Health News

(ARA) - If you've been putting off shopping for life insurance because you're a smoker, or think you are paying exorbitant premiums because of your habit, it's time to start shopping around. Many people are overpaying for their life insurance because they don't realize that there are deals to be had out there.

Whether you smoke two packs of cigarettes a day, or have an occasional cigar or pipe, most insurance companies are going to offer you SMOKER rates - typically double, often, as much as triple, the price they offer non-tobacco users! So what's the secret to finding a company that will offer tobacco users more favorable rates - sometimes, even non-smoker rates?

"There's no secret. You just have to shop around," says Byron Udell, founder and CEO of AccuQuote, www.accuquote.com, a Web-based company that offers free online insurance quotes. "There is a lot of money to be saved by selecting the right company."

For example at AccuQuote, a 40-year-old male who is a smoker qualifying for preferred rates on a policy with a face value of $500,000 would be quoted $2,320 for a 30-year level term policy. If that same person qualified for non-smoker rates he would only pay $820 for the same policy. That's a savings of $1,500 per year and $45,000 over the length of the policy!

"Here at AccuQuote, we make it our business to know the different rules of multiple insurance companies. Only with this broad pulse on the insurance market is it possible to know which company might offer the most favorable rates to a given person, based on their individual profile," says Udell.

For instance, at some companies you must test negative for nicotine in order to qualify for non-smoker rates. While at others, testing positive for nicotine is acceptable. So if you're an occasional cigar smoker or tobacco chewer, you could end up paying a lot more than you have to. And if you're an ex-smoker don't think you'll automatically qualify for non-smoker rates. Life insurance companies usually require that you be smoke-free for at least one year; however some require longer periods.

Want to find out what kinds of rates you can qualify for? Log on to www.accuquote.com and fill out their simple online form. You'll get back quotes from several different companies in a matter of seconds. If you decide to purchase a policy, an AccuQuote agent will act as your liason with the company you select.

Copyright © 2006, ARA Content

(ARA) - Anyone who has shopped for or is currently paying for health insurance knows that consumers are paying more than ever before for their policies. But the numbers are staggering. According to Families USA, workers' costs for health insurance rose 36 percent between 2000 and 2004 while the average workers' increase in earnings rose just 12.4 percent. The number of Americans spending more than a quarter of their income on medical costs climbed from 11.6 million in 2000 to 14.3 million in 2004, according to the group.

No wonder almost 50 percent of Americans surveyed recently said they are very worried about having to pay more for their health care or health insurance, while 42 percent report they are very worried about not being able to afford health care services.

"Politicians and pundits can debate the reasons for the high cost of health insurance in the United States, but the bottom line for most of us is simply whether we can afford the health insurance that we need to protect our families in case of injury or illness," says Chini Krishnan, CEO of Vimo, an online company that helps consumers find affordable health insurance.

The sad fact is that even individuals who have access to health insurance through their employer often can't afford their share of the premium cost. According to the National Coalition on Health Care, the annual premium for an employer health plan covering a family of four averaged nearly $11,000 in 2005 while the annual premium for single coverage averaged over $4,000. Employers passed much of that cost increase on to employees.

The good news is that it is possible to find affordable health insurance. And thanks to the Internet, finding the best deal for you and your family takes just a few minutes. Sites like vimo.com allow individuals and small companies to comparison shop with the click of a mouse. Just visit the site and provide some basic information, and the site provides you with instant quotes from top rated companies and connects you with local insurance brokers who offer policies that fit your needs at the price you can afford.

One product that is helping to make health insurance more affordable is health savings accounts (HSA). Employers and 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.

Health savings accounts are just one of the options available through Vimo. "Insurance companies are introducing new products all the time. Even if people have had trouble finding affordable health insurance in the past, there may be a new option they haven't heard about yet," says Vimo vice president Kurt Stammberger.

To see if you can save money on your health insurance, visit www.vimo.com.

Copyright © 2006, ARA Content

Since the mid-1990s health care cost inflation has been rising at an astronomical rate. Why?

- The number of Americans who are underinsured or worse don't have any type of insurance coverage currently stands at a staggering 42 million people.

- The U.S. population is aging rapidly. However, the life expectancy of seniors is also extending. Senior citizens will place a significant strain on the health care system in coming years. America’s 78 million Baby Boomers start in turning 65 in 2011.

- The future obligations of Medicare and Medicaid are significant enough to cause huge problems for the federal budget for decades to come. Reform of the current systems is crucial. The current number of seniors that will need to be covered by Medicare is projected to be 42.5 million through 2006. This number is projected to rise to whopping 70.2 million by 2025. The recent addition of Medicare prescription coverage will also add to this government program’s financial challenges. Costs for Medicaid, which is administered at the state level, have grown so rapidly that they are decimating state budgets and causing cuts in education and other vital services.

- The pharmaceuticals industry faces continued financial issues. Patients’ expenditures for pharmaceuticals are multiplying. This is creating a backlash amongst health consumers and payers. Patents for money-spinning, blockbuster drugs are expiring at an ever increasing rate which is intensifying competition amongst makers of generic drugs. Many drug makers are also being hounded by massive lawsuits. At the same time, the drug industry remains under intense public scrutiny and is facing continued calls for increased government legislation and regulation.

- We are now entering what will long be remembered as the beginning of the Biotech Era. Breakthroughs in diagnostics and drug therapies are occurring at a rapid pace, creating financial and ethical challenges along with opportunities. Personalized medicine is beginning to emerge, but it remains to be seen who will be the early beneficiaries and who will pay the costs.

- Due to rising health care costs, employers are straining under the financial burden of health care coverage expenses for current employees and retirees. The percentage of health costs paid by employees continues to rise.

- Medical Savings Accounts, used by only a small number of Americans (about 3.5 million or less than 1% in late 2006), are getting a renewed push in an effort to put more choice and responsibility in the hands of the patient.

- Physicians, other care providers, pharmaceutical manufacturers and insurers face daunting pressure from litigation and potential claims regarding malpractice and denial of service. Malpractice insurance costs are out of control. Some lawsuit reform legislation has begun, but much more reform is needed.

- Few Americans focus on leading healthy lifestyles that would prevent disease and cut both the amount and the cost of medical care. A 2005 study led by researchers at Michigan State University estimated that 76% of Americans do not smoke, but only 40.1% maintain a healthy weight and only 22.2% exercise for at least 30 minutes, five times per week. Likewise, only 23.3% were found to eat the recommended amount of daily fruit and vegetable servings.

- The three biggest causes of death in the U.S. are heart disease, cancer and stroke. The risk factor of dying from these three diseases can be dramatically reduced through simple diet and lifestyle change. Death rates from cancer and heart disease are about 200 per 100,000 population per year, and stroke deaths are about 50 per 100,000. A staggering 25% of America’s annual health expenditures go for treatment of these three killers.

- While only a relatively modest amount of money is spent on preventative medicine and health education, about 70% of health care funds are spent on chronic disease.