office estimated that the current system costs New Yorkers and their employers $63 billion per year.

The proposal was applauded by some groups that have lobbied for universal health care, but criticized by others who suggested there was little evidence the state could afford it, or that it could do a better job than the current insurance system.

Gov. Eliot Spitzer, who announced earlier this week that he would commission an independent research group to help develop a plan for universal health coverage, said he welcomed Gottfried's proposal as a "valuable option" worthy of future study.

Health Insurance Membership Increased

Press Release

Membership in health plans for the health insurance industry’ s leading health care companies (such as Blue Cross Blue Shield etc. ) grew by 3.2% from 2nd quarter 2006 to 2nd quarter 2007.

ASO enrollment (members in self-insured employer plans for which insurers provide administrative services only) grew at a rate of 6.5% while risk-based membership increased by less than 1% during the year.

MFA analyzed enrollment trends among eight top health insurers — Aetna, CIGNA, Health Care Service Corporation (HCSC), Health Net, Humana, Kaiser Permanente, UnitedHealth Group, and WellPoint.

Aggregate ASO enrollment for these companies grew by more than 3 million members over the year, while risk membership grew by only 285,000.

This has been the trend in recent years, as employer-sponsored plans have moved away from risk-based arrangements.

Further analysis shows that among the top competitors, only Health Net saw an overall decline in membership since the end of the 2nd quarter 2006.

Auto Insurance Rates

Auto insurance rates have been dropping for the last couple of years as consumers shop around for better deals, and auto insurers are starting to believe it can't go on much longer without compromising profits.

The biggest auto insurers help drive consumer shopping with massive advertising budgets and selective price cuts, putting auto insurers beyond the top-tier in a quandary as they try to find innovative ways to attract attention.

Mild catastrophe seasons over the last couple of years have helped keep insurance profits healthy generally for insurance companies, but a Standard & Poor's report last week on personal lines insurance warns that profit margins could tighten considerably if insurers discount too deeply or loosen terms too far in order to keep their customers.

Clinton Touts Health Insurance Plan

According to Hilary Clinton, health insurance companies should face the same kind of federal regulation as firms that sell stocks and bonds do.

The patchwork of state regulation that insurers now operate under has allowed some carriers to get away with offering sub-par health insurance plans and to move to states with more favorable rules.

Clinton also outlined her universal health care plan, which would provide tax credits to make health insurance more affordable and require businesses to offer health coverage to workers or pay into a pool for people without it. Her plan also would expand Medicare and the federal employees' health insurance plan to cover those without adequate workplace insurance.

Liberty Mutual Turns It Up a Notch

Gearing up for the introduction of competition among Massachusetts automobile insurance companies next year, Liberty Mutual Group plans to increase its Massachusetts sales force by 50 percent.

Liberty Mutual, the state's fourth-largest automobile insurer, said the 30 additional sales representatives are being hired in response to the state's recent move away from a system in which auto insurance rates were set by state regulators to one that allows insurers to compete for customers, through their prices and products.

Liberty Mutual announced improvements to their Massachusetts auto policies. The Hanover Insurance Group, based in Worcester, followed suit yesterday with its own enhancements, including the potential for customers who are good drivers to eliminate deductible payments if they are in an accident.

Liberty already employs a sales staff of 61 working in 13 of the insurer's offices across Massachusetts. Liberty insures about 300,000 Massachusetts drivers. The new sales force will accommodate the increased shopping activity that will undoubtedly happen next year.

Maryland health insurance plan

The Maryland Senate has signed off on a health insurance plan to pump $600 million into health insurance for Maryland residents over the next five years.

The Senate voted 31-16 in a largely party-line vote to adopt Gov. Martin O'Malley's plan to expand Medicaid eligibility and give some small businesses a subsidy to help them offer health insurance to their employees.

The bill still needs final approval in the Senate before heading to the House, which passed a similar plan last year and is thought likely to approve some version of O'Malley's plan.

Funding for the health insurance expansion would come from several sources, including slot machine gambling and a higher tobacco tax. Both have yet to be approved.

Wyoming Health Insurance

Golden Rule Insurance Company, a leader in the individual health insurance market for nearly 60 years, this week begins offering new choices in coverage for individuals and families in Wyoming who buy their own health insurance.

Golden Rule’s product portfolio in Wyoming includes health savings account (HSA) plans, other lower-cost high deductible plans and traditional copay plans as well as short term health insurance.

Network discounts on health care can translate into even more savings and reduced out-of-pocket expenses for Golden Rule customers in Wyoming who will have access to UnitedHealthcare’s network of 162 physicians and 18 hospitals throughout the state as well as an extensive network throughout the country.

Golden Rule customers typically save 45-55 percent or more in premiums by choosing one of their HSA plans over a more traditional plan. In addition, HSAs offer triple tax advantages: the savings go in tax-deductible, grow tax-deferred and can be withdrawn tax-free as long as they are used for qualified medical expenses including vision and dental.

Today, nearly 40 percent of Golden Rule customers are covered by HSA plans.

Allstate to exit Auto Insurance Market in CA

California drivers argue that Allstate must lower its
California auto insurance rates by almost 19% under
new insurance regulations rules that limit excessive
profits in a Department of Insurance hearing that began
today in San Francisco, CA.

Allstate, the nation's second largest auto insurance
company, seeks five exemptions to the rules that determine
auto insurance rates, despite the company's above-average
profitability.

The Foundation for Taxpayer and Consumer Rights has determined
that Allstate is overcharging drivers over $300 million per year.

Allstate's net income for 2006 alone was approximately
$5 billion and total shareholder return was 590% between
1994 and 2006. 

Auto Insurance Rates Vary Greatly By State

According to Insurance.com's Mid-Year Auto Insurance Pricing Report, Louisiana is the most expensive state for auto insurance, with an average premium of $2,740 in the first half of 2007 (although down more than 3% from 2006).

New York continued to be the second highest-paying with an average of $2,601 for car insurance, ( a 4% decline from 2006).

Wisconsin had the most affordable auto insurance in the first half of 2007, with an average premium of $1,335, followed by Ohio at $1,342.

Individidual Health Insurance in Maine

The individual health insurance market in Maine is broken.

The superintendent of insurance has approved premium increases of more than 100% over the last five years; the average deductible sold in this market has increased substantially over the same period; and Anthem Blue Cross and Blue Shield has lost millions of dollars on this business over the last two years.

Individual insurance is for the self-employed, as well as early retirees who are not yet eligible for Medicare and young people just entering the workforce.

Many individuals who have insurance are barely hanging on to it by purchasing policies with deductibles that are unreasonably high for their incomes.

So why are Maine's individual health insurance rates among the highest in the country?

The rising cost of medical care and the increased use of medical services are driving some of the increases, but Maine's insurance laws are a big part of the problem, too.

Guaranteed issue requires health insurers to provide coverage to any and all individuals seeking it. Maine's community rating law limits the factors that can be used to determine the price of coverage.

While these laws were passed with good intentions, a lot has changed in 15 years -- especially in health care.

These laws have contributed to all major insurance companies except Anthem leaving the individual market here. They have driven up premiums and deductibles, forcing many people to drop coverage.

This problem is not unique to Maine. Other states, including Idaho, Kentucky, New Hampshire and Washington, have faced a similar situation.

Phony Arizona Health Insurance

Press release

Insurance Director Christina Urias has ordered National Trade Business Alliance of America to immediately stop offering, soliciting, issuing or delivering health insurance to Arizona residents.

This unlicensed entity may also have marketed products under the names: Affinity Health Plans of America, National Trade Business Association, NTBAA, National Transportation Benefit Alliance, Qualified Administrative Specialists of America, Family Health Care Services, Inc., America’s Best Benefits, and American Employers Association.

The Texas, North Carolina and Pennsylvania insurance departments previously sanctioned some of these entities for similar unauthorized activity in their states.

This bogus health insurance plan sent an unsolicited fax to an Arizona small business and its employees. The faxed advertisement stated: “Attention Employees: Health care you can afford, $124 individual rate, $173 family rate…Expires Friday!”

Ohio Auto Insurance Rates

Press release

Ohio auto insurance rates have declined for the second straight year, according to a report released by the (NAIC). Ohio currently has the 13th lowest auto insurance rates in the nation. In 2004, Ohio was ranked 14th in the United States.

Ohio residents are paying on average $668.93 in premiums for auto insurance, far below the national average of $829.17. In 2005, Ohioans paid an average of $680.14 in auto insurance premiums.

Analysts expect that rates for automobile insurance, overall, will not change significantly in 2007. Changes in automobile insurance rates can be attributed to repair costs, medical costs, weather-related claims, and the number of cars on Ohio roads.

Ohio residents with questions about auto insurance can call the Department's consumer hotline at 1-800-686-1526.

States Battle Over Health Insurance

The battle over the Children’s Health Insurance Program (CHIP) is being fought largely between members of Congress from high-income states, such as Maryland, versus members from low-income states, such as South Dakota and Mississippi, which rank near the bottom in median household income.

Eligibility Varies

Some states, such as South Dakota, currently offer CHIP only to people with incomes up to twice the federal poverty threshold, which is $20,444 for a family of four with two children.

So in those states, families with income of $40,888 are eligible.

But other states, such as Maryland, which has the highest median household income in the nation, provide CHIP coverage to people with incomes three times the poverty line.

On the decisive Senate vote to push ahead with expansion of the CHIP program, where both senators from a state voted for CHIP expansion, they came from states with an average household income of nearly $50,000.

But where both senators from a state voted against CHIP expansion, they came from states with an average household income of under $42,000, including the lowest-income states such as Kentucky, Oklahoma and Mississippi.

The economic clash works between congressional districts, too: House Republican Whip Roy Blunt of Missouri, an outspoken opponent of CHIP expansion, represents a district where the median income is $36,962.

His Republican colleague from New York, Rep. Vito Fossella, who voted to expand CHIP, represents a district that includes Staten Island and part of Brooklyn in New York City. In Fossella’s district, the median income is $62,108, nearly 70 percent higher than in Blunt’s district.

The Uninsured

About 90 million Americans (not including the elderly) were at some point uninsured during 2006-2007, as detailed in a FamiliesUSA report.

The majority of the uninsured did not have health insurance coverage for extensive periods. Almost two-thirds of them were without health insurance coverage for over six months, while about half were without insurance for at least nine months.

Percentage of non-elderly uninsured:

-- Texas - 45.7%
-- New Mexico -44.3%
-- Arizona - 41.8%
-- California - 40.5%
-- Florida - 40.1%
-- Mississippi - 38.7%
-- Nevada - 38.4%
-- Louisiana - 38.1%
-- Oklahoma - 37.7%
-- Georgia - 37.6%
-- South Carolina - 37.4%
-- Arkansas - 37.2%
-- Utah - 35.2%
-- Alabama - 35.1%
-- The District of Columbia - 35.1%
-- West Virginia - 35.1%
-- Alaska - 34.8%
-- North Carolina - 34.6%
-- Oregon - 34.6%
-- Colorado - 34.2%
-- Montana - 33.9%

According to the report, 79.3% of the uninsured were in working families, 70.6% were in full-time employment, while 8.7% worked part-time. 64.2 million uninsured people were within the 18-64 year-old age group, 34.9% were aged 25-44.

States with people uninsured for some/all of 2006-2007:

California - 13 mil
Texas - 9.3 mil
Florida - 6 mil
New York - 5.5 mil
Illinois - 3.6 mil
Georgia - 3.1 mil
Ohio - 2.9 mil
Pennsylvania - 2.9 mil
North Carolina - 2.6 mil
Michigan - 2.5 mil
New Jersey - 2.4 mil

New Florida Auto Insurance Rules

Starting October 1, you do not have to carry proof of auto insurance in your car because Florida’s no-fault automobile insurance law has officially expired.

A special session of the Legislature dealing with budget cuts, which starts Wednesday, is expected to take up the issue of mandatory auto insurance after House and Senate leaders announced a deal that revives the state’s $10,000 medical coverage for motorists and their passengers.

Although written to take effect immediately, the bill would not put all Florida motorists under the same requirements until Dec. 1.

New Jersey Auto Insurance Rates

New Jersey drivers pay more for auto insurance than drivers in any other state.

NJ drivers paid an average of $1,184 in premiums and expenditures to insure each vehicle in 2005, down only about $10 since reforms aimed at increasing competition in the state's auto insurance market were implemented in 2003.

In Pennsylvania, the average auto insurance cost climbed from $726 in 2001 to $850 in 2005. In Delaware, auto insurance premiums increased from an average of $851 in 2001 to $1,028 in 2005. The nationwide average was $829, up from $726 in 200.

Underwriting costs, driving locations, accident rates, traffic density, auto theft statistics, repair costs and state laws can all affect a state's expenditures premiums, which make direct state-to-state comparisons difficult.

Health Plan for Low Income Adults

The federal government has given Indiana the go-ahead on its plan to launch a state subsidized health insurance plan for low income adults that will be funded in part by an increase in the cigarette tax.

The deal will allow Indiana to provide health insurance coverage to about 130,000 uninsured Indiana residents.

The state will use about $140 million a year in cigarette tax money and matching federal dollars to fund the plan. The new program should be up and running by January.

The federal government will provide more than $1 billion over a five year period to help pay for the low income healthcare program.

Hilary on Healthcare

The Clinton camp posted on their website that Hillary's plan will simplify and ensure choice in health insurance coverage for all Americans.

Hillary's health plan from differs in many ways from current health insurance plans. The new proposal provides tax credits for working families to help them cover their costs. Some of the innovative ideas in this plan will put an end to discrimination for pre-existing conditions.

Florida Insurance Companies Increase Profits

Florida Insurance Regulators are sifting through thousands of subpoenaed documents, trying to see if there was collusion between insurance companies to keep hurricane insurance rates high, even after changes in the law.

Within the State Office of Insurance Regulation, investigators are pouring over insurance company records, they are looking for evidence of collusion in the sale of reinsurance, or anything that might explain why insurance rates dropped only half as much as predicted after the state of Florida changed the law.

Insurance rates were predicted to drop 24%, but only fell by 12% on avg.

The investigation is likely to take months before any answers on why rates are still high emerge.

Anthem of CT to raise rates for Seniors

Senior citizens in Connecticut who buy health insurance from Anthem Blue Cross and Blue Shield of Connecticut may face premium increases next year averaging 5.7% on standardized medicare supplement policies and 1.4% on older policies under the company's proposals.

Anthem filed proposed rates Monday with the Connecticut Insurance Department for Medicare supplements, which seniors often buy to pay for portions of their medical bills that Medicare doesn't cover, such as hospital deductibles.

The proposed increases, which would take effect Jan. 1, are subject to regulators' approval and a public hearing will be scheduled.

UnitedHealth Group also recently proposed rate increases for Medicare supplements it sells through AARP. Its increases would average 6% on standardized Medicare supplement plans.

The Candidates on Health Coverage

A look at positions of the 2008 presidential candidates and their healthcare plans:

DEMOCRATS:

Delaware Sen. Joe Biden: Expand health insurance to cover all children and to make catastrophic care available for all; look to states for ideas on universal coverage.

New York Sen. Hillary Rodham Clinton: Mandatory universal coverage in first term. Tax credits for working families to make insurance more affordable. Business would be required to offer insurance to employees or pay into a pool for people without it. Expand Medicare and federal employees' health insurance plan to cover those without adequate workplace insurance. Raise taxes on wealthier families to help pay estimated cost of $110 billion a year. Also, raise taxes on a portion of "very generous" plans covering people making more than $250,000.

Connecticut Sen. Chris Dodd: Expand health insurance coverage by offering insurance that could be taken from job to job, with premiums based on ability to pay.

Former North Carolina Sen. John Edwards: Mandatory universal coverage in first term, by expanding system of federal health insurance and family tax credits, and by imposing requirements on employers, health insurance companies and individuals. Increase taxes on wealthier families to pay for program's cost of up to $120 billion a year.

Ohio Rep. Dennis Kucinich: Favors national health insurance program covering medical, dental, mental health and long-term care for all, as well as prescription drugs.

Illinois Sen. Barack Obama: Require employers to share costs of insuring workers and ensure all children have health coverage. No mandate that everyone must have insurance. Raise taxes on wealthier families to pay the cost.

New Mexico Gov. Bill Richardson: Tax breaks for businesses and for people who pay for their own health coverage. Lower the eligibility age for Medicare to 55 and expand programs for poor and children.

REPUBLICANS:

Kansas Sen. Sam Brownback: "Market-based solutions, not government-run health care."

Former New York Mayor Rudy Giuliani: Income tax deduction of $7,500 per taxpayer to defray insurance costs. Tax credit for poorer workers to supplement Medicaid and employer contributions, as part of "market-driven" expansion of affordable coverage. Expanded use of health savings accounts.

Former Arkansas Gov. Mike Huckabee: Favors market solutions, state innovation.

California Rep. Duncan Hunter: Supported expansion of health insurance through tax breaks, not government-sponsored universal coverage.

Arizona Sen. John McCain: Has a record of promoting prescription drug coverage for older people and expanded insurance for children, but not universal coverage.

Former Massachusetts Gov. Mitt Romney: Incentives for states to expand affordable health insurance coverage.

Colorado Rep. Tom Tancredo: Market reforms instead of more federal spending to expand health coverage.

Former Tennessee Sen. Fred Thompson: "Market-driven" expansion of affordable health coverage.

Allstate changes policy

Allstate Insurance Company has agreed to stop considering whether a customer has auto insurance with them when deciding whether to renew a members homeowners insurance.

The Insurance Department announced that Allstate, and Liberty Mutual, had broken state law when they used auto insurance as a criteria for renewing homeowner policies. Liberty Mutual announced an immediate end to the practice, and a month later Allstate will do the same.

Rural America Hurt by Health Insurance Pinch

Even if a farmer or rancher has a thriving business and has health insurance coverage, he or she may have a tough time paying for doctor visits or hospital stays.

This was documented in a report issued by the Access Project, an affiliate of the Schneider Institute for Health Policy at Brandeis University.

The good news from the survey was that the vast majority of the farm and ranch families had health insurance coverage.

Nevertheless, 20% of respondents said they had taken on debt to pay for healthcare expenses.

The reports points a finger at high out-of-pocket health-care expenses, even for those with health insurance. The surveyors noted that about 33% of respondents had purchased individual health insurance, By comparison, only 8 percent of Americans as a whole are covered by individual health insurance policies, which usually offer less comprehensive coverage.

Allstate Raises Auto Insurance Rates in Illinois

While many auto insurance companies have been lowering their insurance rates recently, one major auto insurer just raised its premiums.

If you buy your car insurance through Allstate, you'll see a bigger bill soon.

Allstate raised its Illinois auto insurance rates an average of ~ 10%. Allstate saw collission claims rising and its business deteriorating so it had no choice but to pass along higher costs to its customers in Illinois

Allstate's higher prices comes at the same time that some of its competitors including State Farm, Progressive and GEICO all lowered auto rates in Illinois by ~ 6%.

Medical Bills? Protect Yourself

Health insurance horror stories like those in documentary "Sicko" happen everyday. No one wants to learn that their health insurance company won't pay a major doctor's bill.

Here are 3 tips to help protect against unexpected medical bills and get the most our of your health insurance coverage:

1) Check for benefit limitations. Read through coverage details, especially the "exclusions and limitations."

Some health plans include a "lifetime maximum," which represents the maximum amount of medical expense the health insurance company will pay for all medical claims in a lifetime (typically $2-$5million)

2) Make sure the doctor prescribes only drugs that are covered (if at all possible). Some health insurance companies maintain lists of all the prescription drugs that they are willing to cover (called a formulary). A doctor may or may not be aware of the health insurance company's formulary. Get a copy of the drug formulary from the health insurance company and consult it when your doctor writes a prescription.

3) Preauthorization. Health insurance companies will typically only cover services they consider medically necessary. When considering an expensive procedure , even one ordered by a doctor, make sure to apply for preauthorization.

Federal Rules Impede Health Insurance for Children

Governor Eliot Spitzer has launched an effort to reverse new federal rules that will impede New York’s groundbreaking efforts to insure that every child in NY has health insurance coverage.

Spitzer called on President Bush to approve a plan that will make health insurance available to nearly 400,000 uninsured children.

The new federal rules governing the expansion of state plans under the federal State Children’s Health Insurance Program (SCHIP) block New York’s legislatively approved expansion of children’s health insurance, as well as roll back expansions or pending plans in 17 other states and the District of Columbia.

Spitzer announced that the state may fight the new federal administrative rules in court on the grounds that they contradict the provisions of the federal SCHIP law and were imposed without notice or the required comment period as required by the federal Administrative Procedures Act.

In April, New York State filed a State Plan Amendment with CMS, seeking federal approval to expand the income eligibility for its Child Health Plus program from the current maximum of 250 percent of the federal poverty level (FPL), about $43,000 for a family of three, to 400 percent of the FPL, about $68,000 for the same family.

Universal Health Insurance

Despite the chorus of pleas for redesign of America's medical insurance system as the 2008 presidential race heats up, a makeover seems less likely than a series of small reforms to fill in gaps in health coverage.

The calls for a far-reaching redesign of the health care system are as loud as they were in 1993, when a newly elected Bill Clinton tried to persuade Congress to enact a form of national health insurance.

But while the 2008 presidential contenders are talking about health insurance, most of their ideas are familiar ones aimed at expanding health insurance coverage rather than reinventing the wheel.

Consumer Directed HealthCare plans

Consumer-directed healthcare plans don't have a reputation for being consumer friendly. In fact, the demand from consumers and employers for a better experience is creating $40 billion in new revenue opportunities for financial services firms and health insurance companies over the next five years.

For consumers and employers health/wealth innovations may be a means to curb skyrocketing healthcare costs, better manage the spending and saving of healthcare dollars, and even improve the quality of care. At minimum, tighter integration between the processes of paying for and receiving medical care should make it easier to navigate an increasingly complex U.S. healthcare system.

For more information about consumer driven healthcare visit healthinsurancesort.com

Auto Insurance Rates - impacts of credit score

Using credit scores as a factor in determining auto insurance rates & eligibility is a standard practice. For years, auto insurance companies have maintained that a person's scores are a valuable predictor of whether someone will file an auto insurance claim sometime in the future.

Consumer advocates say using credit scores to set auto insurance rates unfairly hurts blacks and Hispanics because those groups tend to have lower credit scores and thus end up paying more for their auto insurance. They also complain that errors in credit files can result in lower scores and thus higher insurance premiums.

The Federal Trade Commission recently weighed in on the debate, releasing a study that largely sides with the auto insurance industry.

Online Auto Insurance Purchasing up

Auto insurance purchased online increased 58% in 2006 compared to 2005, according to comScore.

ComScore also noted that the total number of auto insurance quotes submitted online increased 15%

According to the company, price-conscious consumers consider the Internet critical to their research. They submitted more than 70 million auto insurance online rate quotes from 2004 to 2006, the report noted.

This year also shows signs of increasing Internet use. During January and February, the number of auto insurance quotes submitted online increased 29 percent, and the number of policies purchased online increased 45 percent compared to the same period in 2006.

Reasons for not purchasing or researching auto insurance online included preference for speaking with an actual person, and not wanting to submit confidential information over the Internet. The report noted more than percent of consumers said that guaranteed site security would increase their likelihood of purchasing online.

Too Many Children Lack Health Insurance

About 11% of U.S. children lack health insurance as documented in a recent report.

The report measured the progress of each state since 2000 in 10 areas -- infant mortality rates, teenage birth and mortality rates, child mortality rates, rates of low-birthweight infants, and child poverty rates. In addition, the report ranked states in each area, as well as overall.

The report found that Minnesota, New Hampshire and Connecticut ranked the highest overall and that Alabama, Louisiana and Mississippi ranked the lowest

According to the report, the national infant mortality rate decreased to 6.8 per 1,000 live births in 2004 from 6.9 per 1,000 in 2000.

The report also found that the national birth rate among teens ages 15 to 19 decreased to 41 per 1,000 in 2004 from 48 per 1,000 in 2000 and that the mortality rate among teens ages 15 to 19 decreased to 66 per 100,000 in 2004 from 67 per 100,000 in 2000.

The Hidden Cost of Bad Credit

It's bad enough that a few credit missteps can force you into higher-interest credit cards and loans. But did you know those dings can raise your auto insurance rates too?

Your FICO score --can have an impact far beyond the account where the trouble started. Even if you don't have any dings, your score might be low enough to affect your auto insurance rates. If you don't use your credit cards, after all, the credit industry won't have a history of good credit to evaluate. You'll end up with a less-than-ideal rating. Insurance companies will see you as a less-than-ideal risk, and price your policies accordingly.

A report issued last week by the Federal Trade Commission describes insurance companies such as MetLife and Allstate looking into using credit history to assess risk as far back as the early 1980s.

The report notes that every single one of the top 15 auto insurance companies uses these scores. Case studies in the report note the particular success of Progressive in using these scores to improve its business.

Children's Health Care

The nation's governors, defying threats of a veto from President Bush, called on Congress Sunday to extend and increase a program to provide health insurance for poor children.

A bipartisan letter drafted and approved at the annual summer meeting of the National Governors Association did not specify how much the current program should be expanded, but Democrats said it provided support for them as they battle the president over the issue.

Bush has made the State Children's Health Insurance Program, known as SCHIP, the center of his campaign against "excessive" domestic spending. His budget allocates only $5 billion in additional money for the program in the next five years -- a sum that supporters of the program say is too small to cover even the 6.6 million children who are currently receiving help. The program helps families who do not qualify for Medicaid but cannot get private insurance on their own.

In recent statements, Bush has objected that some states have provided insurance for children in families making more than three times the poverty level, while other states have used the money to insure adults who have no children.

The Senate bill would restrict insurance to youngsters, but the president has argued that it expands SCHIP in a way that would induce some families to give up private insurance for a government stipend.

Auto Insurance Rates

Auto insurance rates in Ohio aren't falling like North Carolina rates are, but Ohio auto insurance rates are still pretty darn affordable.

A pricing report from insurance.com shows annual auto insurance premiums nationwide have declined 1 percent on average since 2006. Rates decreased in 41 of the 48 surveyed states.

The average national premium in 2007 is $1,896, down from $1,916 in 2006.

Ohio's average premium again ranked as the second-lowest in the nation at $1,342 a year, down 1 percent from $1,358. The only state with lower rates is Wisconsin, whose premiums dropped 1 percent to $1,335.

The states with the highest car insurance premiums are: Louisiana, $2,740; New York, $2,601; and New Jersey, $2,568.

While the decrease in average Ohio premiums is in line with the nationwide trend, North Carolina saw a 16 percent drop from 2006. Rates there are at $1,945, down from $2,261.

The Insurance.com report drew data from the lowest average car insurance rates in the first half of 2007 from about a dozen leading carriers. About 700,000 car insurance consumers participated in the survey.

Consumer Driven Health Insurance

Renewing your health insurance used to be easy.

By now you’ve heard of “consumer-driven” health-care plans. At this time there are two versions showing promise: the Health Reimbursement Arrangement (HRA) and Health Savings Account (HSA). They are designed to lower health insurance costs by engaging employees to take vested interests in their own health-care expenses.

There are significant differences between how these plans work.

Employers are the owner of HRAs. The more successful HRA plans allow a portion of the unspent accounts to roll over from year to year as an incentive to the employees not to spend them. There are no requirements for which type of insurance you use with an HRA. The money that is not spent stays with the employers if employees leave.

Employees are the owners of their HSAs. Both the employers and the employees can fund this account. HSA funds can be used to help offset all medically related expenses, including a tremendous number of things that do not count toward the insurance deductible, such as dental and vision costs and even some over-the-counter medications.

To establish HSAs, employees must be covered exclusively by a High Deductible Health Plan (HDHP). The federal government has placed guidelines for deductibles and out-of-pocket maximums for these plans to be qualified. Since these plans have higher deductibles than most co-pay plans, there is usually a significant premium savings.

The concept is to place the premium savings in the tax-deductible HSA and use these dollars to pay your smaller expenses at the insurance company’s negotiated PPO discount while maintaining the insurance plan for major expenses. There are now many examples of the premium savings being large enough to cover most or all of the HDHP deductible.

HSAs can be opened through insurance companies, banks and credit unions. You can deposit up to $2,850 for an individual or $5,650 for a family into an HSA for 2007. Account balances roll over year to year.

HSAs are the only products that offer triple tax advantages; tax-deductible deposits, tax-deferred interest earned and tax-free withdrawals as long as they are spent on qualified medical expenses. Since the employees own their HSAs, there is a significant difference in how this money is spent. Imagine your employees all having vested interests in not spending their health-care dollars. This is why self-funded plans tend to benefit most.

Competitive auto insurance in MA

The last time Massachusetts tried to introduce competitive rating into personal auto insurance, a Democrat, Michael Dukakis, was governor. The experiment lasted about seven months before being abandoned due to political pressures when rates rose, particularly for urban and young drivers. The Bay State returned to being the sole state where the regulator sets rates for all auto insurers.

Now, 30 years later, Deval Patrick, is in the governor's chair, and it is this Democratic administration that is taking the political risk of changing the system.

Auto Insurers will be able to propose rates and rating criteria, subject to some parameters Burnes said she would unveil later. Insurers would be free to use the rates and criteria unless the department disapproves them.

Insurers will be allowed to file auto insurance rates based on what Burnes termed their "true" costs. In a letter accompanying her decision, she vowed that the department will retain a "strong yet supple regulatory oversight" to ensure that good drivers enjoy the benefits of managed competition, regardless of where they garage their cars.

But insurers will not be handed the keys to price completely on their own. She made it clear she will impose some limits on the rating factors insurers will be permitted to use in pricing.

The way Massachusetts law is written, the commissioner must move to competitive rating unless she finds that the marketplace could not support fair and competitive pricing or that it would impair insurers' financial condition. For the past 30 years, her predecessors as commissioner have all sided with those who cited legal or market obstacles they believed meant competition could not work.

One of the reasons the 1977 experiment failed was because consumers lacked useful information to shop for the best coverage and price, according to findings at the time. Burnes said the Internet should now make it easier for consumers to obtain the information they need.

Employer Sponsored Health Insurance Drops

Job-based health insurance continues to drop despite a strong economy.

The State of Health Insurance in California: Findings from the 2005 California Health Interview Survey found that the reduction in employer-offered insurance coverage from 2001 to 2005 affected 678,000 Californians. The report also found in 2005:

• 80 percent of uninsured, employed Californians don't have access to affordable health insurance through their employer
  
• 55 percent of uninsured, employed Californians worked for employers not offering health insurance;
• 20 percent of uninsured, employed Californians were not eligible for their employers' health benefits;
• 84 percent of uninsured Californians are people with jobs and their families;
• 4.2 million uninsured Californians are full-time employees and their families.

Gov. Arnold Schwarzenegger was at UCLA when the report was released, calling for healthcare reform.

The Senate Health Committee on Wednesday held a hearing on Assembly Bill 8, bipartisan healthcare reform.

Universal Health Insurance Massachusetts

The nation's first law requiring people to maintain health insurance faces its biggest test: Will the remaining 375,000 or so uninsured residents of Massachusetts buy health insurance policies?

Signs of the state's push for people to buy health insurance coverage are everywhere.

The pressure is on because the number of uninsured who sign up is key to the law's success: If large numbers of people flout the law, premiums could rise faster in future years, and the goal of cutting the number of uninsured to near zero would be lost.

Sunday marked a largely symbolic but important deadline — the date when nearly everyone in Massachusetts was required to have health insurance coverage, whether through their jobs, on their own (individual health insurance) or through a new program offering subsidized health coverage to low-income residents.

Requirements that residents buy health insurance are being proposed elsewhere: Republican California Gov. Arnold Schwarzenegger has promoted it as part of his health insurance plan, as has Democratic presidential hopeful John Edwards. Another presidential contender, Sen. Barack Obama, D-Ill., has said parents should be required to carry health insurance for their kids. Republican Mitt Romney, also running for the presidential nomination, helped get Massachusetts' mandate passed in April 2006, when he was the state's governor.

Insurance.com CEO named NEO Entrepreneur of the year

Press Release

Dave Roush, CEO of Insurance.com, the largest online auto insurance agency in the United States, has won Ernst & Young’s 2007 Northeast Ohio Entrepreneur Of The Year award, in the Emerging Business category.

Entrepreneurs include both founders of companies and those who organize, manage and assume the risks of a business or enterprise early in the company’s life or development, and are still active in the leadership of the company.

Entrepreneurs are judged based on each company’s recent financial performance, strategic direction, product or service innovation, as well as an assessment of the company’s leadership – including personal integrity, values and key employee initiatives, and community involvement.

All regional winners will be inducted into the Entrepreneur Of The Year Hall of Fame, and are eligible to participate in the national Entrepreneur Of The Year awards, which take place in Palm Springs, Calif., Nov. 15-18.

SICKO - Half True about US Health Insurance

Michael Moore's latest documentary "SICKO" is partly a diatribe against health insurance companies and drug makers. It recalls outrageous examples of treatments denied.

The film also page homage to government-run systems that offer, in Moore's words, "free medical care for everyone."

In lauding Canada, Great Britain, France and Cuba, it largely avoids mention of the long lines and high taxes that accompany most government-run systems.

In Canada, even the anti-privatization Canadian Health Coalition laments long lines. The tax burden in France is 42 percent and is 27 percent in Britain as opposed to 12 percent in the United States, according to the Organization for Economic Cooperation and Development. In Cuba, equipment and drugs are scarce.

The film tells the truth about many of the U.S. health-care system's problems. Are there really 18,000 deaths each year because people lack health insurance? The Institute of Medicine says so.

Moore says that for all its health-care spending, the United States' life expectancy rates are lower than the other four countries.

The World Health Organization says U.S. males at birth are expected to live to age 75, compared with 77 in Britain and France and 78 in Canada. Females have a life expectancy of 80 here, 81 in Britain, 83 in Canada and 84 in France. Cuba is virtually tied with the U.S.

The film says there are nearly 50 million Americans without health insurance; there were 44.8 million uninsured in the U.S. in 2005, including noncitizens, the Census Bureau says.

The film says health-care costs $7,000 a person each year; the World Health Organization says it costs $6,100.

Moore reaches back more than a decade for stories of health care denied by insurers and HMOs. He cites the 1987 case of a man who was denied health coverage for a heart transplant, and the subsequent congressional testimony in 1996 by a woman who says her job at health insurance company Humana was to deny as many claims as possible.

Online Auto Insurance Company Ratings

Press Release

The Customer Respect Group today released findings from its Second Quarter 2007 Online Customer Respect Study of the Automobile Insurance Industry.

The study evaluated the websites of a representative sample of auto insurance companies. A directly comparable Customer Respect Index (CRI™) is provided for each company.

The average rating for the industry was 5.4 on the 10-point CRI scale. This score represents an improvement since the last report, primarily in the area of privacy policy transparency and responsiveness to emails.

Top companies in the latest study were:

Company		CRI
GEICO		7.2
Progressive Casualty		7.2
Liberty Mutual		6.6
Farmers		6.1
American Family		5.9
Cincinnati		5.9

Humana Suspends Sales of Medicare Advantage Plans

Humana Inc. and other health insurance providers are temporarily suspending marketing of non-group Medicare Advantage plans after finding out that sales agents forged signatures and signed up dead people.

The move comes after complaints were made regarding insurance salesmen being overly agressive when trying to sell the health insurance plans to the elderly, even going as far as to sign up dead people and forge signatures.

The health insurance companies who suspended marketing the government funded plans are working with the U.S. Medicare health insurance program for the elderly and disabled.

Medicare has approximately 43 million beneficiaries, of which about 7.5 million are in Medicare Advantage plans. Enrollment of seniors in Private fee-for-service plans is rising sharply and now accounts for about 20% of the $60 billion Medicare Advantage program.

Texas Auto Insurance Database

Two years ago, lawmakers ordered up a system to bust the millions of Texas residents who drive illegally without auto insurance. They're still waiting, and insured motorists are still paying big bucks to insure themselves against the scofflaws.

Although a contractor has been selected to operate the new auto insurance verification program, officials said the database needs more fine-tuning and now won't be launched until 2008.

The delay stems from concerns about the mountain of data required for the program and worries that people could be ticketed or even arrested because of inaccurate information.

The program, funded with a $1 fee paid by all Texans when renewing their registration each year, is aimed at catching uninsured drivers by allowing police officers, state troopers, vehicle inspection stations and others to instantly verify whether a motorist has the minimum insurance coverage required under state law.

About 20 to 25 percent of Texas drivers are uninsured, according to state officials and the insurance industry.

State Agriculture Commissioner Todd Staples, who authored the legislation when he was a state senator in 2005, expressed disappointment that it has not yet taken effect. But if there are still glitches in the system, he added, it is better to delay the startup.

Numerous lawmakers have said one of the most frequent complaints they hear at town hall meetings is about the large number of uninsured drivers in Texas and the extra cost they represent for the majority of drivers who buy insurance.

The insurance industry estimates that Texas drivers shell out nearly $900 million a year to protect themselves against those without coverage.

Although Texas has had a law requiring drivers to buy insurance for years, enforcement has been difficult even though proof of insurance must be furnished to get a license renewal or safety inspection. The policy must contain liability coverage to pay for injuries and damage caused by the driver.

Millions of motorists skirt the law by using counterfeit proof-of-insurance cards or by obtaining a month's insurance coverage to get an ID card, only to cancel the policy once they get their licenses renewed or their vehicles inspected.

Those plans are expected to get a boost once the state verification program is operating.

The state program is being coordinated by the Insurance Department along with the departments of Public Safety, Transportation and Information Resources, which are exploring how to best use the data to enforce the law. In some states, for example, uninsured drivers receive written notice from the state giving them a certain amount of time to buy coverage to avoid penalties.

HDI Solutions Inc., an Alabama-based firm that specializes in data management, was awarded a contract from the state in November to set up the verification program. The company, which will partner with three other high-tech firms, is being paid $7 million over two years to get the program running. HDI operates a similar program in Alabama.

Florida Auto Insurance - No More No Fault

State Farm, Florida's largest auto insurance carrier with more than 1/5th of the market, plans to cut rates by 16 percent on Oct 1. Other companies are expected to follow suit

The price decrease comes with the elimination of Florida's no-fault auto-insurance system, which is set to expire Oct. 1. That likely will prompt price increases elsewhere. Without mandatory no-fault medical coverage, known as personal injury protection, or PIP, motorists and their passengers will no longer automatically have $10,000 worth of insurance per person to pay their medical bills and lost wages from auto accidents.

Florida Health insurance will step in for those who have it. But rate increases for Florida health coverage are already in the works to account for the change.

Meanwhile, some 2.8 million Floridians don't have health insurance coverage. That's a significant number, given that some 94 percent to 96 percent of all drivers are currently insured with the mandatory PIP coverage.

Ending no-fault may end mandatory insurance requirements in Florida to register a car and increase the number of uninsured driving in the road, according to a department official. The lapse of no-fault also is expected to bring additional auto accident-related pain-and-suffering lawsuits to the courts because such actions are barred under the current no-fault law.

Health Insurance reform for '08

More Americans without health insurance coverage and higher costs have thrust the health care issue into the 2008 U.S. presidential campaign but candidates this time are far less ambitious with their plans than in the past.

The problems confronting the U.S. health care system have only worsened since the early 1990s, when President Bill Clinton and the Democratic-controlled Congress failed to pass a sweeping overhaul.

People who have health insurance have seen double-digit increases each year for much of the past decade. The average annual premium for an employer sponsored health plan for a family of four has risen to nearly $11,500, according to the National Coalition on Health Care. The number of people without health insurance has grown to nearly 45 million

People without health insurance spend roughly $125 billion on health care annually, with about a third of that amount -- $40 billion -- going unpaid, a debt largely covered by the government, according to a 2004 Kaiser Family Foundation study.

Alabama Auto Insurance

In addition to making auto liability insurance mandatory for Alabama drivers (8 years ago), the Alabama Legislature might increase the amount of insurance that motorists must buy.

The proposal — $25,000 in insurance coverage for a single injury or death, $50,000 for multiple injuries or deaths, and $25,000 for property damage — is a compromise between plaintiff lawyers, who wanted motorists to carry twice that much, and insurance companies, which said raising the limits too high would increase the number of drivers who risk driving without coverage.

Only 10 states have limits lower than Alabama.

If the bill passes and is signed by the governor, it would take effect immediately.

Universal Health Care Plan

Presidential candidate and Sen. Barack Obama plans to announce a proposal that would expand health insurance to all U.S. residents by the end of his first term.

In prepared comments obtained by the AP, Obama said that the proposal would require all residents to obtain health insurance. Under the proposal, a National Health Insurance Exchange official would monitor health insurers and the plans that they offer. Residents who cannot afford health insurance would pay for coverage on a sliding scale based on their annual incomes, and health insurers could not deny coverage to residents with pre-existing medical conditions.

The proposal also would include funds to improve technology in the health care industry through measures such as the implementation of an electronic health record system. In addition, the proposal would establish a reinsurance pool for catastrophic conditions and call for a focus on preventive care.

Unitrin enters Kentucky

Unitrin Direct, an auto insurance company that combines affordable auto insurance coverage with a high-level of customer service, has been approved to do business in the state of Kentucky, which could mean significant savings for the state's nearly three million licensed drivers.

Kentucky is the 23rd state where Unitrin will provide auto insurance coverage. Unitrin has a proven history of saving its customers money and an A (excellent) rating by A.M. Best.

According to Unitrin, Drivers who switch to Unitrin Direct from another carrier pay an average of $303 less for their coverage.

Health Insurance above job satisfaction

Many California residents change jobs simply to get better family health insurance coverage.

Five years ago, Todd Warington's wife, Nancy, quit her job to be a full-time mom. But her employer had been providing health insurance coverage.

Because Todd's firm was too small to afford health insurance for its employees, the couple arranged to buy individual health insurance on their own.

The premiums ate up a chunk of their monthly income, and the high-deductible health plan didn't help much with hospital bills.

After a series of medical procedures, including an appendectomy for Nancy Warrington, the couple were stuck with hospital bills totaling more than $10,000.

About seven months ago, Todd found a job with a unionized firm that has employer-paid health insurance, a deductible of only $200 a year and a $1 co-pay for prescriptions.

Many people are changing jobs for this very reason, to save money on quality health insurance....

Choosing health insurance

Trying to understand health insurance can be tough.

With different health benefit packages luring workers to employers, understanding the inner workings of health plans is becoming more and more important.

When picking a health plan, smart consumers must pay attention not only to the small print but also to the details that come with it.

Many websites including healthinsurancesort.com provide resources that help customers better navigate the health insurance marketplace.

North Carolina Auto Insurance

Bills advanced today that call for North Carolina auto insurance companies to disclose that policy holders are paying a surcharge to subsidize auto insurance coverage for NC drivers that are determined to be too risky to insure.

The bills, which are backed by the auto insurers, moved to the full House and Senate for consideration after winning committee approvals Tuesday morning.

North Carolina has the largest number of drivers in the reinsurance pool in the United States. When premiums paid by those drivers are insufficient to cover claims, a surcharge is added to everyone’s bill.

Last year premiums fell $249 million short of claims, triggering a surcharge of about 9.8 percent to auto liability premiums, or about $39 on average.

About 30 percent of the state’s driver’s are in the high-risk pool, versus an average of 1.9 percent in other states.

HSAs can make Health Insurance affordable

According to the Wall Street Journal, health insurance costs rose 36 percent between 2000 and 2004 while wages rose just 12.4 percent. In addition, the number of Americans spending more than 25% of their income on medical costs climbed from 11.6 million in 2000 to 14.3 million in 2004, according to the journal.

One product that is helping to make family health insurance more affordable is the health savings accounts (HSA). Individuals can make contributions to health savings accounts tax-free. The money may then be used tax-free to pay for qualified medical expenses. If you don't use all the money in your HSA in any given year, it can be rolled over to the next year.

GMAC lowers auto insurance rates in Colorado

GMAC Insurance announced the company will reduce its auto insurance rates in Colorado, effective immediately. Drivers in the Centennial state can expect to save an average of 9.7 percent when purchasing GMAC Insurance coverage from 319 Colorado-based independent agencies.

With fuel prices surging, these auto insurance rate decreases will help customers manage their transportation costs, giving them a much-needed break.

AIG to buy 21st Century Auto Insurance

American International Group Inc. (AIG) said it had reached a definitive agreement to buy out the minority shareholders in auto insurer 21st Century Insurance Group which it already controlled, after raising its previous bid.

The agreed offer, of $22 a share in cash, was increased from an initial January bid of $19.75, a move some investors had expected since an independent committee of 21st Century's outside shareholders had to approve the deal.

AIG, the world's largest insurer, which already controls 60.8 percent of 21st Century, said the total purchase price for the shares was about $813 million.

Florida Health Insurance

Purchasing Florida Health Insurance is easy on the Internet. If you are Florida resident that is not covered by an employer sponsored plan and needs to purchase your own health insurance policy? If so, you should be surfing the Internet to find the health insurance plan that best fits yourself or family.

There are a number of health insurance carriers that offer many types of insurance policies to Floridians, just like yourself, including Vista Health Plan, Blue Cross Blue Shield, Assurant to name a few. These health insurance carriers offer multiple Florida health insurance plans, so you might need a bit of help narrowing down the tremendous options that you can select from.

Take a thorough look at the health care needs of you and your family and ask many questions of your health insurance broker, or online web portal before making a purchase decision.

Once you determine what health plan features are best for you, some online health portals provide you with online comparison quotes that let you compare top plans side-by-side, and if you are ready, even submit an application online.

eHealthinsurance wins best Insurance Website award

The Webby Awards, the leading international honor for the Web, named eHealthInsurance, the Best Insurance Website of 2007.

The Webby Awards is the leading international award honoring excellence on the Internet, including Websites, Interactive Advertising, Online Film & Video, and Mobile Websites. The awards are judged by the International Academy of Digital Arts & Sciences, a global organization that includes Harvey Weinstein, Arianna Huffington, Matt Groening, Jamie Oliver, Internet inventor Vinton Cerf, and RealNetworks CEO Rob Glaser.

The 11th Annual Webby Awards received a record 8,000 entries from over 60 countries and all 50 states.

Get a free no-obligation health insurance quote from eHealth and see how easy it is to use.

Heath Insurers use the web

Robert Nilson (25) could be considered a "young invincible," a term used in the insurance industry to describe healthy young people who find health insurance unnecessary.

Nielsen recently took it upon himself to find a health plan after being uninsured for more than a year. And when the time came, he turned to a place that many people would not think to go: the Internet.

The company he stumbled upon, eHealthinsurance, is the largest online provider of health insurance for individuals, families and small businesses. On its Web site, the company offers 125 different plans in Utah, and each has been approved by the state's Department of Insurance.

While there are certainly people who just don't think they need health insurance, more and more people are seeking some kind of safety net to protect them against high medical bills if an emergency strikes.

Individual health insurance offers people the chance to tailor a plan to meet their needs, such as a high-deductible policy with a low monthly premium for someone with fewer medical needs or a slightly richer plan for those who frequently go to the doctor.

eHealth Innovation

Press Release

eHealth, parent company of eHealthInsurance, the nation's leading online source of health insurance for individuals, families and small businesses, announced the next generation of the Electronic Processing Interchange (EPI). EPI III will enable individual consumers in five states to receive an expedited response to their electronically submitted health insurance applications.

Humana Inc. one of the nation's largest health insurance companies, is the first insurer to participate. Humana will use EPI III to speed the processing of applications for its HumanaOne line of individual health insurance plans.

The States included in the initial roll-out are Texas, Kansas, Missouri, North Carolina and South Carolina. Individuals shopping for health insurance online in these states can now receive a response to their health insurance application within one business day by choosing a Humana health plan.

The EPI technology enables individuals to complete the entire health insurance purchasing process online. While the traditional paper-intensive non-EPI application process requires approximately 43 days on average from submission to approval, the EPI application process requires approximately 17 days. EPI has been widely adopted by the more than 160 health insurance carriers that eHealth represents.

Affordable Health Insurance in Illinois

The Senate Public Health and Human Services Committee heard testimony from top healthcare officials from Illinois on the urgent need for Governor Rod R. Blagojevich's historic "Illinois Covered" plan to give every resident access to affordable Illinois health insurance.

The health plan will provide affordable coverage to the 1.4 milion uninsured adults in Illinois and will also help many middle-income families and small businesses that are currently enrolled in health insurance plans save thousands of dollars a year on healthcare costs.

The cost of health insurance coverage is rising dramatically nationwide, leaving more and more people uninsured, and forcing businesses to drop or significantly cut back health coverage. As a result of faster-than-inflation rate increases, the number of uninsured nationally has increased by 6 million since 2000. The cost of providing health services to uninsured people puts significant pressure on families, the healthcare system and the nation's economy:

• Lack of health insurance coverage is the sixth leading cause of death in the U.S.

• Medical-related bankruptcies have jumped 2,200% since 1981.

• A FamiliesUSA study found that the health insurance premiums for families in Illinois increased by $1059 due to costs incurred by the uninsured.

• The HR Policy Association estimates the annual cost of reduced productivity due to uninsured workers in the nation's top 200 largest companies is between $87 billion and $126 billion.

Under Gov. Blagojevich, Illinois has expanded access to healthcare to over 560,000 more people, and became the first state in the nation to provide access to comprehensive health insurance to every uninsured child in the state through "All Kids." As a result, the Kaiser Family Foundation ranked Illinois #1 in the nation for adding working parents to healthcare for 3 years in a row, and credited Illinois for sparking a national movement to provide healthcare to all children.

Colorado Small Business Health Insurance

A Senate committee approved a controversial health insurance bill that would prohibit health insurance companies from using health status and claims history in determining rates for small businesses.

Supporters of the bill call it an important step toward reforming Colorado's health care system, saying it will make health insurance more affordable and accessible for businesses with 50 or fewer employees. Critics argued the bill would undermine efforts to stabilize rates that are encouraging major insurers to re-enter the small-company market.

Under a law passed in 2003, health insurance companies can offer discounts of up to 25 percent for healthy groups but can charge less healthy groups up to 10 percent more.

Small business health insurance

House Bill 1355

• What it does: Prohibits health insurers from using health status and claims history in determining rates for small businesses.

• Supporters say: It prevents insurance companies from penalizing small businesses if employees or their families have been sick.

• Opponents say: Since rating flexibility was implemented, rates have stabilized and more health insurers are doing business in the state. This bill would reverse that.

insurance.com gets larger digs

The largest online auto insurance agency in the country (insurance.com), has signed a lease to occupy the former Nestle building in Solon.

Attractive incentives from both the City of Solon and the State of Ohio to remain and expand in the local area were influential in making the final decision.

Occupying the majority of the building, Insurance.com will use approximately 80,000 square feet of space. Moving into the building will allow the company, which currently occupies a building on Solon Road in Solon Ohio to expand its operations.

Currently, Insurance.com is seeking new insurance agents, along with a variety of other positions, including opportunities in IT.

The hiring drive, and the move to the larger location, is a reaction to increased demand for online comparative auto insurance rates, and a clear indication that consumers are more comfortable with shopping online for financial products such as insurance.

Arizona Auto Insurance Comparison Guide

The Arizona DOI has released its "Automobile Insurance Premium Comparison" to aid consumers with comparison shopping for auto insurance. The publication contains auto insurance quotes from 75 insurers for a dozen different driver scenarios.

On average, auto insurance companies offered a $94 discount for Phoenix residents who took the bus to work, although it noted carpooling or alternate means of transportation could have the same benefit. At least 36 insurers offer discounts to customers who significantly reduce their annual mileage by taking the bus to work every day.

The guide also includes a summary and explanation of the different types of auto insurance coverage available, and provides insurer complaint ratios, representing the total number of written complaints the Department has received for each 1,000 policy exposures an insurer has in force.

Unitrin Auto Insurance

Press Release

Unitrin, Inc. has announced that its subsidiary, Trinity Universal Insurance Company has entered into an agreement to acquire Merastar Insurance Company

Trinity will acquire Merastar Insurance in a cash transaction valued at approximately $45 million.

Merastar Insurance is based in Chattanooga, Tennessee and specializes in the sale of personal automobile and homeowners’ insurance through employer-sponsored voluntary benefit programs.

Unitrin is a $3 billion financial services company focused on creating shareholder value by providing a diverse array of insurance and consumer finance products and services for individuals, families and small businesses.

Among the brands in Unitrin’s Property and Casualty Insurance business are Kemper Auto and Home, Unitrin Specialty and Unitrin Business Insuranceand Unitrin Direct, which sells auto insurance directly to consumers.

State Children's Health Insurance Program

Senate Democratic leaders have unveiled plans to dramatically expand taxpayer-funded health insurance to millions more children through the State Children's Health Insurance Program (SCHIP).

Eighteen governors have blamed the White House for weaknesses with the program in its budget by $10 to $15 billion.

Launched in 1997, SCHIP provides health insurance to more than six million enrollees, primarily children in lower-income families. Originally authorized to spend $40 billion over 10 years, the program is set to expire this year unless Congress approves new funding.

Senate Budget Chairman Kent Conrad this week said his plan would expand coverage to 8.3 million more uninsured children and boost spending by $50 billion over the next five years.

SCHIP funds are also used, often, to insure children who are not in low-income families. In New Jersey, for example, SCHIP covers children whose parents earn up to three-and-a-half times the poverty limit.

This misallocation of funds happens because the federal government gives states more money for those enrolled in SCHIP than for those covered by Medicaid, which is designed to provide health coverage to low-income Americans.

Many employer sponsored health insurance plans allow parents to pay extra to put their kids on their own policies. Some parents often can't afford it. This leaves the employer money on the table and means these kids are more likely to receive taxpayer-subsidized health insurance coverage.

Adults should not be eligible for Schip. Covering adults was never the intent of the program, and states that extend health coverage to adults are diverting funds from the needs of low-income children. Second, Schip should focus on America's poorest families. States need to meet the law's intent.

Finally, it must be easier for states to utilize Schip as a premium-support program. It is relatively inexpensive to add children to family policies, but by making the process so bureaucratic, employer-provided plans are underutilized and families are split into private and public coverage plans.

Lets see if they get it right this time.

Michigan Auto Insurance Stats

In 2004, the average annual out of pocket premiums for auto insurance in Michigan was $980.32 per vehicle, making Michigan the 10th most expensive of all states for auto-insurance costs. (Iowa Auto Insurance was cheapest at $579.95.)

Nationwide, the average annual expenditure for auto insurance was $838 per vehicle in 2004. For 2007 it's expected to to an average of $847.

Of the 100 cities surveyed in 2006, Detroit was the most expensive for average annual auto premiums, at $5,894 per vehicle. (Roanoke, Va., was least expensive at $912.) Auto insurance tends to be more expensive in larger cities because of traffic density, likelihood of theft and vandalism, and fraud.

Michigan is one of only nine states that use no-fault insurance, meaning claimants need not prove that others were at fault before recovering damages for an accident.

• 77 percent of insured drivers were covered by both comprehensive coverage and liability coverage and 72 percent had collision coverage.

• $68 of every $100 in premiums for private-passenger-auto insurance was paid out for claims.

• In 2005, claims covered by collision insurance and involving passenger vehicles amounted to an average of $3,937 per claim.
  

• Between 1996 and 2005, claim frequency fell 17.8 percent for bodily-injury claims and 11.5 percent for property-damage claims. But claim severity rose 16.9 percent and 27.4 percent, respectively.

Health Plan Satisfaction Study

Bill Clarke reports each and every year that, health insurance coverage seem to cost more and more, but it seems more people say they getting less out of their health insurance plans.

The J.D. Power Customer Satisfaction Study showed that health plans in the Western scored lower in overall satisfaction and on all seven factors listed.

The factors measured included in the study included 1) coverage and benefits, 2) choice of doctors, 3) hospitals and pharmacies, 4) information and communication, 5) approval processes, 6) health insurance statements, 7) customer service and claims processing.

Consumers in the West rated their health insurance plans lower than anywhere else in the country on all of these categories.

Blue Cross/Blue Shield plans and those run by privately held companies scored higher than companies owned by shareholders.

The publicly held companies ranking high in Colorado include Kaiser and United Health Care. Anthem, Pacific Care and Cigna ranked about average, and Aetna was ranked at the bottom.

Insurance you don't need

Insurance policies provide us peace of mind in the face of the unknown. But that doesn't mean that you should get suckered into every type of insurance out there. In some cases, you're already winning. Here are the policies you do not need.

Extended warranties. They're usually not worth it, especially if you're buying a small electronics item such as a DVD player.

Rental-car insurance. Before you pay the extra cash to insure a car you're renting, check your own auto insurance policy first. According to the Insurance Information Institute, in most cases, the coverage on your personal car policy will apply to a rental car (if it's for pleasure and not business).

Flight insurance. The chance you will be involved in a plane crash is extremely rare. According to the PBS show Nova, the average American's chance of being killed in a plane crash is 1 in 11 million. Besides, your life insurance policy should already cover you in these cases

Life insurance for kids. Life insurance is to make sure that your dependents are secure in the event of your death.

Credit-card insurance. This coverage will pay your credit-card bill if you can't make your payments due to job loss or disability.

Disease insurance. If you're pitched specific insurance policies that cover cancer, heart disease or other serious illnesses, don't buy them. There's a better way to protect yourself -- it's called health insurance.

Mandated Health Insurance Prices set

Health insurance plans with monthly costs of $122 to more than $800 were approved Thursday by the board overseeing Massachusetts' new law requiring everyone in the state to carry health insurance.

The lowest health plan premiums will be paid by young adults, ages 19 to 26; the highest, by those over 55. The least costly premium for those in the middle is about $175 a month. The state aims to cover all uninsured, with subsidies for those below 300% of the federal poverty level, which is about $30,000 for an individual.

Health Insurance in Massachusetts

Massachusetts Commonwealth Care -has enrolled nearly 45,000 MA residents into its individual health insurance plan as of Feb. 1, 2007.

Commonwealth Care is a subsidized health insurance plan for individuals who meet certain eligibility requirements and whose income is below 300 percent of the Federal Poverty Level.

health insurance coverage via the plan include: doctor office visits, inpatient hospital care, pharmacy benefits, mental health and substance abuse services, and vision. Members in Plan Type 1 also receive dental care. There is no monthly premium for Plan Type 1, and members in Plan Types 2, 3 and 4 have sliding premiums based on income. All members must pay a fee (co-payment) for some benefits.

The Commonwealth Care Health Insurance Plan (Commonwealth Care) is a program run by the Commonwealth Health Insurance Connector Authority (the Connector). This program connects eligible Massachusetts residents with approved health insurance plans and helps them pay for the plans.

The Connector helps Commonwealth Care members join a health plan and find providers that meet their needs. A health plan works together with a certain group of providers, hospitals, and other health care professionals to provide specific health-care services.

Commonwealth Care pays the total cost of health insurance for qualified individuals who have income at or below the federal poverty level and helps pay for the cost of insurance for other qualified individuals.

insurance.com acquires 4insurance.com

Press Release

Online insurance agency Insurance.com has purchased personal lines insurance shopper 4insurance.com.

As a result of the acquisition, 4insurance.com will offer car insurance quotes from over a dozen auto insurance companies.

Launched in 1996 by iHomeowners, 4insurance.com offers consumers the ability to shop for auto, life, home and health insurance plans.

At 4insurance.com, consumers will answer one set of questions in order to get multiple insurance rate quotes from top companies, and can then select and purchase a policy online or over the phone with in-house licensed agents.

Florida Auto Insurance

The personal injury protection clause in Florida automobile insurance is abused. Still, it's worth keeping, but reform is needed.

PIP, as the provision in policies is commonly known, provides up to $10,000 to cover medical costs, lost wages and death benefits for individuals injured in automotive accidents.

Auto insurance companies say letting PIP expire would allow them to sharply reduce premiums in Florida. However, PIP's demise would shift the burden of dealing with auto accident injuries onto hospital emergency rooms. And it's possible that health insurance companies, knowing they might end up having to cover injuries from car accidents, could start raising rates as well.

Tallahassee has talked a good game in terms of PIP reforms in the past, only to approve meek changes. The Legislature has to save PIP this year, but it must rescue it in a way that makes PIP worth saving.

Bush Not Giving Up on Health Insurance Tax Breaks

President George W. Bush is not giving up on offering tax breaks for those who buy health insurance.

Bush focused on health insurance after a recent government report projected that health care spending would double by the year 2016.

The president said that current policy discriminates against those who buy individual health insurance. They don't get the same tax advantages as those who buy health insurance through their employers.

Recently, a group of 10 senators -- five Republicans and five Democrats -- wrote the president and told him they agreed that current tax rules for health insurance disproportionately favor the rich while promoting inefficiency.

The president said he also wants to support governors who come up with innovative ways to help their residents get affordable health insurance coverage.

Under his proposal, states that put in place a basic health plan for all of their residents would get access to what he calls "affordable choice grants." The grant money would come from programs that now reimburse providers when they care for the indigent.

California Auto Insurance Suit

A California judge threw out a lawsuit that challenged rules requiring California auto insurance companies to base their rates primarily on drivers' records instead of where they live.

Superior Court Judge Loren McMaster granted a summary judgment, ruling that regulations were consistent with a rate-regulation initiative adopted by California voters in 1988.

Three insurance groups - the American Insurance Association, the Association of California Insurance Companies and the Personal Insurance Federation of California - sued, contending that a driver's residence is essential in determining risks and auto insurance costs.

Ken Gibson, a vice president of the American Insurance Association, predicted the new regulations would result in higher rates for some California residents

But consumer groups argued that the old rules could have penalized good drivers.

Health Insurance Agency Proposal

A new Washington state agency would control the individual health insurance market as well as small group health businesses under a measure proposed by a key Democratic lawmaker in the Washington state Legislature.

Eighteen House Democrats have signed on as co-sponsors, but the proposal has drawn stiff criticism from business interests and ranking Republicans.

Compare Washington Health Plans side-by-side and enroll online.

Auto Insurance Rates down in Ohio and Michigan

Automobile insurance rates should decrease and homeowners' insurance rates should level off this year in Ohio and Michigan, according to industry experts.

Analysts have examined some rate changes this year but have not compiled firm figures. Premiums dropped for auto insurance coverage and remained flat for homeowners in Ohio, with some carriers dropping their policies for dwellings. Experts cited competition, safer cars, fewer weather disasters, and crackdowns on fraud.

Several Toledo-area insurance agents said insurance rate trends are mirrored locally, but credit scores and other variables make it difficult to know for sure.

The 10 largest auto insurance carriers, by state market share, had rate decreases last year averaging 1.2 percent. At least one cut its rates by 13.3 percent. The statewide rates for carriers dropped 1.6 percent the year before, after years of increases.

The top 10 carriers of homeowner insurance in the state also had decreases, averaging 0.8 percent in 2006, for the first time in years. One cut rates by 4 percent.

Ohio auto insurance rates are 14th lowest among the states in 2004 (the latest data available), with annual premiums averaging $680. Nationally, the average is $838 nationally.

The state's homeowners had the seventh best rates in the country, averaging $523 a year, compared to $729 nationally.