Seniors are Making the Right Decision for Medigap

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With several choices available these days for Medicare Supplement insurance, many seniors are making the smart choice and enrolling in a Medicare Plan F supplement. Offering 100 percent coverage of the expenses not paid by Medicare Part A and Part B, a plan F can give you the peace of mind in knowing your bills are paid and you or your family will be protected should a major illness occur.

Medicare Supplement F typically costs between $110 and $150 for someone age 65, depending on the state you reside in. Rates are determined by age, tobacco use, gender, and zip code in most cases  and can either be rated as community, issue age, or attained age.

Community pricing brings everyone into the group for the plan at the same rate regardless of age. Issue age takes consideration of the rate at the very age the person is at the time of enrollment, and does not have future rate increases based on growing older. Attained age premiums are set at the age someone is at the time of enrollment, and also go up each year as you get older. Regardless of these ratings, all of the plans have rate increases every year. The increases are determined by the amount of claims being paid out of the group versus the amount of new premiums coming in. That being said, you should shop rates each year you have your supplement to make sure you’re not paying too much as every company has the exact same policy coverage.

Medicare Plan F does not require that you visit a doctor in any network, because there isn’t a network. Because Medigap plans are part of the Medicare system, a federal program, you may take your Plan F insurance card to any doctor in the United States that accepts regular Medicare.  Also, regarding specialists, you do not even need a referral when needing to visit one. You just need to be sure that they accept Part B Medicare and they will accept any Medicare Supplement company’s plan F.

While there are other plans available when it comes to Medigap plans, most people just decide to choose Plan F due to it’s relatively low premium and outstanding coverage that it offers. For people on Medicare who travel within the United States quite a bit, this is the very best option to be sure you’re protected.  Also, anyone traveling out of the country can get emergency travel insurance if they have a plan F as it’s included in the coverage. After a $250 deductible a Plan F pays 80 percent of all your emergency medical bills.

Knowing that you have 100 percent coverage and there are no surprises when it comes to your medical bills is a fantastic position to be in. Getting the right coverage to supplement your Medicare will protect your finances and well being for years to come.

Weight Control and Healthy Habits Can Save Seniors A Fortune In Health Care Costs

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Growing older does not automatically lead to poor health. Today, more and more seniors are enjoying lively, active lifestyles. In addition to the desire to remain healthy for as long as possible, growing healthcare costs add more reason for seniors to learn more about healthy living and improve their daily habits. Exercise and a balanced diet are key components for health and well being in seniors.

food pyramidOne basic way seniors can improve their health is by eating a balanced diet that allows them to receive all the vitamins and minerals healthy bodies need on a daily basis. Instead of drinking fruit juices, seniors should focus on consuming whole fruits for added fiber and less added sugar. One and a half to two servings each day is an ideal starting point. Fruits selection should be diverse, including common fruit like apples and bananas as well as berries, melon, and citrus varieties. It is helpful to attempt to incorporate fruits of as many different colors as possible because each color corresponds to a different source of vitamins and minerals. Similar to fruit, seniors should also aim to incorporate two to two and a half servings of vegetables each day. Vegetable colors should also be varied, including dark leafy greens, brightly colored carrots, squash, etc.

Calcium is essential to maintaining bone health and avoiding osteoporosis and fractures. Seniors should consume 1,200 milligrams of calcium each day through milk, other dairy products, or almonds, tofu, broccoli, and kale. Calcium supplements may also be taken if getting enough calcium through nutrition is difficult.

Whole grains are a healthy source of carbohydrates and should be chosen over processed flour. Seniors should choose whole grain pastas, cereals, and breads and incorporate six to seven servings each day.

Obtaining protein from various sources is also recommended. As a guideline, seniors may multiply their body weight by 0.5 and use the number to determine how may grams of protein they should consume each day. Lean meats, beans, legumes, fish, nuts, eggs, cheese, and seeds are an excellent source of protein.

Exercise is also highly important in maintaining health in seniors. Implementing a fitness plan can raise energy levels, boost emotional health, reverse symptoms of aging, and help manage pain and illness. Remaining physically active also improves memory and brain function and helps tremendously in maintaining healthy weight and strong muscles. Seniors who have less active lifestyles and are unsure of where to begin exercising should start slow. Simply walking every day, gradually increasing the duration and intensity of the walk can be a great starting place. Swimming is also a beneficial, low impact activity that can be enjoyed by people with issues in their joints. Cycling, jogging, playing recreational sports, exercising in a gym, and weight training are also exercises seniors may enjoy. The key to remaining active is to find an activity that is enjoyable, and incorporating daily exercise will be much easier. Before beginning any fitness plan, it is important to consult with a physician to gain medical clearance.

It is also important that seniors drink enough water to stay well hydrated each day in combination with their active lifestyle and healthy diet. At least one and a half liters of water each day is a good starting point. Seniors may be less likely to drink enough water and may find the taste to be less palatable than fruit juice or other liquids. However, consuming water keeps the brain hydrated and reduces the amount of excess calories a senior may consume when drinking sodas, fruit juices, or mistaking the feeling of dehydration for hunger.

Maintaining a healthy diet and active lifestyle can help seniors avoid the many health issues that arrive as a result of poor weight management. A diets that is high in sugar, sodium, and fat combined with a lifestyle that is low in exercise can lead to conditions like diabetes, heart disease, high cholesterol, and high blood pressure. Avoiding major health problems also means avoiding excessive medical and prescription expenses. While Medicare Parts A and B generally cover medically necessary services, seniors may wish to purchase a Medicare Supplement to cover coinsurance, deductibles, and medical expenses that may arise during travel as these fees are typically not covered by standard Medicare. Medicare Supplement coverage can be purchased through individual insurance companies, and seniors should compare plans to find the one that best fits their needs.

A healthy lifestyle not only improves quality of life, but it may also be the key to avoiding costly health expenses.

 

Helping Seniors Choose the Best Type of Medicare Plan

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One thing Seniors in this country need to seriously consider when entering Medicare is the difference between Medicare Supplements and Medicare Advantage. Let’s face it. Every senior is overwhelmed with options. Just in one state there can be over 30 different options for Medicare Advantage plans this year, 10 to 20 different Part D plans, and dozens of insurance companies that offer insurance supplements, and then they have Plan A through N. So that’s dozens and dozens and dozens of options. Everybody wants it streamlined. Everybody wants a shortcut.

There is no best plan. Oh, how I wish there were. There are good plans that fit different people differently, which really is a good thing. Medicare Advantage and Medicare Supplement are both great plans. My mother is on one plan, and my father on the other plan. One fit him much better. She, based on her health, how shes doctors, how much she travels, another one fit her better. So let’s discuss the differences between Medicare Advantage and Medicare Supplement.

Medicare Supplement

I like to call this a Cadillac plan. It’s a Cadillac because it is extremely flexible. You can go to any doctor that accepts Medicare, any hospital in the nation. You’re not restrained by any type of network. You’re going to pay a flat fee monthly, so it’s great if you want to know your budget to a T. You’ll know exactly how much you have to pay a month.

The premiums are relatively inexpensive, however that’s going to vary based on where you live in the country, your age, whether you smoke, male or female. It’s a good rule of thumb, let’s say, a 70-year-old is going to be around $120-130 a month. Then you’ll also have on top of that drug coverage, which might run another $30/month on average. So, a flat $150 that you know you’ll spend every month, each and every month all year, whether you use it or not. That’s they key. And depending on which plan you choose, you just might have one small deductible or possibly some copays along with it. When it comes to Medigap Plans, a Medicare Supplement Plan F covers 100% of the gaps in Medicare for one monthly premium. There are no surprise bills, simply show your cards and go home and not get any bills.

Medicare Advantage plans

Medicare Advantage plans, like I said there are many different plans based on where you live in the country, but  the most popular plans have zero premium. You would have zero monthly premium, and many of these plans have the drugs rolled in so it’s your Medicare Advantage and your Part D rolled together, both for zero dollars a month. As we discussed, with a Medicare Supplement you had complete knowledge of what your budget will be every month, because you know you’re going to pay $150 whether you use it or not. That’s obviously not the case with an Advantage plan, because you have no idea really how much you have to spend a month. If you don’t use it all, clearly you’re going to spend zero dollars in premium. But if you use it a lot, you’re going to pay as you go.

MedicareI love this scenario of envisioning these two products. Medicare Advantage is an a la carte restaurant. A la carte. When you go to an a la carte restaurant, one of my favorites, you pay as you go. You get the corn, you get potatoes, you pay for the turkey, you want pecan pie, you want Jell-o. My kids bankrupt me because they want to put every single thing on their tray. I’m pretty cheap to feed there, ’cause I only want the pecan pie, I want some milk, and I like mashed potatoes. You pay for what you use. When you go with a Medicare Advantage Plan, you’re going to pay what you use.

So, for example let say you see a regular family doctor, which might run about $10/visit. To see a specialist, it might be $20-30. If you visit the emergency room that might be around $70-100. What really gets expensive, if you are in the hospital overnight, and that could be anywhere from, let’s say $100-250 per night. Many different limitations are based on the policy, but you get the point. You pay as you go. If you don’t use it at all, you have zero costs that month, versus a Medicare Supplement, it’s going to be a flat fee.

Every month, I’m going to pay that flat monthly premium for a year, and it’s going to be the same whether I use it or not. So if I have open heart surgery, I need a transplant, I need my leg amputated and a prosthetic, therapy, still going to cost me $120/month. The downside of that is if you’re like my dad and you never go to the doctor, you’re paying $120/month, each and every month. So you look at somebody that goes to the doctor twice a year, how much were they actually paying for that doctor visit?  When they actually go to the doctor, they’re not digging in their pocket for a co-pay. They don’t pay anything at the doctor so they love that. But what’s their actual cost, right?

So their actual visit was costing them $500, if they went twice. They might be a lot happier with a Medicare Advantage plan where, if they only went to the doctor twice and it was a regular family doctor, they went twice last year, their total cost out-of-pocket would be $20. Now, they would have had to dig into their pockets for their co-pay, and some people just don’t like that. They don’t like having to get their checkbook out or get some cash out every time. It’s just not for them. They’ll pay more for the flexibility of having it all paid for and having a set budget.

And then also, the big difference is of course your access to providers. With the Medicare Supplement, you can go to any doctor and any hospital. Medicare so it’s completely flexible across the nation. You can put it in your pocket and go out traveling, you know you’re not going to have trouble. With Medicare Advantage, depending on the type of product that you bought, and there are many different types of products that fall under the Medicare Advantage umbrella. Private Fee for service, PPO, HMO, cost plans, there are many different kinds of plans. Some have a much wider range of doctors that you are eligible to see, some are a lot more restrictive like the HMO model. So, depending on which type of plan you have, you might not want to travel. It might be too much of a hassle. Or you might not want to take the risk of spending six months a year in Florida at your second house. This might be a better fit for you.

Budget is always a big consideration, right?

This is $120/month. This is $0/month. Which one’s cheaper? What’s the bottom line? Like I said, everybody wants a shortcut. I don’t know what’s the bottom line. I don’t know what your actual costs will be. If you can tell me with certainty how much medical care you’re going to need this year, you’re going to go to the ER, you’re going to break your write, you’ll have bronchitis in the winter, if you can tell me with certainty, I can tell you exactly how much it will cost you here and which plan will be better, but you can’t. So I can’t tell you which one’s actually going to save you the most money.

You can look at your past history and see, based on the last five years, which one would have come out more economical for you. But insurance is all about risk and what you feel comfortable with. So the total risk right here is at $120 times 12. Your total risk on Medicare Advantage of course is going to be the floor. Most plans have a ceiling and we’ll see every plan have a ceiling soon, I think legislation’s coming, where you can’t pay more than a certain amount. Typically, $3000-5000. Once you hit that amount, you wouldn’t pay any more in a year. So, this plan is a $4000, and we know every year, this plan’s a $1400 plan, we can see a double risk. But you also take the risk that you would save more money on this side.

So, I go back to what I started with: there is no best plan. But it is typically very wise to at least get some coverage over Part A and Part B Medicare so you have some help should you incur medical expenses during the year.

Setting and Achieving Goals – The Art of Simplicity

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“Set peace of mind as your highest goal, and organize your life around it.” ~Brian Tracy

For those truly wishing to achieve goals and have a successful life, there’s not shortage of information in books and on the web of exactly what steps you should take to begin. Aside from the technical, and practical “old school” methods that have stood the test of time in personal achievement, now the act of goal-setting has a new, powerful friend to accompany it. Some might call it A Secret, others say it’s the law of attraction, creative visualization, positive thinking, or just plain focus.

While none of these are inherently harmful (quite the contrary, when used properly they are extremely useful and benficial), thanks to brilliant marketing and media pushes these new-age style techniques are now completely overshadowing the true fundamentals of goal setting and success as we work towards building our successful lives.

Perhaps as well, the true fundamentals of goal setting themselves are overshadowing what it really takes for us to be successful. Am I stating that fundamentals should be tossed aside, after you toss aside my beloved “secret” of wishing that new BMW into my life? Well, yes and no.

The Foundation of Goals

successTypical outlines of goal setting would have you performing the steps written below, including writing them down. We have a 70% greater change of retaining information that we write down, so doing these in your head will merely cause mental masturbation and the novelty will wear off as soon as the tiniest bit of stress enters your life that day.

Step 1 – Define your desired outcome in great detail

This is the “What” of your project. Defining what it is that you wish to have. The master key in this step is to be incredibly detailed and clear in what it is you want. “I want more money”, I often hear in my seminars. I then walk up to the participant, hand them a quarter, and reply “You just met your goal! Thanks for coming everyone, see how easy that is?”

If this gentleman had said “I wish to increase my income to $150,000 next year”, then he gets a pass to go to Step 2. Or the woman who wants to lose 25 pounds of fat by December 25th 2013. She doesn’t just want to lose weight, she has a clear number and target in her head of where she wants to be. You need this target as well. On to Step 2 we go…

Step 2 – If you have a Big Enough “Why”……

If you have faulty reason for obtaining your “What”, meaning a weak “Why”, then count on failure to be knocking at your door. Just hope that it comes quick, so you can realize you did it incorrectly, and you can then move on to starting the process over.

Our “Why” is the most important of the steps. It is our main motivator of achievement. As humans we are motivated to avoid pain, and gain pleasure. We’re far more motivated to avoid pain than we are to gain pleasure, and your “Why” should reflect this.

“I want to have a BMW 6 series by May of 2014.” Nice detail on step 1. Let’s hear your “Why”.
“Chicks will dig me.” <Sigh>

A motivator or “Why” such as “Because I’ve been struggling with my finances all my life, I deserve to drive a nice car and be successful and in total control of my life, and I won’t go another year living this way!” Ah, nice and painful. Big difference huh?

Step 3 – How?

This step is where the rubber meets the road and the process begins. You now know exactly what it is you want, why you must obtain it, and your brain should be literally spewing out ways to start working immediately towards your goal. All of this information should be written down, of course.

Let’s see this in practice.

Last weekend my Father asked me to help him and my Mother organize their finances, and find ways to cut costs. My goal or desired outcome (Step 1) was to find every possible way for them to save money in their budget.

My “Why” included some pain. I never want to see my parents struggle, especially as they get older. I want them to live a stress free life, and having peace of mind is what I want for them most.

My “How” was easy at this point. I went after their expenses like a rabid dog. From downgrading their cable tv, to switching bulbs in their lamps, to switching their Medigap Plan F policies to a different carrier. Whatever it took to save money for them. I switched them to policies that had a higher deductible, yet still paid the coinsurance as they’re both still very healthy. Now their premiums are $45 per month lower, but they still have outstanding coverage for their Medicare. Simple examination of everyday expenses like this can result in significant savings, and because of these goal setting steps I had all the motivation in the world to reach my desired outcome. This is a small example of how we’re using some, or hopefully all of these steps successfully in our everyday lives.

So What is This Magic Success Formula?

If the above steps work wonderfully for us to achieve our goals, why are we so often still left unfulfilled and wanting more? Perhaps the true “secret” of life is not in what we obtain, but what we take away. Stripping away unnecessary material items and the desires for them keeps us on the path to peace of mind. In all reality deep down everyone, regardless of what we think we want, all just want the same thing.

We want to be happy.

“It’s not the daily increase but daily decrease. Hack away at the unessential.” – Bruce Lee

I’ll leave you with a video that was presented on TED.com from a seasoned veteran who knows exactly what his desired outcome is. He’s 13 years old and has more figured out about life than many adults.