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If you’re looking for a cost-effective way to help provide financial security for your loved ones after you pass on, Term Life insurance might well be your best bet. Here’s how it works: You take out a policy on your life for a fixed “term” or number of years. The other major type of Life coverage, Permanent or Whole Life, remains in force as long as the policyholder lives.

The amount of coverage or death benefit depends on your personal situation (age, marital status, and number of dependents) and financial circumstances (income, short-term debt, home mortgage, etc.). You should choose an amount that will replace your lost income and pay down debt for your survivors.

Before writing a Term Life policy, the insurance company will probably require you to pass a medical examination. The test results will affect your policy premium — such factors as smoking, obesity, and hypertension lead to higher rates. As a rule of thumb, the younger you are, the lower your annual rate.

If you have a health condition that keeps you from buying regular Term Life, you might prefer to buy “guaranteed issue” or “quick issue” coverage, which does not require a physical. However, in this case, the insurance company will protect itself against the increased risk of covering you by charging a higher premium and perhaps setting a yearly fee.

Term Life premiums either go up every year or can be set at a fixed rate (“level premium”).

The professionals at our agency will be happy to provide a review of your situation and recommend Term Life coverage tailored to your needs.

When choosing a Health insurance program, it’s all too easy to drown in an alphabet soup of acronyms — everything from ACOs (Accountable Care Organizations) to WHRN (Whole Health Resources Networks). However, the three most common types of managed health care plans are Health Maintenance Organizations (HMOs), Preferred Provider Plans (PPOs), and POS (Point of Service plans). Here’s an overview of how each type works, together with their advantages and disadvantages.

Health Maintenance Organizations. An HMO offers a “provider network” of health services professionals (physicians, nurses, therapists, etc.) and facilities (hospitals, clinics, medical offices, and so forth). A primary care physician (PCP) will act as a “gatekeeper” who will evaluate your health and recommend referrals to specialists, as needed.

As a rule, premiums and co-pays are relatively low, saving you money. On the downside, HMOs offer limited, if any, flexibility for services outside the plan. If your current physician isn’t in the HMO, you’ll have to pay for his or her services, or select another PCP who does participate in the plan. Also, if you use a provider outside the network, you’ll have to pay out of pocket.

Preferred Provider Organizations. Like HMOs, PPOs operate through a network of health care providers and institutions, and set relatively low co-payments for medical treatment. However, unlike HMOs, they’ll pick up the tab for many (although not all) medical services outside the network. What’s more, you can see specialists who participate in the network without going through your primary care physician.

Of course, you’ll pay a relatively high premium for enjoying this added flexibility. Also, if you get treatment outside the PPO, you’ll have to pick up a deductible or the difference between the charges of the plan provider and those of the out-of -network specialist.

Point of Service Plans. This option combines elements of HMOs and PPOs. A POS plan focuses on a primary care physician participating in the plan who monitors your health care at the “point of service” and recommend referrals either inside or outside the network. In the former case, the PPO will file a claim with your Health insurance company, which will pick up the tab for a high percentage of the charges; in the latter, you’ll have to do the paperwork yourself and your reimbursement will be far lower. If you see a specialist without going through your PCP, the insurer will pay even less.

As a rule of thumb, a POS offer more flexibility than an HMO and less than a PPO.

The Bottom Line. HMO, PPO, or POS — which will provide the best value for your health-care dollar? That depends on your needs and life situation. Our professionals stand ready to offer you their expert advice. Just give us a call.

It’s a fact: Americans are living longer and healthier lives than ever. However, good health doesn’t eliminate the need for health care. Too expensive you say? There are many ways to save dollars on Health Care insurance. For example:

• Take advantage of free educational programs offered by local hospitals, agencies, and educators. The more you know about health-related issues, the easier it is to make decisions.
• Establish a solid relationship with your primary care physician. This should improve the quality of your care because the doctor will recognize your unique medical needs. Although going to an emergency clinic for routine care might seem easier, you’ll pay more for the convenience.
• Select a higher deductible to reduce your policy premiums. Review the medical costs you’ve paid during the past couple of years, including insurance premiums, deductibles and co-pays, and other expenses not covered by insurance. Many people choose a lower deductible without examining their medical history — assuming that because their insurance will pay at the time of a claim, they’ll save money. However, this doesn’t hold true in all cases. In fact, you might benefit by selecting a higher deductible and paying smaller claims out of pocket.
• Make healthy lifestyle choices. Such basic decisions such as not smoking and exercising regularly will save you money, as well as making you healthier. Regular exercise can reduce high blood pressure.

The better your health, the less you’ll pay for Health insurance.