Are you using cessation products to quit smoking?  There are ways for you to get great non-smoker prices on life insurance.  There are endless benefits to quitting a smoking habit.  It helps to increase both your lifespan and your wallet.  To quit smoking you need strong will power and sometimes the help of products whether those are gum, lozenges, patches, or e-cigarettes.  These products all contain nicotine and are used to wean your body off cigarettes while supplying you with the nicotine but sparing you from the other chemicals found in tobacco.

Because there is nicotine in these products, some life insurance companies will still classify you as a smoker even if you don’t actually smoke anything.  The use of these products will cause cotinine to show up in your urine test which would be enough for the carrier to classify you in one of the tobacco risk classes and issue you smoker rates.

Have no fear cessation product users!  There are insurance companies that will consider you for the non-tobacco risk classes and therefore be given non-smoker pricing.  To be offered non-smoker rates, you have to be cigarette-free for at least 12 months.  Let’s say you have been using a cessation gum to quit smoking, but you have only been cigarette-free for 5 months.  Even though you currently do not smoke, you will still get the smoker-rate because it has not yet been at least 12 months.  However, if you have been cigarette free for at least a year but still, for example, chew Nicorette Gum daily there are insurance carriers who will offer you non-smoker pricing.

Insurance carriers rate certain tobacco/nicotine uses differently.  While one company may give non-smoker rates to gum and e-cigarettes, another company may only give non-smoker rates to gum.  We asked 20 life insurance carriers if they would consider giving a non-tobacco risk class to an applicant who uses nicotine gum and four carriers said they would consider it.  Of these carriers, three said they would consider giving a non-tobacco risk class to e-cigarette users.

These examples explain why it is very beneficial for you to work with an independent life insurance agency, like Quotacy, who has contracts with multiple carriers.  It also shows how important it is for you to be very detailed about your tobacco and nicotine product use on your life insurance application.  If we have all the correct information we are able to go to the appropriate life insurance carrier to ensure you get the best policy for your individual situation.

You can still protect your loved ones with life insurance even if you use smoking cessation products, and what’s better is that there is even a possibility you can get great non-smoker rates.  No one ever anticipates needing to use life insurance, but the unexpected happens.

Losing a job is one of the worst feelings on the planet, especially if it’s a job you actually enjoyed.

In addition to the feelings of anger, depression, fear, and grief, you’re now saddled with the responsibility of finding new health insurance if your company was the one providing your coverage.

Luckily, you have a number of options available to you after losing job-based coverage that you should begin to explore as quickly as possible, starting with ...

Primary Options For Coverage After a Job Loss

Coverage from Your Spouse or Domestic Partner’s Employer

If your spouse or domestic partner’s insurance plan is open to family members, you may be able to join now that you no longer have insurance through your employer.

Under the Health Insurance Portability and Accountability Act (HIPAA), you have 30 days from the time that your former employer stops paying for your insurance to enroll in your spouse or domestic partner’s plan. This rule stands even if your loss of coverage doesn’t occur during an open enrollment period.

Coverage from the Marketplace

Under the Affordable Care Act (ACA), you can enroll in a health plan in the Marketplace during a Special Enrollment Period if you lose your job-based coverage outside of the normal open enrollment period. You may even be eligible for subsidies for reduced premiums and you might qualify for lower out-of-pocket costs.

Coverage from the Individual Market

If you don’t qualify for a subsidy for reduced premiums from the Marketplace, you can simply sign up for a new plan off of the marketplace through the individual market. Not sure whether or not you’ll qualify for a subsidy? This interactive tool on the Marketplace’s website can help you determine that.

Continuing Current Coverage Through COBRA

The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives you the right to remain on the health plan that you had with your former employer. (COBRA does not apply if your employer had fewer than 20 employees, if your employer went out of business or if you were fired for “gross misconduct.”)

If you are eligible for COBRA benefits, you will receive notice from your former employer or the health plan and can enroll within 60 days after receiving the notice.

• COBRA generally guarantees coverage for 18 months but may be longer depending on your circumstances.
• Each family member can make a different COBRA election, even if your entire family was once covered under your employer’s health plan. Or, your child(ren) may elect COBRA on your plan and you may find coverage elsewhere.
• You are responsible for paying the full COBRA premiums, which includes the amount you used to pay while employed, the amount paid by your former employer and an administrative fee. This can make COBRA coverage very expensive.

We recommend exploring the first 3 options above before looking into COBRA coverage as COBRA is likely to be your most expensive option for continuing coverage.

Secondary Options for Coverage After a Job Loss

State-Sponsored Programs

There may be state laws that complement federal COBRA regulations or other consumer protection statutes. They include:

• Mini-COBRA plans. If you worked for an employer with 20 or fewer employees, your state may have mini-COBRA laws that allow you to obtain the same benefits by paying the full premium (or more in some states).
• Conversion policies. If you cannot continue coverage with your former policy, your state may require insurers to convert your policy into an individual plan.

Protections Under HIPAA

Under this federal law, at least one insurer must sell you a health plan if you can meet the following conditions:

• You previously had 18 months of coverage without a break for more than 63 days.
• The last day of your coverage was through your employment.
• You do not have a COBRA or mini-COBRA option available.

Trade Adjustment Assistance (TAA) Reauthorization Act and Health Coverage Tax Credit

If you lost your job due to a trade policy (moving your job overseas), you may qualify for 72.5 percent of the cost of your health insurance for up to three years under TAA. 

Medicaid, The Children’s Health Insurance Program (CHIP) or VA Coverage

Medicaid is available for low-income individuals and children, parents with dependent children, permanently disabled individuals or those over 65. Eligibility varies from state to state.

• Though you may not qualify for full Medicaid benefits, you may be eligible for screenings for breast and cervical cancer or assistance with tuberculosis or sickle cell anemia treatments.
• Consult your local health department for more information about public coverage options in your area.

The ever-rising cost of corporate health care is expected to increase by 4.4 percent this year. Couple that with rising pressure from hard-fought efforts to maintain compliance with the federal government’s Affordable Care Act, and some employers have chosen to waive benefits, placing more responsibility onto their employees, who pay more both in premiums and out-of-pocket costs.

According to a survey released yesterday, workers are paying roughly $100 more per month in medical costs than they were three years ago, and can expect to pay 37 percent of the expenses acquired from company health plans this year. That’s an increase from the 34 percent in 2011.

A higher price tag isn’t the only change employees will have to deal with in the near future. The study suggests that employees also will be required to shoulder more of the costs for covering their spouses and dependents. Although today, roughly 70 percent of employers believe offering subsidized insurance for spouses is important, more than half believe it will not be important in 2015 and beyond.

Get fit for $50

Employers are looking to make proactive changes, too. Incentive health programs is a method many companies are implementing in order to improve the overall health of their workers, and therefore, decrease visits to the doctor’s office, clinic or hospital.

In increasing numbers, companies are offering an array of wellness activities to the workforce, such as boot camps and weight-loss competitions. Oftentimes, cash is the ultimate prize; on average, employees who complete all available programs could be $50 richer.

Retired and uninsured

Another serious issue facing employees – especially those considering retiring before age 65 – is the possibility that they may not have insurance coverage upon retirement. Public exchanges may become the sole option for pre-65 retirees as a reported 66 percent of companies are likely to eliminate access to coverage.

Where do we go from here?

According to the survey, only 25 percent of companies were confident they’d be providing current benefits to workers by 2024. Employers and employees need to start planning now for what’s to come. With rapid change taking place on a daily basis, “later” could mean “tomorrow,” so action planning should start today. For employees, perhaps that just means educating yourself on these trends and options, while for employers, it could mean a reconfiguration of your benefits strategy.

Being a parent is one of the most difficult yet most rewarding jobs on the planet. One of the hardest tasks of being a parent is worrying about the family’s future, especially when it comes to planning finances. Have you ever thought about how your family would cope financially without you around? The answer to this question is why many parents are turning to term life insurance to protect their loved ones. Here’s a closer look at why families choose term life:

vides financial support when you’re not around

Whether your young family relies on one main income or the joint income of both parents you should consider a term life insurance plan. Term policies can provide a source of income replacement should either one or both parents pass away unexpectedly. Without the main source of financial income your loved ones could quickly run into financial difficulties. A term life insurance plan can leave a cash lump sum that will protect your family from financial problems until they can get back on their feet. Many parents choose a term life plan to cover mortgage payments, day-to-day expenses, college tuition, and much more.
It can cover the financial value of a stay at home parent

When we think about life insurance it’s easy to make the mistake that we should only get coverage for the main financial provider. I mean it makes sense to think that the biggest financial stress would come from losing the household income. However, many households with young children should also think about getting term life insurance coverage for the stay at home parent. If you or your partner provide the main source of childcare for your family you are actually saving a lot of money every year. In fact, in 33 states childcare costs more than college tuition, and an in-house nanny could cost you nearly $30,000 per year. Would your family be able to afford these expenses if the main caregiver was to pass away? If not then you should consider taking out a term life insurance plan to provide the needed funds for childcare expenses.

It’s the most affordable coverage available

Did you know that term life insurance is one of the simplest and most affordable life insurance options available? Many families choose term life insurance because it offers inexpensive coverage that can last for up to 30 years, meaning they can get long-term coverage at a price they can afford. Why is term life insurance cheaper than other plans? Simply because unlike whole life insurance it offers fixed term coverage that only pays out if the policyholder passes away during the coverage term. This type of coverage makes the most sense for people who want a life plan to insure their family for certain expenses that only last for a set period of time, such as mortgages, childcare costs and college tuition fees. If you want to provide for your young family while your children are growing up then term life plans are a great option.

Few people are prepared to handle the financial burden of long-term health care. In fact, many people have a false sense of security when it comes to long-term care. Let’s separate fact from fiction:

“Medicare and my Medicare supplement policy will cover it.”

FACTS:

• Medicare and “Medigap” insurance was never intended to pay for ongoing, long-term care. Only about 12% of nursing home costs are paid by Medicare, for short-term skilled nursing home care following hospitalization. (Source: Guide to Long-Term Care Insurance, AHIP, 2013)
• Medicare and most health insurance plans, including Medicare supplement policies, do not pay for long-term custodial care. (Source: 2017 Medicare & You, Centers for Medicare & Medicaid Services)

“It won’t happen to me.”

FACTS:

• Almost 70% of people turning age 65 will need long term care services and supports at some point in their lives. (Source: LongTermCare.gov, November 2016)
• About 67% of nursing home residents and 70% of assisted living residents are women. (Source: Long-Term Care Providers and Services Users in the United States, February 2016, National Center for Health Statistics)

“I can afford it.”

FACTS:

• As a national average, a year in a nursing home is currently estimated to cost about $92,000. In some areas, it can easily cost well over $110,000! (Source: Genworth 2016 Cost of Care Survey, April 2016)
• The average length of a nursing home stay is 835 days. (Source: Centers for Disease Control and Prevention, Nursing Home Care FastStats, last updated May 2014)
• The national average cost of a one bedroom in an assisted living facility in the U.S. was $43,539 per year in 2016. (Source: Genworth 2016 Cost of Care Survey, April 2016)
• Home health care is less expensive, but it still adds up. In 2016, the national average hourly rate for licensed home health aides was $20. Bringing an aide into your home for 20 hours a week can easily cost over $1,600 each month, or almost $20,000 a year. (Source: Genworth 2016 Cost of Care Survey, April 2016)

“If I can’t afford it, I’ll go on Medicaid.”

FACTS:

• Medicaid, or welfare assistance, has many “strings” attached and is only available to people who meet federal poverty guidelines.

Whether purchased for yourself, your spouse or for an aging parent, long-term care insurance can help protect assets accumulated over a lifetime from the ravages of long-term care costs.

Life insurance is not something that is simple or cheap for everyone to get. Term Life Insurance companies view certain individuals as being high risk due to a variety of factors. Some of these factors involve their lifestyle, others involve pre-existing conditions, which are likely to become a monetary burden, and others yet are based on familial medical history.

If you are overweight, smoke cigarettes, drink alcohol regularly or are or ever have been a drug user, you are considered to have aspects of your lifestyle that will lead to illness and potentially an early death. Insurance companies of this fashion make their money by people paying their monthly premium until they die. If a company has to give an early payout due to a premature death, this is detrimental to them.

Another way that people are categorized as high risk is by having prior health issues. A cancer patient who has gone into remission and recovered is still a high risk individual according to a life insurance company because of the potential of relapse. If an individual has a condition such as diabetes, terminal cancer, HIV or any of a series of autoimmune disorders, they are considered to be high risk because there is a far greater likelihood that they will die from that condition than naturally of old age.

Familial medical history can also label an individual as a high-risk client. If mothers, fathers, grandparents, aunts, uncles, brothers, sisters or children have suffered from a major medical condition that can be considered to have a genetic predisposition, an individual becomes high risk because of the likelihood of that condition inevitably presenting itself in the individual as well.

Categorizing individuals as high risk allows term life insurance companies to determine who can start a policy and how much it will cost. While it is unfortunate for people who are designated as high-risk individuals, the high-risk designation is a matter of financial practicality for the company.

If you are the sole or primary breadwinner in your family, it is imperative that are covered by a life insurance policy. Going through life without life insurance is not only irresponsible, it could lead to financial ruin for your spouse and children. If they were dependent on your income for their survival, they would be left destitute if you were to die suddenly. If you still owed money on your house, they would lose that as well. Having life insurance prevents these horrific scenarios from occurring by giving your surviving family members money to support themselves. You might also consider getting medicare supplement insurance. This type of policy helps to pay for some of the costs not covered by Original Medicare, such as deductibles, coinsurance and copayments. Here are some of the benefits of being covered by a life insurance policy. 

It Protects Your Family
The primary purpose of life insurance is to provide the means for a family to live comfortably when the main or primary breadwinner is no longer around to support them. Along with paying for the mortgage, rent, groceries and utilities, life insurance can also be used for college tuition and the estate taxes that the families of deceased people will need to pay.

You Can Use the Money While You Are Alive
If you need money for some reason while you are still alive, you will be able to take out a loan against your life insurance policy's value. One of the really great things about borrowing money in this manner is that the interest rates are much smaller than those that are charged by banks, credit unions or various online lenders. You will have the option to repay the amount of money you have borrowed in installments or all at once. 

Premiums Do Not Change
This is true in the case of term life insurance. When you are covered by this type of policy, you do not need to worry about your provider raising the price of premiums. You will be locked in at a set rate for the complete length of your agreed upon term.

As humans, we are creatures of habit. Your friend suggests meeting at your favorite restaurant and it’s about 1.2 seconds before you’re craving the pasta puttanesca. It’s what you always get, and at this point, there’s somewhat of an emotional attachment.

Cravings for drugs and alcohol work in much the same way, and that’s why summer barbecues can be especially tricky for recovering alcoholics.

When you picture summers at the beach or at backyard barbecues, you probably imagine a cooler filled with beer within reach.

For recovering alcoholics, it’s not just a problem to see the alcohol in person. Much like your craving for the pasta puttanesca, anticipation and desire begin long before the event. There’s an emotional attachment to drinking with friends at summer parties.

Fortunately, there are some great work-arounds for you to use. It starts with breaking your unhealthy emotional attachments and forming new ones.

1. Acknowledge the craving for what it is. Cravings are a normal part of recovery. Your desire to have a drink isn’t something to be ashamed of, and it doesn’t mean you’re about to relapse. It simply means you’re human.
2. Don’t succumb to triggers. For some people, especially those who are new to recovery, the desire to drink in certain situations is too great to overcome. For example, you may not be able to stop yourself when your friends are standing by the pool and everyone is cracking open a beer. If that’s the case, avoid the situation entirely. It’s better to decline politely than to relapse. Know that you may one day be happy in that situation with a root beer in hand.
3. Stick with a friend. You don’t need to drag a sponsor to every event, but try to go with someone who knows your struggle and desire to stay sober. This person may help keep you away from situations that may trigger you. At the very least, knowing someone is watching may help keep you on the right path.
4. BYO non-alcoholic beverage. If you’re going to a pool party or backyard barbecue, bring a non-alcoholic beverage that you truly enjoy. Maybe an ice-cold lemonade will do the trick, or maybe it’s a fancy tropical mocktail. Experiment with a combination of seltzers, juices, and teas to come up with something healthy to crave.
5. Get active. Give yourself other reasons to avoid drinking. For example, maybe you’re training for a marathon or a 5k. It doesn’t have to be extreme, but when you align yourself with healthier goals, it’s easier to say no to alcohol. It becomes more about your good health and less about deprivation.
6. Hang with a different crowd. There’s no need to shun supportive friends just because they have an occasional drink, but if the people you hang with are drunk more often than not, it’s time to run with a new crowd. Look for other recovering alcoholics or people who have healthier relationships with alcohol. They’re less likely to want to meet up at a bar, and things become much easier when that temptation is removed.

The feeling of missing out is what so many recovering alcoholics struggle with in the summertime. But with a little advanced planning and a slight adjustment to your way of thinking, you’ll get through these months with your sobriety intact.

Traditionally, we have always associated life insurance covers with security against unforeseen circumstances. They are widely considered to be a part of one’s portfolio for emergency situations, providing a Lump sum Payout to the nominee in the instance of the Life Assured’s death.

However, more often than not, these covers cater to the needs of the family post the death of the breadwinner. What happens to the insurance cover if the breadwinner was involved in an accident and becomes permanently disabled? He survives the accident but now is unable to pay the premiums associated with the term plan, or if he/she is critically ill and can’t continue to pay premiums? Or if he is diagnosed with a terminal illness and his death is certain anyway?

In such instances the cover might lapse and with that the protection umbrella which the breadwinner had planned for his family in his absence, fades away.

What if we could have a provision for those cases where the life assured doesn’t have to pay any further premiums if he is involved in an accident and becomes permanently disabled? This way at least the protection umbrella that he had made for his family, remains intact.

Similarly, with increasing risks to health due to lifestyle changes, there is a need to look at critical and terminal illnesses very seriously. A critical illness might force the breadwinner to retire from his job for a few years coupled with additional financial outflow during the treatment and recovery phase. This would again make it challenging for the Life Assured to pay his premiums towards the Life Insurance cover. On the other hand a terminal illness cannot be cured and results in the death of the patient within a short span of time. In such a situation, it would really help if the lump sum payout is given at this stage itself.

In view of the above, life insurance companies have started launching covers that come with differential plan options to cater to the diverse needs of the people. Some of the areas that the new plans have started addressing are:

Waiving your premiums & accelerated benefits

Some life covers waive future premiums in case of permanent disability caused by an accident and also on diagnosis of certain critical diseases. This is relieving of a major financial burden, while retaining the protection it offers, is one such highlight that will allows the family of the policyholder to be financially secure in such an unexpected situation.

Moreover, it accelerates the payout of death benefit to the family if life assured is diagnosed with any terminal illness. This helps the family to deal with the financial stress by helping them pay medical costs associated with the terminal illness and also ensures that in the long run the family does not have to compromise upon the dreams that the breadwinner had planned for them due to financial restraints.

Replacing your income

Think of a typical salaried person’s life in our country. He is the bread winner for the family. The household’s expenses, his children’s education expenses are all provided for by his monthly salary.

But what if fate has some other plans and an untoward incident befalls the family. Apart from the policyholder’s lifetime savings in some FDs and other instruments, there is no substitute for his monthly income. Especially if the person is a private sector employee, the family will have to face a lot of difficulties in terms of managing the day-to-day expenses.

This is where a life cover comes in handy. Some term covers are now providing an option that allows the family to receive a monthly income even in the absence of the policyholder. Not only is this income provided till the end of the policy term or 4 years whichever is higher, but it may also increase every year, based on the income projection provided by the policyholder and the plan type chosen by him. And along with this, the family also receives a lump sum amount at the time of death of the policyholder.

Such a tailor made solution ensures that the family’s lifestyle and dreams are not compromised upon and the household will still run smoothly

      
If you think your retirement is going to look like your parents’ or grandparents’ retirement, think again. Here are three things you should be considering:

1. The Bank of Mom and Dad won’t always be open. There are two sides to this. If you’re currently supporting your adult children, you’re not alone. According to a BMO Wealth Institute study, 81% of parents say they have provided their adult children with some financial support. However, you’ll want to evaluate if that’s possible to sustain in the long-term. Ask yourself: Will helping my adult child (buy a house, afford a vacation, transition to a new job …) put my own financial future in jeopardy?

If you answer, “No, it won’t harm my financial well-being” then it’s OK to continue your support, as long as you have the assets to back it up and your financial position doesn’t deteriorate in the future. But if you realize that continuing to support your children means financial sacrifices on your part and lowering your own standard of living, then you need to have a frank conversation with them. I’d also like to suggest that financially supporting your adult children long term sends the message that you really don’t have confidence in them.

Now, the other side of this. If you are on the receiving end of money from your parents, just know that the escalating costs of health care in retirement, market volatility and other factors, may shut down your parents’ largesse, or potentially wipe out any inheritance they might have liked to pass along, whether you or they like it or not. Fewer than half of the BMO study respondents said they would sacrifice their own financial well-being to financially support their children. Bottom line: Relying on your parents is not a solid financial plan.

2. Health care costs are going to be a major factor in retirement. This year the premiums for Medicare went up significantly, while Social Security benefits went down for anyone who is making more than a specific, although limited, amount of money. I’ve found that most people have not planned for the rapidly escalating cost of medical care in retirement. A person’s future medical expenses are going to be the great unknown. But here is a figure that can help you put things into perspective. Fidelity’s Retirement Health Care Cost Estimate shows that a couple, both aged 65 and retiring this year, can now expect to spend an estimated $245,000 on health care throughout retirement. Are you prepared for this?

3. You may—or may not—need life insurance. If you have enough assets, and are not looking to replace them if you or your spouse or partner were to die, you may not need as much life insurance as you once had. But when looking at the direction of the economy, you’ll need to ask yourself, “If something happens to me, will my spouse or partner have to change their lifestyle due to insufficient assets?” If so, keeping your life insurance may make sense. Think of it this way: by having the life insurance it puts you in the position of “being the bank” instead of “having to go to the bank” when the need for money arises.

The bottom line is that as you approach retirement, you need to look at the future with clear eyes, considering all the “what ifs.” Then be sure to sit down with an advisor or agent who can help you mitigate those what ifs with the proper type and amount of insurance and planning.