California Employee Benefits from AMSINSURE.COM

Manta confirms AMS philosophy on client services with thier tip of the day?

2012-02-17T10:15:00.000-08:00

Respond Promptly to Requests for Information

When customers request information about your company via email, a website form, over the phone or through some other means, they expect a quick response. When a company fails to respond--due to poor organization, incorrect contacts or a busy schedule--customers are left feeling abandoned and likely won't do business with you now or in the future.

Learn More about HSA plans from AMS

2012-02-02T15:48:00.000-08:00

HSA FAQ
What is a Health Savings Account (“HSA”)?
A Health Savings Account is a special type of savings account like an Individual Retirement Account (IRA) that offers a different way for consumers to pay for their health care. HSAs enable you to pay for current health expenses and/or save for future qualified medical and retiree health expenses on a tax-free basis.You must be covered by a High Deductible Health Plan (HDHP) to be able to take advantage of HSAs. An HDHP generally costs less than what traditional health care coverage costs, so the money that you save on insurance can therefore be put into the Health Savings Account.

You own and you control the money in your HSA. Decisions on how to spend the money are made by you without interference from a third party or a health insurer. You also decide what types of investments to make with the money in the account in order to make it grow.

What Is a “High Deductible Health Plan” (HDHP)?
You must be covered by an HDHP if you want to open an HSA. Sometimes referred to as a “catastrophic” health insurance plan, an HDHP is an inexpensive health insurance plan that generally doesn’t pay for the first several thousand dollars of health care expenses (i.e., your “deductible”) but will generally cover you after that. Of course, your HSA is available to help you pay for the expenses your plan does not cover.

For 2012, an HDHP must have a deductible no lower than $1,200 for individuals with self-only coverage or $2,400 for family coverage. In addition, the HDHP must limit your out-of-pocket expenses to no more than $6,050 (self) or $12,100 (family). HDHPs can have first dollar coverage (no deductible) for preventive care and higher out-of-pocket (copays & coinsurance) for services received outside the plan’s provider network.

for more information click here:

Why Use an Online Payroll Service?

2012-02-02T14:57:00.000-08:00

Payroll. The Hollywood image of an unobtrusive character in the back room poring over figures may come to mind but that’s so last century. Today, businesses don’t have the luxury of dedicating large chunks of time and other resources to getting employees paid accurately and on time and to complying with the myriad regulations associated with payroll. Indeed, payroll, though an essential element in operating any business, must proceed transparently freeing owners, managers and other employees to get on with the business of business.

Below are some of the best reasons to consider using an online payroll service:

Save Time and Money - In business, time is money and running payroll can’t be a full time job. It’s an overhead expense that doesn’t directly add to the business’ bottom line and it is one of the most commonly outsourced functions. While employing an accounting firm or more traditional payroll outsourcer may be beyond the reach of many small businesses, online payroll services provide a critical array of services at rather nominal prices.

Ease of Use - Processing payroll is regarded as a rather arduous task by most business operators but inputting data into an online payroll service is intuitive, quick and easy. The initial setup is critical because future calculations are based on it, but online payroll service providers have made the process about as simple as one could imagine. What’s more, they generally provide support to assist in getting things set up right initially as well as resolving any problems that may arise.

Avoid Costly Errors - Getting it right the first time is a major advantage that online payroll services provide. In addition to making data entry simple, they generally present a completed payroll for review before live submission. The services also use their expertise and systemization to make certain that all payroll tax reporting and payments are made accurately and on time thus avoiding costly penalties.

Stay Current - A major complaint of business operators is always that there’s too much government regulation and that they are often not aware of changes as they occur. Keeping up to date on applicable regulations from the multiple levels of taxing authorities is at the heart of an online payroll services business so that their clients are liberated from the need to be payroll experts and can concentrate on running their businesses.

Online Payroll Services: What to Look For

Pricing
We don’t want to place any more emphasis on the price of an online payroll service than is absolutely necessary, but the reality is that the cost of the service is one of the most significant distinguishing factors. The reporting and deposit requirements that an online payroll service must meet are, for the most part, statutory in nature and the features that are offered from one service to the next don’t vary greatly. These facts result in price being an important factor in choosing a provider. When comparing prices of the various providers, don’t forget to consider those features that some companies include in their overall service while others impose additional fees.

Ease of Use
Of course you should consider ease of use. But online software and services are now almost universally conforming to best practices when it comes to user interfaces. So unless you encounter a design that happens to annoy you, ease of use is not the most important feature to examine.

Features
If you have less than 150 employees, you might prefer the ability to print checks locally. Some online payroll services let you print checks and paystubs locally, but some offer centrally printed checks only. Direct deposit is a standard feature, but some vendors include it in the monthly fee and others charge more for the feature.

Pay Options
These days, most employees receive their pay via direct deposit to a bank account but some still find the option of getting a paper check preferable. Payroll cards are becoming more popular, particularly for employees who don’t have a bank account. These are essentially debit cards that can be used to make purchases as well as to make cash withdrawals.

Tax Compliance Features
When thinking of payroll processing, the first thing that comes to mind is likely to be getting employees paid. But for employers, the biggest problems associated with payroll involve compliance with a multitude of tax regulations. An online payroll service can file the quarterly and annual returns that are required by the various levels of taxing authorities and make the mandatory periodic deposits. Most offer the option of doing the filings on behalf of the client or of providing ready for signature documents that the customer then files.

Help & Support
In a competitive industry in which everybody provides services that strongly resemble one another, customer service is deciding factor. Payroll issues are usually time sensitive and missed deadlines are costly. While many online payroll service providers guarantee timeliness and accuracy, the business operator always deserves and should insist upon superb customer support.

Software Integration
The data entered into an online payroll service can generally be exported to other accounting software. Some services allow for integration with multiple software packages, while others only support the use of one or two. The important point is that the data should be compatible with the accounting software used by your business. An online payroll service should make running a business easier and more productive rather than requiring duplicate data entry or a complete changeover of accounting software.

We’ve taken care to evaluate online payroll services with the needs of small businesses in mind. As you compare services on our side-by-side matrix, take note of those characteristics that are best for a small business.

Our affiliate offers substantial discounts to our clients.

info@amsinsure.com

2013 Reporting W-2 employee benefits.

2012-02-02T11:09:00.000-08:00

For employers that issue less than 250 w-2's not employees a year there is currently no requirement to report under this part of Health Care Reform. For employers that issue more than 250 w-2's a year they will have to report the value of health care benefits.

AMS is avialable to discuss the importance of this issue and also clinets or prospects should be discussing with there CPA, Payroll Vendor, or others who would provide services for internal payroll departments.

Employee Morale Shapes Business Success

2012-02-01T06:04:00.001-08:00

The start of a new year represents an excellent time to contemplate employee morale within the organization. One success formula for an employer is to place and retain the right employees in the right jobs. Although monetary incentives are one way to help employees cope with economic downturns and challenges, the quality of work/life issues is a vital element that impacts the morale and the successful contributions of your employees.
The first step is to take time to assess how employees feel about their current roles and what the company can do to ensure they are positioning themselves as an attractive employer. Remember to recognize exceptional workers within the organization. Having employees who are valued, recognized and appreciated for their efforts will generally boost the overall morale of the organization. Such employees may also provide critical business and employee referrals to further contribute to the company’s success.
Management immediately can do a great deal to help increase employee morale. Consider the following three tips:
• Analyze the Business Situation. Question where improvements need to be made or enhancements should take place for employees to effectively and efficiently carry out their work duties.
• Communicate with Your Employees. Inform employees about changes within staff, budgeting, etc. and take feedback into consideration.
• Increase Workplace Incentives. Provide an environment with growth opportunities, monetary and non-monetary rewards, and a positive business culture. One simple example that can be easily overlooked is to thank your employees periodically for their efforts in email communications or staff meetings.
In this new year, resolve to make employee morale a priority. A business can prosper with the right mind-set, tools, and the greatest asset – its employees. When employees feel respected, appreciated, and recognized, the increased success of a business will generally follow.

Tool of the Month:
Essential Job Functions Worksheet
Essential job functions are the fundamental duties of a job position – the duties an employee with that job absolutely must be able to perform. In the event a charge is filed (e.g. under the Americans with Disabilities Act), a crucial and basic component of the charge will be the employer’s definition of and justification for the essential functions of the employee’s job in question. Therefore, carefully assess and document the essential functions for each job in your company.
The Essentials Job Functions Worksheet will help you with the following:
• Identify key characteristics of an essential function,
• Determine which functions are essential or non-essential to a specific job,
• Develop documentation of employer good faiths efforts to establish essential job functions.

Request more information:

HR TIPS

2012-02-01T06:00:00.000-08:00

Clearing the Smoke on Smoking in the Workplace
Is it a smart move for an employer to discriminate against an individual who uses tobacco? This month’s HRCast will explore the benefits and the pitfalls surrounding this question.
On February 15th, be sure to visit the HR Support Center and listen to this month’s HRCast to learn more about this topic.

Manage Workplace Stress
Workplace stress results from multiple internal and external factors. Internal factors can be attributed to budgets, employee performance issues, sales and profit outlooks, and overall employee relationships within the business. External factors can result from economic uncertainty, competitors, and market value prices. To help reduce and control workplace stress for your employees, consider applying certain coping mechanisms. One stress-reducing technique is to provide workers with opportunities to participate in decisions that affect their jobs (e.g. work scheduling and advancement opportunities).

34%
According to a December 2011 survey, more than one-third (34%) of employers have terminated an employee for being late to work. (Source: Harris Interactive)

"Unless commitment is made, there are only promises and hopes…but no plans."
- Peter Drucker

Medicare Advantage Plans Improve Diabetic Care

2012-01-25T18:25:00.000-08:00

Medicare Advantage Chronic Special Needs Plans are effective in managing care for some of Medicare’s most vulnerable beneficiaries with diabetes, according to a study published in the January issue of Health Affairs.

The study compared 36,000 Care Improvement Plus members with diabetes to a similar population enrolled in traditional Medicare. Members of special needs plans members had more primary care. They had reduced rates of hospitalization and hospital readmissions. The study indicates that offering additional services to people with chronic diseases could result in lower Medicare spending and may improve the quality of life for beneficiaries with diabetes.

The plans were able to reduce hospital readmission rates, by as much as 40%, by offering services such as in-home preventive health visits. these include services such as foot exams, social needs assessments, and medication reviews. The plans were able to reduce hospitalizations and readmissions for non-Caucasian members at rates greater than their Caucasian counterparts, suggesting that the plan’s model is effective in addressing ethnic and racial disparities in healthcare.

What Will Healthcare Look Like in 2025?

2012-01-25T18:19:00.001-08:00

By 2025, patient-doctor relationships and healthcare delivery will look radically different, according to a forecast by the Institute for Alternative Futures. Working with more than 50 national healthcare leaders, the Institute created four scenarios to show what primary care might look like in 2025. The scenarios take into consideration the nation’s economic challenges, political polarization, and opportunities afforded by technological advances and new delivery systems. Clem Bezold, Institute for Alternative Futures chair and senior futurist said, “In all four scenarios, we forecast that electronic records will become ubiquitous. Community health centers will give high-quality care to low-income people, and a small persistent group of affluent will receive great fee-for-service concierge healthcare. You will see more virtual care, personal health avatars and doctors operating remotely.”

Wellness Programs Get Results

2012-01-25T18:15:00.001-08:00

Forty-one percent of workers agree that having a wellness program encourages them to work harder and perform better at work, according to the latest Principal Financial Well-Being Index. The index surveys American workers at growing businesses with 10 to 1,000 workers and is conducted by Harris Interactive. Fifty-two percent of workers (up from 37% last year) say they have more energy to be more productive at work because they participated in a wellness program. Another 35% (up from 28% a year ago) and say they missed fewer days of work. Forty-five percent of workers chose better overall physical health as the top benefit to participating in a wellness program. Other top mentions included receiving a meaningful incentive from their employer for participation (30%) and reduced personal healthcare costs, greater chance of living a longer, healthier life and reduced stress (29% each). Fifty-five percent of workers rated wellness activities offered by an employer as very successful or somewhat successful in improving health and reducing health risks. The top four wellness benefits workers would most like to see their employer offer are fitness center discounts (25%), on-site preventive screenings (22%), access to wellness experts such as nutritionists (21%), and onsite fitness facilities (19%). However, the top four wellness benefits offered by employers are online wellness information (19%), educational tools or resources (18%), fitness center discounts (17%), and printed wellness information (17%). Interestingly, access to wellness experts was only available to 11% of those surveyed.

Berkley Wellness Newsletter

2012-01-19T19:40:00.000-08:00

This is one of the best places to stay informed on health topics and receive great emails with current state of the art information.

* Special Offer From Berkeley Wellness Alerts *

Dear Health-Conscious Friend,

Not long ago you expressed an interest in receiving information from Berkeley Wellness Alerts. We thought you might be interested in the special report on high blood pressure described below.

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For all of us, the risk of high blood pressure-hypertension-increases as we get older.
It's one of the most common chronic disorders that we face.

Health Insurnace

2012-01-19T18:17:00.000-08:00

Health insurance is a necessity for a family. However, with the price of health insurance rising, more families are looking for affordable options. With a little bit of time and effort, affordable health insurance can be found for the right price.

Health insurance through an employer utilizes a group plan, so the premiums are less expensive. Some employers will also pay a percentage of the premium for each employee. Dependents such as a spouse or children can be enrolled in your employer's health plan in order for the whole family to have insurance coverage.

If you are self-employed or if your job does not offer health insurance benefits, you can obtain private health insurance for yourself and your family. Private insurance tends to be more expensive than insurance through an employer, but there are ways to make it more affordable. When shopping for private health insurance, seek the assistance of an experienced health insurance broker. An insurance broker does not work for just one insurance company; they can sell policies from many different companies, and this allows them to compare different policies to find the best rates. A way to save money is to choose an HMO plan; these offer good coverage and tend to be less expensive than a PPO insurance plan. You will also pay less in premiums if you choose to have a higher deductible. The higher the deductible, the lower the monthly premium.

If money is tight, you may want to purchase a "catastrophe" health insurance plan for yourself and your family. These plans are very affordable, but the deductible can be between $5,000 and $10,000. With a catastrophe health insurance plan, you are responsible for the first $5,000 or $10,000 of medical bills and the insurance company pays the rest. This plan is very useful in case of serious illness or injury that requires an expensive stay in the hospital. If there is no way you can afford to pay for any type of health insurance coverage right now, look into your state's programs. Most states will offer health coverage for children for very little or no cost.

Health insurance can be very expensive, but not having health insurance can be even costlier. There are ways to save money on health insurance; look at all of your options and find the plan that is the best fit for you and your family.

Solution to the Hospital Super Bugs may be at hand.

2012-01-18T18:30:00.001-08:00

TEL AVIV, ISRAEL - Researchers at Sackler School of Medicine, Tel Aviv University reported that they have developed a new method of restoring antibiotic sensitivity to resistant bacteria. They published their findings in the January issue of the journal Applied and Environmental Microbiology.

They report that their process could eventually be used to fight hospital superbugs. In the United States, an estimated 70% of hospital-acquired infections are due to bacteria that are resistant to at least one antibiotic.

Using a process called lysogenization, scientists used bacteriophages to invade the cell wall of resistant bacteria and restore their sensitivity to antibiotics. Bacteriophages are viruses that can infect bacteria. They conducted their initial experiments with the bacteria Escherichia Coli and the antibiotics streptomycin and nalidixic acid. Genes from mutant or antibiotic-resistant E. coli were isolated in laboratory cultures and genetically engineered to reverse the resistance mechanism. The researchers then targeted the resistant genes using bacteriophages, which contianed the engineered genes. This process rendered the resistant E. coli significantly more sensitive to the antibiotics than control phages carrying mock genes.

The scientists noted that they believe that genetically engineered bacteriophages can be developed for any bacterium and used in hospital settings to reverse antibiotic resistance in bacteria that cause hospital-acquired infections.

Researchers said they expect genetically altered bacteriophages can be developed for any bacterium; these viruses then can be used in a hospital setting to reverse antibiotic resistance in bacteria that cause hospital-acquired infections. Once bacteria are lysogenized, they are less likely to infect humans and perpetuate the cycle of antibiotic-resistance.

The researchers also conducted experiments with Tellurite, which is a substance that is toxic to bacteria. Supplementary treatment with Tellurite would kill bacteria missed by the bacteriophages.

One particularly virulent form of bacterium is methicillin-resistant Staphylococcus aureus (MRSA). Hopefully, a future study by the Israeli researchers will focus on this organism. S. aureus is an extremely versatile organism that can cause infections ranging from mild to severe in humans and animals. MRSA can cause a large number of serious illnesses that do not respond well to current medical treatment. It has evolved the ability to survive treatment with a number of antibiotics, including penicillin, methicillin, and cephalosporins. MRSA infections commonly occur in hospitals and other healthcare facilities, such as nursing homes.

Researchers around the globe are devoting a considerable to find treatments to combat MRSA and other hospital-acquired infections. For example, last August investigators at the David Geffen School of Medicine at UCLA and the University of Texas Medical Branch at Galveston announced that they had discovered a molecular process by which the body can defend against the effects of Clostridium difficile infection (CDI), pointing the way to a promising new approach for treating an intestinal disease that has become more common, more severe and harder to cure in recent years. Each year, several million people in the U.S. are infected with CDI, about double the incidence of a decade ago, mainly due to the emergence of a new, highly virulent strain of the bacteria that causes CDI. As a result of the study findings, the researchers are preparing to launch clinical trials using their discovery as a new CDI therapeutic approach.

CDI is a bacterial infection that can cause diarrhea and more serious intestinal conditions, such as colitis (inflammation of the colon). In the most severe cases, CDI can be fatal. It is most commonly acquired in hospitals by patients, particularly the elderly, who are being treated with antibiotics for another infection. Currently, one of two potent antibiotics is used to treat the infection; however, up to 20% of patients experience a relapse and a return of symptoms within a few weeks. C. difficile causes diarrhea and colitis by releasing two potent toxins into the gut lumen that bind to intestinal epithelial cells, initiating an inflammatory response. These toxins are released only when the bacteria are multiplying. When antibiotics are used to treat another infection, it changes the bacterial landscape in the intestines and, in the process, may kill bacteria that under normal conditions would compete with C. difficile for energy. Scientists believe this may be what provides the opportunity for the bacteria to grow and release their toxins.

The researchers found in laboratory studies that upon infection with C. difficile, human cells in the intestine are capable of releasing molecules that will neutralize these toxins, rendering them harmless. In animal studies, the researchers showed that using a drug to induce this process, known as protein s-nitrosylation, inhibited the toxins from destroying intestinal cells. This new approach might also be applied to the treatment of other bacterial infections. Forthcoming clinical trials will test this approach in humans. Caveat: Bacteriophages have yet to be tested on hospital superbugs such as methicillin-resistant Staphylococcus aureus (MRSA).

1% of U.S. Residents Accounting for 20% of Total Health Spending

2012-01-18T09:56:00.000-08:00

1% of U.S. Residents Accounting for 20% of Total Health Spending
One percent of U.S. residents accounted for more than 20% of overall health care spending in 2009, according to a report by the Agency for Healthcare Research and Quality, HealthLeaders Media reports (Clark, HealthLeaders Media, 1/12).

Further, just 5% of U.S. residents accounted for 50% of health spending, the report found (Kennedy, USA Today, 1/11).

The findings support previous analyses finding that a relatively small number of sick individuals have a large effect on national health care spending, according to National Journal (Sanger-Katz, National Journal, 1/11). However, the study noted that there has been a "decrease in this concentration at the upper tail of the expenditure distribution." For example, in 1996, the top 1% accounted for 28% of total health care spending.

Additional Findings

The report also found that:

■For the top 1% of spenders, average annual health spending was about $90,061 (HealthLeaders Media, 1/12);
■The top 5% of spenders averaged $36,000 annually in health care costs (USA Today, 1/11);
■The bottom 50% of health care spenders accounted for just 2.9% of spending in 2009 and 3.1% in 2008 (HealthLeaders Media, 1/12); and
■About 20% of U.S. residents remained in the top 1% of health care spenders for at least two consecutive years.
Individuals who remained in the top 1% for at least two consecutive years tended to be white women in poor health, elderly and those enrolled in public health insurance plans (USA Today, 1/11).

Highest, Lowest Spenders on Health Care

The report also found that high-income individuals and those with health plans tended to be the highest spenders (National Journal, 1/11). The report noted the following characteristics of the health care spenders in the top 10% in 2009:

■80% were white;
■60% were women (USA Today, 1/11);
■42.9% were ages 65 or older (HealthLeaders Media, 1/12);
■3% were between ages 18 and 29; and
■2% were Asian.

In addition, Hispanics tended to spend less on health care, with 25% of Hispanics among the bottom half of health care spending and just 7% in the top 10% of spenders (USA Today, 1/11).

Read more: http://www.californiahealthline.org/articles/2012/1/12/1-of-us-residents-accounting-for-20-of-total-health-spending.aspx#ixzz1jpkSsrux

Not Good News for California Employers or Employees

2012-01-07T22:29:00.001-08:00

By Marc Lifsher, Los Angeles Times

January 4, 2012, 5:22 p.m.
Reporting from Sacramento— Fewer California companies offered their workers health insurance last year, and the ones that did charged employees more for their coverage.

That's among the findings of an annual California Employer Health Benefits Survey released Wednesday by the California HealthCare Foundation, a research and grant-making nonprofit organization.

According to the survey, premiums for employer health insurance plans have risen 153.5% since 2002, a rate that's more than five times the increase in California's inflation rate.

In the last two years alone, the proportion of state employers offering coverage to workers fell to 63% from 73%, the survey said.

"This is a departure from previous years and could be an early sign of future changes," the foundation report noted in commentary on data collected between July and October 2011 in interviews with 770 private firm benefit managers.

The steady rise in costs during a prolonged economic downturn contributed to decisions by about a quarter of employers to either reduce benefits or increase cost sharing for employees in 2011. A slightly smaller percentage, 22%, opted to make workers pay more of the share of the higher premiums.

Health insurance is expected to take even more money out of workers' pockets this year. The survey indicated that 36% of California firms said they were either "very" or somewhat" likely to raise the amount that their staff paid in premiums in 2012.

Rising costs and shrinking coverage are accelerating, said Anthony Wright, executive director of Health Access California, a group that advocates for expanded health insurance coverage.

"They are frankly multi-decade trends," he said. "What is notable is that this is more significant than usual."

What's been a "gradual erosion of employer-based coverage in good years" has evolved into "a steep one in bad years," Wright said. "To be down to 63% [of California companies offering coverage] is huge. It used to be up over 80%."

Patrick Johnston, president of the California Assn. of Health Plans, blamed the rising premiums on expensive technology, the spread of chronic disease and an aging population, among other factors. Johnston's organization represents 40 California health plans that cover 21 million people.

What's more, he noted that years of cutting reimbursements to doctors and hospitals by the government-run Medi-Cal program have created a "cost shift" that has to be "made up in negotiations for higher rates for commercial payers such as employers."

Insurer profits, Johnston argued, are not a leading cost driver since publicly traded California insurers keep only 13 cents out of every premium dollar to pay for expenses and to secure earnings that average 3% to 5% of revenue.

Both Wright and Johnston predicted that full implementation of President Obama's healthcare reform plan in 2014 could go a long way toward broadening coverage and to an eventual control of raging medical cost inflation.

"I hope that some of the reforms start to change the picture," Wright said. "It's clear that if we repeal [the law] or retreat back to the status quo, we will have some trends that simply are unsustainable."

marc.lifsher@latimes.com
Copyright © 2012, Los Angeles Times

Consumers Are Using HSAs to Control Healthcare Costs

2012-01-05T11:31:00.001-08:00

Employers and consumers are adopting health savings accounts (HSAs) to manage their healthcare costs without compromising care, according to two national surveys. Seventy-seven percent of small employers believe that high deductible health plans (HDHP) with an HSA are key in controlling healthcare costs. Additionally, 56% of account holders have found that their HSA-qualified plan provides an affordable healthcare option, according to the “2011 Employer and Account Holder Surveys,” commissioned by ACS, A Xerox Company and conducted by Buck Consultants. “HSAs are doing more than just saving consumers and employers money. They are prompting a shift in behavior that is helping employees make better decisions about their own healthcare,” said Tom Hricik of ACS.

Three-quarters of respondents say that the ability to control their own health costs is an extremely or very important benefit of HSAs. Account holders are setting aside more money to cover potential medical costs than before they had an HSA (54%); engaging in healthier lifestyle choices (18%); researching preventive care programs (18%); shopping for lower priced prescription drugs (28%); and planning healthcare better throughout the year (31%). People perceive that they consume medical services at approximately the same rate but are shopping around for care more than before.

Employers report that the cost of providing HSA-qualified plans is less than the cost of providing a standard PPO. The average direct cost to provide an HDHP/HSA is $5,469 for individual coverage and $9,909 for family coverage. In comparison, the average PPO cost is $7,158 for individuals and $10,691 for family.

Surveyed employers are extremely committed to offering employer-sponsored health insurance and retaining their HSA-qualified plans. Only 6% said they are very likely to discontinue the HSA-qualified plan. And only 7% said they are very likely to move employees to future healthcare exchanges.

Other significant findings include the following:

• The average employer that implemented an HDHP and HSA program has 49% of eligible employees enrolled.

• 69% of employers contributed to their employees’ HSA accounts.

• Employer HSA contributions average $1,000 for individual coverage and $1,500 for family coverage.

• 72% of account holders chose the HSA-qualified plan over other plan options.

• 82% of account holders said that the ability to save tax-free money was extremely or very important in selecting an HSA-qualified plan.

• 79% of account holders say that having an HSA is valuable to them.

• Sixty-four percent of account holders say that their HDHP/HSA combination meets their family’s needs

Every Small Business Needs to Know About These Potential Regulatory Changes

2012-01-05T11:08:00.000-08:00

Our Payroll Affiliate released its list of the top 12 potential regulatory changes that small businesses need to know about in 2012.

• Health Coverage W2 – The IRS further delayed a requirement for smaller employers to report the cost of employer-sponsored health coverage on employee Forms W-2, indefinitely postponing it until further guidance is issued. However, employers that file 250 or more Forms W-2 in 2011 must include this cost on the W-2 starting in tax year 2012. The healthcare amounts reported on the W-2 will be strictly informational and not taxable to the employee.

• Healthcare Reform – The Supreme Court is expected to rule in 2012 on the constitutionality of the individual mandate provision in the Affordable Care Act.

• 401(k) – In 2012, 401(k) service providers will have to make additional fee disclosures to plan sponsors and plan sponsors will have to make additional fee disclosures to participants. Contribution limits will increase in 2012. Regulations will be enacted in 2012 or are under consideration to broaden the definition of a plan fiduciary, make investment advice more accessible to plan participants, and restrict the number of loans an employee can take from their 401(k).

• Job Creation – Congress passed legislation in 2011 to provide a tax credit for hiring veterans. The temporary reduction of employee payroll taxes was due to expire on December 31, 2011, but Congress extended the provision for two more months. A new recapture provision applies to employees who earn more than $18,350 during the two-month period. The tax cut could extend through 2012, pending further negotiations. Congress is considering additional measures, such as earmarking funding for infrastructure projects and passing measures to help small businesses access capital.

• Worker Classification – IRS is allowing eligible employers to reclassify workers as employees in exchange for partial tax relief from past federal employment taxes. In late 2011, the Dept. of Labor agreed to work with the IRS and several states to coordinate enforcement. Legislation in several states to increase fines for worker misclassification may affect employers in 2012.

• Deficit Reduction – Proposed legislation focuses on reducing the deficit through spending reductions and tax increases. Many of the ideas involve reforming personal and business tax and closing of tax loopholes.

• Immigration – The federal government is conducting rigorous worksite enforcement and paperwork inspections of companies of all sizes to crack down on the employment of illegal immigrants. In 2012, state laws will require more private sector employers to use the federal E-verify system for employee verification. Also possible in 2012 are Congressional immigration reform proposals that may include additional federal employment verification obligations.

• Employment Law – Many states restrict employers from using an employee’s credit information in employment-related decisions or are considering these resrictions. The Dept. of Labor and many states have enacted or are considering regulations to provide greater transparency of pay checks. These regulations focus on how workers’ pay is calculated, especially as it relates to minimum wage and overtime requirements.

• Security and Privacy – Cybercrime and corporate bank account takeovers against small businesses are becoming more widespread. Employers should take security precautions, such as using stand-alone computers for online banking; not clicking on attachments or hyperlinks from unknown sources; and working with their bank to implement fraud detection tools on their accounts. Many states have enacted onerous privacy and security breach regulations.

• Dodd-Frank – The sweeping Dodd-Frank financial law is focused primarily on Wall Street reforms and consumer protection. However small businesses may face limited access to credit and higher costs of credit or other financial services because of the increased burden it places on some industries.

• Unemployment Insurance – Virtually all businesses will face higher unemployment insurance taxes if Congress reinstates the federal unemployment surtax. In many states, employers will see higher taxes because of the repayment of outstanding federal loans that were taken to continue paying benefits and replenish depleted state unemployment trust funds. Many states are cosidering additional employer reporting requirements to combat unemployment insurance fraud.

• Taxes – 2012 will bring a number of important tax changes including a higher Social Security wage base and changes to assistance benefit limits. The accelerated depreciation benefits, which were in place in 2011, may expire or be scaled back in 2012. All employers will need to keep an eye on what are likely to be additional tax changes as the year progresses.

Contact us with your questions or concerns and we can assit you and get the answers you need.

800-334-7875 or email; info@amsinsure.com

Employees Don’t Understand Their Benefits

2012-01-05T10:54:00.000-08:00

HR decision makers say that only about 60% of their employees understand their benefits, according to a study. Surprisingly, 36% of large employers and 66% of midsized employers have no budget set aside for employee benefit communications. About half of HR decision-makers say their budget for benefit communications has remained the same in the past year and only a minority expect it to increase in one or two years.

Fifty-one percent of large employers and 72% of midsized companies don’t provide decision support tools to help employees understand their benefits, even though a majority of HR decision makers say that these tools are important. Decision support tools are typically software applications, available through a company website, that allow employees to compare healthcare plans.

The following are the most commonly used decision support tools: a flexible spending account calculator, a plan-comparison chart, a medical-cost calculator, and wellness-incentive modeling. One out of five large companies that do not provide decision support tools plan to do so in the next couple of years. Only 13% of midsized companies that do not provide decision support tools plan to do so in the next year or two. Sixty percent of HR decision makers say that mobile access to benefit information is important, yet only 46% of large companies and 39% of midsized companies provide it.

The following are the mobile application features that HR decision-makers are most interested in: healthcare provider information, benefit alerts, and single sign-on.

Eighty-six percent of large companies and 71% of midsized companies offer employee benefit information online. Eighty-six percent of large and midsized employers with a web-based portal think it is important for employees to have 24/7 access to benefit information, yet only 72% of large employers and 66% of midsized employers provide it.

HR decision-makers say that allowing employees to modify their own data allows them to maintain more accurate information, field fewer calls from employees, and lower their administrative burden. For more information, visit www.ADP.com.

2012 Minimum Wage Rates Guide

2012-01-04T20:35:00.000-08:00

. It is vital for managers to stay in compliance with state and federal minimum wage laws. If the state minimum wage rate is different than the federal minimum wage rate, then the employer should apply the higher rate to its employees.

The 2012 Minimum Wage Guide helps you:
• Get an overview of the federal and state minimum wage rates,
• Determine which rates to provide employees in a particular state,
• Confirm whether current minimum wage law posters are in place, and
• Provides a historical perspective of minimum wage rates in past recent years.

Our HR Support has access to the 2012 Minimum Wage Rates Guide, visit the HR Support Center, see if this is something for you and then ask us how you get it.

info@amsinsure.com

Accident Coverage: Helping Insureds

2012-01-03T21:35:00.001-08:00

Many people think they’re most likely to get injured in a car accident or on the job. But home-related injuries cause nearly 20,000 deaths and 21 million medical visits each year. Unintentional home injuries cost Americans at least $222 billion per year in medical expenses, with an additional $165 billion in medical costs from injuries that possibly occurred in the home. Are you financially prepared for the toll an accidental injury can take? Read on for details.

Existing labor laws updated for 2012

2012-01-01T08:21:00.000-08:00

All employers should begin the new year by considering the changes that have been made, as usual, to California employment laws.

Although none of the new laws that come into effect this year represents a sea change in the world of labor, and many involve obscure issues that will likely not effect the average employer, there are a number of important revisions to existing laws that need to be considered.

Perhaps the biggest change is AB 469, which requires employers, as of today, to provide new hires with written notice of their pay rate, the amount of any allowances (such as meals or lodging), the designated payday, the employer’s name and any fictitious business names, the physical address and telephone number of the employer's main office, information regarding the employer's workers' compensation insurance carrier and any other information the California labor commissioner might determine is necessary.

Fortunately, the law only applies to non-exempt employees and the labor commissioner will prepare a template for employers to follow in making this disclosure.

However, the law allows employees to now collect attorneys’ fees to enforce a judgment for unpaid wages, increases the statute of limitations for the Department of Labor Standards Enforcement to collect unpaid wages from one to three years and makes it a misdemeanor if an employer willfully fails to pay wages within 90 days after a final judgment for wages is issued.

In addition, SB 299 requires employers with five or more employees to maintain and pay for health care coverage under a group health plan for females employees who take pregnancy disability leave. On a related subject, AB 592 revises language within the California Family Rights Act and the Pregnancy Disability Leave law that makes it unlawful to interfere with the exercise of those rights.

Another issue that has endlessly vexed employers, and more than a few lawyers, is whether a worker should be treated as an employee or an “independent contractor.”

The general rule tends to fall within the realm of “you know it when you see it” as California law looks at a series of somewhat subjective factors to determine how a worker should be classified.

The single most important factor is whether the employer has the right to control “the manner and means of accomplishing the result desired.” In other words, does the employer ultimately “call the shots” or is it left to the discretion of the person doing the work.

Secondary factors include whether the person is treated the same or nearly the same as the regular employees of the company (do they receive, for example, the same pay or benefits) and do both the employer and employee believe they have created an employer-employee relationship.

The question of whether to treat a worker as an independent contractor has always been fraught with risk for employers. There are serious tax implications involved, and in California there are potentially expensive wage and hour violations if a person is paid as an independent contractor when they should have been treated as an employee.

New SB 459 adds to the seriousness of the issue by imposing significant penalties on employers who “willfully misclassify” employees as independent contractors. Penalties of $5,000 to $25,000 per violation are now possible under this new statute.

The key issue in the statute is, of course, what does “willfully misclassify” mean? The statute defines the term as “avoiding employee status for an individual by voluntarily and knowingly misclassifying that individual as an independent contractor.”

This doesn’t tell us much other than the courts will apparently look not only at whether a potential employee has been misclassified but also at the employer’s intent in arriving at a classification. Thus, as with all of these new laws, the possibility of getting into serious trouble always exists and employers must tread as carefully as possible.

We offer an HR Portal which can help you stay up with changes, provide all your HR needs and its a free value added service for our clients.

Special Announcement 2012 Key Employment Law Alerts

2011-12-21T11:09:00.000-08:00

Your business must satisfy many workplace obligations especially when it comes to Federal and State law regulations and requirements. It is anticipated that 2012 will continue the increasing trend of new laws that can impact your business.

Today, we offer you a friendly reminder about a great resource - your HR Support Center - designed to help you stay on top of the latest employment law updates. For the most current information regarding the state(s) where you do business, visit your HR Support Center, check out the “Laws” section, and click on the Alerts area. Make sure to visit often as the HR Pros regularly post new alerts.

An additional option to help you get timely employment law updates is to sign up for eAlerts! Within the HR Support Center, simply visit the “My Account” section in order to update your eAlert preferences. Once this is complete, look forward to important announcements emailed directly to your inbox.

If you have any questions, please let us know.

Thank you. info@amsinsure.com

How to Boost Employee Engagement in a Slow Economy

2011-12-14T12:58:00.001-08:00

With companies running lean and mean, none can afford even one disengaged employee, say researchers
You’ve thrown an employee appreciation party. The job satisfaction numbers on the annual survey look decent. Is it time to check “improve employee engagement” off your list?

Not so fast! According to experts, job satisfaction isn’t the most important goal. An “attitude of commitment” to the mission is the key, particularly during tough times, says Kevin Groves, associate professor of organization theory and management at Pepperdine University. Companies should make things like action-learning projects (a group of people from different divisions are invited to work together and tackle a challenge) and job cross-training a part of the daily culture. “Whatever you can do to build networks and allow people to see beyond their silo to how their roles really matter to the company is valuable,” he says.

Marcie Pitt-Catsouphes, Ph.D., director of the Sloan Center on Aging & Work at Boston College and author of Engaging the 21st Century Multigenerational Workforce, agrees.[1] “With companies running lean and mean these days, they can’t afford to have even one employee show up who is not engaged. It can have a major impact on the business,” she says.

Workers who are emotionally engaged in a company’s mission are more likely to tackle tough problems and look for creative ways to expand the business. They contribute more to the bottom line, too: Significantly increasing engagement levels among employees can up their discretionary effort by more than 50 percent, according to research done by the Corporate Leadership Council.[2] In a Gallup study of nearly 8,000 business units across 21 industries, companies whose engagement scores rose into the top 25 percent achieved 7 percent higher productivity.[3]

But the benefits of engagement extend deeper. High engagement allows a company to weather difficult times without excess turnover. “We’ve found [higher engagement] adds to people’s resilience in getting through high-pressure times,” says Pitt-Catsouphes. In addition, engaged employees are healthier, and, over the long haul, less costly workers. “It’s the difference between people who cross the threshold totally wiped out at the end of the day and those who feel invigorated by what they do. Those are the people who are more willing and able to go the extra mile,” she says.

Here are some strategies experts recommend for boosting engagement:

Tailor engagement programs for different audiences. People want to be heard, but what they are asking for varies, Pitt-Catsouphes says. Gen Xers particularly value training and development through stretch assignments, while workplace flexibility makes women and Gen Y workers tick.

Abolish blanket reward systems. Nothing can drain engagement faster than a committed employee who receives the same acknowledgment for meeting a goal as the team’s weak link, says Groves.

Minimize “status” hierarchy. Southwest Airlines, software developer SAS and others foster engaging corporate cultures by having everyone eat in the same cafeteria, follow a similar dress code and park in the same lot. “Symbolic differences can carry a lot of weight. Feeling like ‘I can only communicate with people at my own level’ stymies communication and undermines the feeling that everyone’s commitment matters,” Groves says.

Invest in Wellness. Healthier people are more engaged, according to Pitt-Catsouphes’ findings. While it’s hard to untangle the cause from the effect (does engagement protect against stress, or is it easier to be engaged if you’re feeling well?), the finding underscores the notion that funding for a company gym or nurse hotline is money well spent.

--------------------------------------------------------------------------------

[1] http://www.metlife.com/assets/cao/mmi/publications/studies/mmi-engaging-21st-century-workforce-study.pdf

[2] Driving Performance Through Retention and Employee Engagement, http://www.usc.edu/programs/cwfl/pdf/Employee%20engagement.pdf

[3] http://www.gallup.com/poll/150383/Majority-American-Workers-Not-Engaged-Jobs.aspx

This article was featured in the December 2011 issue of Working Mother Research Institute’s email newsletter, Working Mother Research Institute Essentials. To read additional stories from that issue, see the related content section above. To subscribe to Working Mother Research Institute Essentials, register on the newsletter page of this website.

Flue Season and time for a shot, its simple and easy.

2011-12-07T09:48:00.000-08:00

We are in the FLU SEASON and shots are available at most HMO Medical Groups, and at Walgreens as wellas other retailers. If you have a PPO check to see for coverage's and or use one of the low cost retailers. If you have Kaiser Health Plans you can click on the link below for there locations.

KAISER FLU SHOT LOCATIONS

What is a Tax Deferred Annuity?

2011-12-01T18:53:00.000-08:00

A “tax-deferred” annuity is an annuity in which taxation of interest or other growth is deferred until it is actually paid. The contract owner contributes funds to the annuity in a lump sum or through annual payments to the annuity. The money is then allowed to grow for a period of time on a tax-deferred basis. At a future date the money is “annuitized”, and accumulated funds are paid out, generally through periodic payments made over either a specified period of time, or the life of an individual or the joint lives of a couple.

Annuities are used for many purposes in addition to providing lifetime income. They may be used to accumulate funds for some future event, e.g. education, a court settlement, or a lottery.

What are the tax advantages of an annuity calculator?

What is the future value of an annuity calculator?

Eight Tips for Talking to Your Kids About Their Weight

2011-12-01T18:42:00.000-08:00

Submitted by Timothy Boyer on 2011-12-01

Child Health and Safety Weight Loss Program News Analysis Talking to our children about drugs and sex (but never rock and roll because our tastes are just too out of the times with the current generation’s tastes) has added a new dimension lately—talking to your kids about their weight. Dr. David Katz, an expert on weight management, nutrition and disease warns us that today’s younger generation will not live as long or as healthfully as their parents. He believes that one of the ways to counter this trend is for parents to start talking to their children about weight management and healthy lifestyle choices.

Weight loss and children

The following are eight tips for talking to your kids about their weight printed in its entirety courtesy of Dr. Katz and MindStream Academy - a full-service boarding school for teens and tweens who want to get healthy, fit, lose weight, take control of their lives, build self-esteem, and pursue a personal passion.

1. Put the focus squarely on health and off weight. Whether by default or by design, each family has a health and wellness “culture.” This includes the types of food that are kept in the house, how heavily physical activity is emphasized, what sleep patterns are encouraged, how much health information is available, and more. As a parent, you should emphasize each aspect of this health culture, not just your child’s weight. Remember, healthy weight follows good lifestyle behaviors, but good lifestyle behaviors typically don’t follow weight-loss diets.

2. Recognize that you spend too much time focusing on weight. Most people don’t realize how much they use weight as a yardstick to measure their overall quality of life as well as their worth. For example, how many times have you asked about a piece of clothing, “Does this make me look fat?”—with the understanding that if the answer is “yes,” you’ve somehow failed? That’s why, when broaching the subject of weight with your child (and in your own life), it’s important to stop talking about weight—and even, to some extent, appearance—and emphasize other characteristics. For example, talk about how an unhealthy lifestyle influences your child’s self-esteem and thus demeanor, as well as how he expresses himself and the impression he makes on other people.

3. Ask your child what would help. Yes, you’re the authority figure in this relationship, but it can be a mistake to assume that you know the best way to help your child become healthier. One of the problems with giving support from a position of experience is that you tend to think that your child’s situation is the same as yours, and therefore, the things that worked for you will work for her. That’s not necessarily the case. Instead, it’s always a great idea to ask what your child thinks the best course of action would be. This, Dr. Katz says, is a main talking point when working with the families of MindStream students.

4. Focus on change, even if you run into resistance. The purpose of any discussion about losing weight and living a healthier lifestyle is to bring about change. In other words, talking to your teen about his weight angst for an hour might have some value because it allows him to vent, but try not to leave the discussion there. Try to take one step forward, too, even if your child is resistant to change.

According to Dr. Katz, an effective way to overcome resistance (or even cut the conversation short if things are getting heated) is to get a commitment to make just one change in the next week. That might be anything from drinking fewer sodas and more water to walking three days a week. Dr. Katz adds that focusing on one simple change a week seems manageable (as opposed to dropping 30 pounds, which is overwhelming), and is a very constructive way to move the conversation forward without getting too bogged down.

5. Observe how your child (and the whole family) uses food. Your discussion will be better received and more effective if you are well informed, so before instigating “the talk,” observe how your child uses food. For example, if you see that she eats in order to manage her emotions, you’ve gained an important piece of information about a very damaging habit. The truth is, we aren’t always the best observers of ourselves. So if you can determine whether or not your child is using food as a drug to avoid discomfort or as a stress manager, you’re one step closer to attacking the root of the problem. You can explain to your child that this underlying eating “trigger,” not food itself, is what she’ll need to focus on managing.

6. Don’t be judgmental. One thing is for sure: Nobody is perfect. And another thing is also for sure: If you attack someone, he’ll stop listening to you. Taking those two truths into account, Dr. Katz insists that you should avoid blaming your child at all costs. The fact is, we live in a fat culture, and the majority of Americans are overweight—so in many ways, your child’s struggle isn’t his fault. However, it is his and your responsibility to do something about it. The focus should always be on how you can help your child move forward from here, expressed as lovingly as possible.

7. Walk the walk. In the end, your example is the best way to change your child’s health behaviors. Dr. Katz points out that teens in particular are sensitive to hypocrisy. So if you aren’t ready to make any and all of the changes that you’re asking of your child, don’t instigate the weight discussion in the first place. If you can’t walk the walk, then your actions will simply be encouraging your children to continue with deadly habits that will have a major negative impact on their lives.

Controversial Children's Book Uses Four-letter Word: DIET

8. And if you really can’t get through… Sometimes, despite their best efforts, parents just can’t get a positive response from their children. If this happens in your family, Dr. Katz is adamant that someone needs to have the weight discussion with your child. Getting professional help is always a good idea, but there may be siblings, other relatives, friends, or even teachers who might get a more receptive response. And if all else fails? Well, Dr. Katz insists, all else can’t be allowed to fail. Your child’s life is too important.

Reference: MindStream Academy

Traveling for Health: The Potential for Medical Tourism

2011-11-30T19:22:00.000-08:00

Reportlinker.com is offering a new market research report that looks at the factors driving the growth of the medical tourism industry and identifies the countries that stand to gain the most. It includes a Medical tourism index, which identifies the 20 countries seem to be set to take the lead in the medical tourism industry. For more information, visit www.reportlinker.com.

Business Owners Don’t Agree With Mandates

2011-11-30T19:20:00.001-08:00

Eighty-eight percent of business owners don’t think that it’s right for the Federal Government to force a state resident to buy health insurance, according to The Small Business Authority. In addition, only 9% believe they will have to purchase health insurance from the government while 53% believe the cost of healthcare is going to increase in the next two years. Barry Sloane, Chairman, president and CEO of The Small Business Authority said, “There is wide spread theory that the PPACA will clearly reduce choice for private carriers and allow remaining carriers to continue to raise premiums subject to government regulation.” For more information, visit www.hesba.com.

Retail Medical Clinics See Growing Popularity

2011-11-30T19:17:00.001-08:00

The use of medical clinics in pharmacies and other retail settings increased 10-fold from 2007 to 2009, according to a RAND study. The study was published in the American Journal of Managed Care. The RAND team used data from a commercially insured population of 13.3 million. The strongest predictor of retail clinic use is proximity. Also, females are more likely to visit clinics. Retail clinic patients tend to be 18 to 44. (Those over 65 were excluded from the study.) Also, those from zip codes with median incomes of more than $59,000 are more likely to use retail clinics while those with a chronic health complaint are less likely to use them.

Care initiated at retail clinics is 30% to 40% less expensive than similar care in physician offices and 80% less expensive than similar care in an emergency room. J. Scott Ashwood, the study’s lead author said that the increase in the uses of retail clinics could lower healthcare costs if patients use the clinics as a substitution for other sources of care, but not if patents are visiting retail clinics when they would have otherwise stayed home. For more information, visit http://www.rand.org/newsletters.html

Blue Shield To Provide Rebates

2011-11-30T19:14:00.001-08:00

Credits ranging from 18% to 54% of one month’s premium will appear on December bills as Blue Shield of California fulfills its pledge to limit its net income to 2% of revenue. Blue Shield is giving back the amount collected above 2% to customers and the community. Starting this week, letters will be mailed to subscribers and group customers who are eligible to get a credit. Their December bill will reflect the credit based on their dues/premiums from August 2011. The company will give premium credits back to individual and fully insured group customers based on a percentage of one month’s dues/premium from August 2011:

■Individual and family plan customers will get a credit of 54% of one month’s dues/premium.
Fully insured groups will get a credit of 54% of one month’s dues/premium.
■Groups with shared risk agreements will get a credit of 18% of one month’s dues/premium.
■Customers with fully insured continuous coverage from August 1 through at least December 1, 2011 will get a credit in the bill for their December 2011 dues/premiums (other than government programs whose contracts do not permit such credits) .

The average individual customer will be credited approximately $135 and an average family of four will be credited approximately $420. The range is roughly $40 to $270 for individuals and $220 to $700 for a family of four.

For all fully insured mid/large group customers (51 employees and above), the average credit to the group will be $195 to $230 per member. Employers who pay part of the premium must decide whether and how to apportion it. For small groups (two to 50 employees), the averages are $220 for one employee and approximately $605 for a family of four.

AMS Favorite Links

2011-11-29T12:06:00.001-08:00

Medical Assistance, Evaluation for Companies and Individuals

Business Development, Marketing and Financial

Personal Interest Areas and Government Programs

2011-11-26T07:57:00.000-08:00

Newsletters

Stay up to date with our easy to view and read newsletters; ideas you can put ot use.

Employee Benefit Newsletter
The latest benefit information for Business Owners, HR Managers, CFO's. We cover changing markets and legislation, along with what others are doing today and looking into the future of benefits.

Business Edge Newsletter
Keeping the business owner up to date on financial news, benefits and resources to help manage your business.

Financial Monitor Newsletter
Stay abreast of current financial topics for Individuals and Families.

21st Century Retirement Planning Newsletter
Up to date, informative and packed with ideas you will want to know about now in planning for retirement.

Life and Health Insurance Advisor
The latest information compiled all in one place on health, life style, and other important ideas which you can use today.

Senior Newsletter
Information for the changing needs of seniors and their families.

Voluntary Benefits
Unlock the power of Voluntary Benefits with ideas and information in our bi monthly newsletter.

Business Services from AMSINSURE.com Benefit Consultants

2011-11-20T18:56:00.000-08:00

AMS has developed specialized programs for small business which offer affordable choices in sponsored and voluntary benefits.

Payroll & HR Solutions Links:
Payroll Service Center: superior small business payroll outsourcing company, delivers tailored payroll solutions at 30 to 40% savings to small business arranged by AMS.

HR Support Center: one-stop resource for employee management and workplace compliance information, a no cost value added service of AMS.

Pension Plans
Principal Financial, Transamerica, and 401 K online: National known as state of the art full service turnkey programs with competitive costs.

HSA & HRA PLANS
HSA explained: answers to your questions on how to set up, what can I save, what benefits are funds available for.

Plan and Rate Quotes: Anthem, UHC, Health Net, Aetna, Kaiser

Cobra Administration
Cobra on Q: a self administered plan provided at no cost for the first year. You receive full support and online services.

Conexus: national provider of cobra, section 125 POP and Cafeteria programs.

Voluntary and Discount Plans
Americard: Voluntary low cost discount programs to supplement you employee benefit package. Three levels of to choose from payroll deducted.

Cal Rx Discount Card: a no cost program for those who want to supplement or have no medical coverage. Receive up to 30 % off on Generic and Brand.

The Three Biggest Long-Term Care Insurance Myths (and why you shouldn’t believe them)

2011-11-10T15:08:00.001-08:00

According to the Centers for Medicare and Medicaid, about half of nursing home residents pay for their care out of pocket. A recent survey found a private nursing home room cost a median of $77,745 per year in 2011, up from $60,225 in 2005. Can you afford this? Read on for details.

Small Business can learn from the Big Business; whats important to an employee

2011-11-10T10:14:00.001-08:00

The Googleplex, Google’s corporate headquarters in Mountain View California, is legendary for its perks. Employees have access to unlimited free meals, haircuts, dry cleaning, massages, and even onsite medical care.

Yet earlier this year, when Google interviewed its employees about what they valued most at work, none of these extravagant benefits made the top of the list. Neither did salary.

Instead, employees cited access to “even-keeled bosses who made time for one-on-one meetings, who helped people puzzle through problems by asking questions, not dictating answers, and who took an interest in employees’ lives and careers.”

Employee Satisfaction Drives Voluntary Benefits

2011-11-09T22:41:00.000-08:00

Seventy-five percent of employers say that their top reason for offering voluntary benefits is to expand the benefit options for employees, according to a study by Prudential. Voluntary benefits are optional programs that are 100% paid for by employees. Eighty-five percent of employers offer one or more voluntary benefits including life insurance (63%), disability insurance (56%), and dental insurance (52%), critical illness insurance (35%), and long-term care insurance (33%).

Fifty-one percent of workers cited convenience as the driving factor in purchasing voluntary benefits at the workplace. Fifty-two percent feel that voluntary benefits increase the value of their company’s offerings. Employers judge the success of voluntary benefits by employee satisfaction (47%) and the participation rate (34%). For more information, visit www.prudential.com/benefitsmatter to learn more.

US Treasury Report - Health Care Tax Credits for Clients Go Unclaimed

2011-11-09T12:10:00.000-08:00

The Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act were signed into law in March 2010. Among the credits contained in this legislation was the Small Business Health Care Tax Credit. The credit was designed to encourage small employers to offer health care insurance. It is available only to small employers who pay at least one-half the cost of health insurance coverage for their employees.

The Congressional Budget Office estimated the credit would cost $37 billion over 10 years and that taxpayers would claim up to $2 billion of Credit for Tax Year 2010. However, in a recent report by the US Treaury Inspector General, as of mid-May 2011, just more than 228,000 taxpayers had claimed the credit for a total amount of more than $278 million. An audit to determine whether the IRS adequately implemented and processed the credit found that while their efforts were mostly successful, some improvements are needed since the number of claims for health care tax credits has been much lower than anticipated.

“The Small Business Health Care Tax Credit is an important credit for both small business employers and their employees,” said TIGTA Inspector General J. Russell George in a statement. The IRS sent postcards to businesses that might potentially qualify for the credit to make sure they were aware of it, the IRS did not have ready access to data that would allow it to determine which of these businesses actually offered health insurance to their employees or otherwise qualified for the credit. He believes the report’s recommendations, once adopted, should improve the IRS’s ability to verify claims for this credit.”

Are you the owner of a small firm who is providing health insurance for your employees and paying at least 50% of the premium? Then you may qualify for the “Small Business Health Care Tax Credit”. We suggest you contact your accounting firm to make sure you are receiving the proper credit.

Effective 2010

Small business tax credit: Businesses with fewer than 25 employees and average wages of less than $50,000 could qualify for a tax credit of up to 35 percent of the cost of employees’ premiums

Contact us to learn more about the great small business benefit.

info@amsinsure.com
http://www.amsinsure.com
800-334-7875

Recruiting: Staying One Step Ahead of the Competition

2011-11-08T22:11:00.001-08:00

Whether you run a small, family-owned business or a large corporation, attracting and retaining key employees is challenging. In today's economy, businesses often must compete for skilled and talented employees in the same way they compete for a customer's business. So, how can your business set itself apart and attract talented individuals?

Core Benefits
In addition to a competitive salary, most potential employees have a certain level of expectation concerning benefits. When evaluating prospective employers, they may first look at what core benefits are being offered by each. The following benefits may be among their primary considerations:

Qualified Retirement Plan. With the shift away from defined benefit plans toward defined contribution plans, personal retirement savings are more important than ever, and the 401(k) plan has become a sought-after vehicle for retirement savings. Today, prospective employees often expect, at a minimum, that a plan will be available to them. Plans such as the 401(k) can also be enhanced with employer-matching contributions.
Health Insurance. With escalating health care costs, health insurance is one of the most important employee benefits. Although group health insurance is a fairly common benefit, the details and costs associated with each plan vary, and prospective employees will seek the plan that meets their needs most affordably.

Vacation and Personal Time. As employees seek better work-life balance, the amount of vacation and personal time offered by an employer is often an important consideration. In fact, many individuals value the amount of vacation and personal time available to them, even if they fail to use it all on an annual basis.

Flexibility. Changes in employee demographics have resulted in the need for greater flexibility, and technological advances continue to change the way employees work. Therefore, it is important for businesses to recognize these trends and modify policies for flexible work schedules, as appropriate.

Work Environment. The atmosphere of a place of employment can also be a key factor in employee satisfaction. Prospective employees may consider stress levels, interdepartmental communications, and the appropriation of duties.

Selective Benefits
In some cases, Internal Revenue Service (IRS) anti-discrimination rules limit the benefits received by highly compensated employees. For executive-level employees, there are additional benefits that can be offered. The availability of these selective benefits can distinguish one employer from another.

Executive Bonus Plan. An employer may offer a key employee a compensation bonus to be used by the employee to pay the premium on a life insurance policy. If the employee owns the policy, the bonus amount can be a deductible business expense for the employer. The employee must claim the annual bonus on their tax return as ordinary income. Any death benefit paid to the employee's estate or beneficiary is generally income-tax free.

Disability Insurance. For highly compensated employees, a group disability plan may provide only a limited amount of coverage should they sustain an illness or injury that prevents them from working. To supplement this coverage, an employer may offer additional, individual disability insurance.

Voluntary Benefit Plan. Through a voluntary benefit plan, an employer can offer a menu of benefit options (e.g., dental insurance, disability insurance, etc.) in addition to existing core benefits. Employees choose the benefits that meet their respective needs and pay for them through payroll deductions, as defined by the specific plan. Because voluntary benefit plans are offered in a group setting, costs are generally more affordable than if an employee were to purchase similar benefits individually.

Today's business owners are realizing that a competitive salary is no longer the only factor sought by highly skilled employees. Just as you shop for key employees, they shop for the employer that offers the best combination of salary and benefits for their specific needs. Therefore, employers should consider creating a benefits package that keeps them one step ahead of the competition.

Borrowing Responsibly and Managing Debt

2011-11-08T22:06:00.000-08:00

All business owners prefer to operate in the black. But, taking on debt is sometimes necessary as a company expands or when business slows due to economic volatility. Managing your debt carefully can minimize the cost of carrying debt and make it easier to move back into the black when the market improves.

Before taking out a new loan, make a list of your company's assets that can serve as collateral, including real estate, buildings, and equipment. Then calculate how much financing your business needs, outlining precisely how you plan to spend the money. At the same time, review your current operations, looking for ways to cut unnecessary costs or increase revenues. You may, for example, be able to renegotiate payment plans with suppliers to allow more time to pay off the amounts owed. Similarly, if your company is planning to purchase equipment, consider whether leasing can reduce the amount you need to borrow. Review your invoicing procedures, ensuring that your system for collecting payments is effective.

After you have explored all options for increasing revenue and reducing expenditures, revise your business plan to reflect your current needs. Potential lenders often want to see evidence that your company is run efficiently and that market conditions justify additional outlays. Even if business is down due to the economy, you may, for example, be able to demonstrate that your company is out-performing competitors and is in a position to rebound quickly.

If you wish to borrow money, start by approaching your current bank. While an extension of a line of credit may be sufficient to meet the short-term need for additional cash flow, consider options for locking in a manageable interest rate for any long-term debt. If the amount of money your bank is prepared to lend your company is insufficient, investigate the alternatives. Because lending practices vary, consider applying for loans from a variety of banks, including large institutions, smaller community banks, and credit unions.

For smaller loans, consider approaching a nonprofit lender that provides micro-loans through a program of the Small Business Administration (SBA). These lenders typically extend lines of credit of up to $35,000 and may require applicants to provide evidence that they have been denied a bank loan. Online peer-to-peer lending may also provide a smaller loan. Individuals or businesses wishing to borrow funds on a peer-to-peer website post a listing
for a loan, including information about the amount needed and the rate they believe they can afford. Potential lenders then bid to fund the loan, offering varying amounts and rates.
If you are unable to obtain financing through these channels, investigate other SBA loan programs. Distributed through commercial lenders, loans can be guaranteed by the SBA with favorable terms to qualified borrowers. The 7(a) program makes loans up to $2 million for a variety of purposes, including larger capital purchases or short-term working capital needs. While the loan itself is made by the bank, the SBA limits the interest rates and fees the lender can charge. The SBA's 504 loan program provides growing businesses with long-term, fixed-rate loans of up to $2 million for the purchase of major fixed assets, such as land and buildings. However, the SBA may require personal guarantees from borrowers owning 20% or more of the business.

With the economy in flux, your company may be in a very different position than the last time you sought financing. If an analysis of your current situation reveals a high debt-to-equity ratio, taking out additional loans or credit could expose you to too much risk. To avoid becoming too leveraged, consider looking for new investors. Depending on your needs, your capital requirements may be met through small investments from friends, relatives, business associates, angel investors, or employees. These deals should always be governed by a legal contract defining the terms of the arrangement, including the return on investment for stakeholders and the extent to which investors will be involved in running the business.

Many businesses require financing for short- and long-term needs. Borrowing responsibly and managing debt effectively can help your company minimize the cost of debt, as it is needed.

How Do Your Life Benefits Measure Up?

2011-11-08T22:03:00.000-08:00

In December 2010, the U.S. Bureau of Labor Statistics released “Program Perspectives,” a report on life and disability insurance benefits. Using information gathered in the National Compensation Survey, the report provides an overview of what employers offer in terms of life and disability benefits and participation rates. In this article, we’ll focus on what the report says about life insurance benefits today in the U.S. Read on for details.

Cutting Group Health Costs

HR Tip

2011-11-05T22:11:00.000-07:00

It is an employer's responsibility to track employees' hours and pay accordingly. Employees can be required to turn in timesheets, and pay cannot be withheld as penalty for not turning in timesheets.

AMS offers a value added HR program for clients.

2012 Medicare Premiums, Deductibles and Coinsurance

2011-11-03T12:53:00.000-07:00

A new Capital Checkup that discusses 2012 Medicare premiums, deductibles and coinsurance is available on the Sibson website.

As noted in the Capital Checkup, the standard monthly Part B premium and deductible will both decrease by just over 13 percent. This is a dramatic change from between 2010 and 2011 when they both increased by slightly more than 4 percent and is an even more striking change from between 2009 and 2010 when the increase was 14 percent. However, the 2012 premium will represent an increase for about three-quarters of Medicare beneficiaries who paid the same $96.40 premium in 2011 that they paid in 2010 because of a "hold-harmless provision" in the law. Increases in 2012 Social Security benefits are expected to cover the additional cost for most. The Part A numbers will increase by just over 2 percent.

The Capital Checkup also notes the higher Part B premiums and income-related monthly adjustment for enrollees in Part D prescription drug plans for 2012 that apply for high-income Medicare-eligible individuals.

Benefits and the Coming Employee Retention Crisis

2011-10-27T17:26:00.000-07:00

As the Great Recession has worn on, more and more American companies have been forced to downsize their workforces and replace human capital with technology. The result has been a rapid increase in productivity and record corporate profits.

Unfortunately, those pay-offs have come at a price. Many of the remaining employees are being asked to do more for the same compensation. Although unhappy about this arrangement, after seeing their coworkers laid off, these employees accept the unspoken truth: "Be happy that you still have a job at all." As glad as most are to still be working, their level of satisfaction and their loyalty to the firm have eroded. With fears about job security, and few prospects for changing jobs in today's economic climate, these employees "soldier on," biding their time.

For many companies, this may lead to a rude awakening when the economy eventually revives. The 9th Annual MetLife's ! Study of Employee Benefits Trends offers a warning and clear message to employers: "Reprioritize employee loyalty and satisfaction, or economic recovery may arrive with unanticipated setbacks for retention and productivity."

In other words, happy employees now may mean less turnover later.
The MetLife study revealed a startling statistic: "One in three employees hopes to be working elsewhere in the next 12 months." This is a high level of dissatisfaction and implicit disloyalty. But the study also revealed a disconnect. Employers perceive employees to be more loyal than they are. For this reason, most employers are largely oblivious to the looming retention challenge, and uncommitted to addressing it.

Here are the key numbers from the MetLife study:

• Just 44 percent of small business employees felt loyal to their company in 2010.
• By comparison, 62 percent of the same category of employees felt l! oyal in 2008.
• Meanwhile, 54 percent of employers beli eve their employees feel a strong sense of loyalty to their firm.
• Only 22 percent of employers listed retaining employees as their number one concern, with 33 percent saying...
For more in-depth analysis of what this means to you, click here.

Employers Should Start Preparing to Report Cost of Employer-Sponsored Group Health Coverage

2011-10-21T13:59:00.001-07:00

"To comply with this new requirement, employers should start gearing up to make sure systems are in place to track employee coverage and coordinate with their finance, payroll and human resources staff and vendors to ensure accurate reporting." (Snell & Wilmer

401(k) Participants Are Ready to Plan

2011-10-19T15:37:00.000-07:00

Despite deep economic concerns, retirement plan participants are renewing their focus on retirement savings. Over the past year 41% of participants increased their 401(k) contribution rate (up from 31%); 40% reallocated their portfolios (up from 33%) and 38% reallocated future contributions (up from 29%). In the coming year, participants expect to contribute more to their 401(k) plans. Also, a slightly higher percentage expect to contribute the tax-deferred maximum (11%, up from 8% in 2010).

A resounding 85% of participants are confident in their 401(k) asset allocation; 83% are confident in their investment selection; and 77% are confident in their contribution amount. Thirty-six percent said that a major savings objective is to save for healthcare expenses in retirement, up from 24% in 2010. For more information, visit www.mercer.com.

Gallup-Healthways study shows excessive weight leads to missed work - Articles - Employee Benefit News

2011-10-19T13:30:00.000-07:00

WASHINGTON | Mon Oct 17, 2011 11:05am EDT (Reuters) - Full-time U.S. workers who have chronic health troubles or are overweight cost more than $153 billion in lost productivity each year from absenteeism, according to a Gallup-Healthways study released on Monday.

Gallup-Healthways study shows excessive weight leads to missed work - Articles - Employee Benefit News

National Dental Health Month October 2011

2011-10-18T12:35:00.000-07:00

October is National Dental Health Month!

Time to get your Dental Health Checkup

Exam
Exrays
Ceaning

ALl plans include these feaures and you can have dental health insurance for very affordable rates.

Get Help in understanding your Medicare Options

2011-10-17T14:45:00.000-07:00

Find Benefits Programs...
Get all the benefits you deserve. Find and enroll in federal, state, local and private programs that help pay for prescription drugs, utility bills, meals, health care and other needs.

Get Started
Apply for Medicare Rx Extra Help...
If you are one of millions of people with Medicare who have limited income and resources, apply now for Extra Help through Medicare’s Prescription Drug Coverage. At the same time, you can also start an application for the Medicare Savings Programs and find out if you qualify for other valuable benefits programs.

Get Started
Need Help Paying for Food?
The Supplemental Nutrition Assistance Program (SNAP) (the new name for the federal Food Stamp Program) helps low-income individuals and families buy the food they need for good health. Visit the SNAP Application Forms Service to find your local program, get an application to apply, and search for stores to use the card (includes every state, District of Columbia, U.S. Virgin Islands, Puerto Rico and Guam).

Get Started
Get Eldercare Assistance
Caring for aging parents, elders, and loved ones is challenging. Caring.com provides the expert advice, practical information, easy-to-use tools, and person-to-person support you need to make the journey easier.

Your free and easy 8-week workforce health program

2011-10-04T10:16:00.000-07:00

One extra pound a holiday season: That's what most people gain every year. It may not seem like much, but it adds up. And people who are already overweight tend to gain even more.* Over time, this extra weight can reduce your employees' effectiveness and even lead to major medical risks.

With our free eight-week program, you can cook up some healthy camaraderie from Halloween through New Year's Day. It's an easy way to get your business on the path to workforce health. And it can lead to big changes:

•Higher employee spirit and morale
•Less stress and more productivity
•Lower overall health care costs for you and your employees
Tools to hold off the holiday pounds
In the toolkit, you'll find everything you need to carry out a simple and successful campaign.

•Maintain Don't Gain checklist—a planning tool for you and your wellness team, the checklist includes a calendar and an explanation of the promotional and campaign materials
•Campaign emails (eight in total)—the center of your campaign, each prewritten email shares a challenge, tip, and resource to help your employees stay healthy and maintain their weight
•Promotional materials—get your employees excited about your program with emails and materials you can post around the office
•Employee pledge sheet—allows employees to publicize that they're participating in your program
•Employee tracking tool—gives each employee a place to record their personal progress every week

Download the toolkit (zip file)

How to make smart decisions during health care open enrollment

2011-09-24T20:18:00.000-07:00

Sep 13, 2011 08:55 AM EDT

HSAs often accompany high-deductible plans. With HSAs, consumers pay lower premiums in exchange for higher deductibles. (©Hemera/Thinkstock)

Busting the top 9 myths of credit card usageHow to create a budget on a fluctuating incomeHow to make smart decisions during health care open enrollmentWhat the Fair Debt Collection Practices Act means to youWhat to know about retirement planning nowTeach your kids about spending, saving and debtWhen going back to school, hit the books, not the plasticHow to find quality financial adviceHow to save money on bank fees
By Andrew Housser

As autumn approaches, many U.S. workers will be receiving information about open enrollment periods for health care. During these periods, employees can choose to join or change health insurance plans. Whether this applies to you or not, autumn is a good time to evaluate your health insurance coverage and make sure you have the coverage you need. Here are some suggestions for how to make decisions about medical insurance.
1) Know your coverage option.

Learn about different types of health insurance plans to find out what kind of coverage is best for you and your family. Ask your employer's human resources office for information, and search online. The basic types of health insurance plans are:

1.HMO -- Health maintenance organizations, or HMOs, usually charge lower monthly premiums in exchange for having fewer covered doctors and services you can choose among. If you choose this option, check to see if your doctor is available in the network. These plans also cover preventive care such as annual check-ups. If you go outside the network, though, you won't be covered.

2.PPO -- Preferred provider networks, or PPOs, also use a network approach to limit costs. These plans do allow out-of-network care, but it is covered at a lower rate. Premiums are slightly higher than with an HMO. Preventive care might or might not be covered.

3.FFS -- Fee-for-service (FFS) coverage refers to "old-fashioned" health insurance where the doctor bills for individual services and the health insurance pays for services it has specified, at a pre-determined rate. You might have to pay out of pocket and be reimbursed. Some services will be covered and others will not, depending on the contract.

2) Join forces with employer plans.About 44 percent of U.S. workers are covered by employer-sponsored health plans. Another 25 percent receive government-funded coverage (whether from Medicare, military benefits or another source). These plans are often more affordable and might have more extensive benefits than individual insurance. But for some people, individual insurance is the only option -- or is more cost-effective. Review all your options to find the best one.

3) Evaluate an HSA.Health savings accounts (HSAs) often accompany high-deductible plans. With HSAs, consumers pay lower premiums in exchange for higher deductibles. The consumers then save pre-tax dollars in a dedicated HSA. They can cover the cost of deductibles or pay other medical bills from these HSA accounts, tax-free. HSA funds that are not used in one calendar year roll over to the next. Do be aware that today, however, only certain plans qualify for an HSA. Even if the plan has a high deductible, it might not be designated "high-deductible" for HSA purposes. Usually, premiums are lower for non-HSA plans. Compare the tax savings you would receive with an HSA and expected medical costs to the premium savings for a non-HSA plan before making a choice.

4) Compare apples to apples.Understand what your costs could be with each option. A pricier HMO plan that combines low co-payments, covered treatment for a child -- from wellness to winter colds -- and covered prescriptions might pay off in the end. A high-deductible plan's lower premiums look good, but does your cash flow allow enough flexibility to pay a $500 deductible for a procedure if one is needed during the year. Estimate your anticipated costs over a full year with each health insurance option. Don't forget to include premiums, office visit co-payments, prescriptions, alternative care such as massage and chiropractic, and other care such as mental health care that one plan might cover while another does not.

5) Don't forget Medicare.Medicare open enrollment takes place at the end of each year. During open enrollment, Medicare beneficiaries can choose among different health plan options and coverages. As with any health plan, open enrollment is a good time to check up on the coverage you have selected.

6) Use up FSA balances.A health flexible spending arrangement (FSA) is a tax-benefited account that allows employees to be reimbursed for medical expenses. Employees choose an amount to contribute to their FSA account each pay period. The FSA deductions can be taken pre-tax, with no income tax paid on the amount. Employees then submit proof of medical expenses to be reimbursed by the employer or FSA account administrator. If you have an FSA, plan ahead to use up the entire amount you have deducted from your pay during the FSA plan year. If you do not use it, you lose it -- unlike an HSA, these funds do not roll over from year to year. Open enrollment is a good time to check your FSA balance.

7) Negotiate medical costs.If you have medical costs that insurance does not cover, you may be able to negotiate them. Contact the doctor or hospital's billing office and ask what options they provide. For example, some providers will offer a discount for cash payment or will set up a monthly payment plan.

8) Get a second opinion.Of course, a second opinion can help make sure you receive the right care. But it can also help with your medical expenses. Especially for major procedures, check with several providers to be sure you are paying appropriate costs.

Keeping a close eye on your health care costs can help you breathe easier. It can also help you avoid going into medical debt, one of the most common causes of debt problems. Best of all, you can make sure you are able to receive the health care you need -- without breaking the budget

Learn More about health insurance for business

2011-09-23T13:57:00.000-07:00

Everything small business owners need to know about offering health insurance. An unbiased resource on cost estimates, tax savings, coverage options, legal rights, and more.

So you’re thinking about buying health coverage for your business, but you’re not sure if it’s the right decision. Here you can find clear, independent information on whether group coverage is a realistic option.

If you’ve decided that insurance is right for you, we help you get the job done here. Step-by-step you’ll get organized, find plans that are best for you, read tips on working with a broker, negotiating the deal, and implementing the plan.

Select a topic for answers to specific questions and useful links to other resources.
Benefits, Providers, and Costs

Benefits of Providing Coverage
Cost-Sharing
Choice of Providers
More…

Purchasing Coverage

Plan Value: Balancing Benefits and Costs
Budgeting and Cash Flow
Brokers
More…

Coverage Types

Preferred Provider Organizations (PPOs)
Health Maintenance Organizations (HMOs)
Health Savings Accounts (HSAs)
More…

Laws and Rights

Rights and Rules for Small Employers
Tax Implications
Guaranteed Issue and Renewal
More…

Eligibility and Enrollment

Coverage Rules vs. Options
Eligible Employees and Dependents
Enrollment Options and Procedures
More…

Other Resources

Tax and Business Resources
Insurer Rating Companies
Health Savings Accounts
More…

Looking to learn more:

More Young People have health care today!

2011-09-22T18:17:00.001-07:00

The Department of Health and Human Services announced Sept. 20 that roughly a million more young people between the ages of 19 and 25 have health insurance coverage in the first quarter of 2011 than did in the first quarter of 2010. The National Center for Health Statistics also said the percentage of young people covered has gone up from 66.1 percent to 69.6 percent.

The increase, according to the Department of Health and Human Services, is due to the Affordable Care Act (ACA), implemented in September 2010, that allows children to remain on their parents' health insurance policies until age 26. The act is a provision under President Barack Obama’s health care overhaul, commonly called Obamacare, that was approved last year.

HHS Deputy Assistant Secretary for Health Policy Richard Kronick said because of recent survey results and the sheer number of young people now covered, he feels it’s the ACA that is causing the upswing.

"We feel quite confident in attributing virtually all of this change to provisions in the ACA," he said. “Starting in the fourth quarter of 2010 and continuing in the first quarter 2011, there was a sharp increase in coverage ... At same time coverage was stable or declining slightly for older Americans, ages 26-64. Given that timing ... It's very hard to imagine what else this could be other than the ACA."

What this means is that young adults who were previously dropped from their parents’ insurance in their early 20s – or who were heading toward being dropped because of their age – will now be able to remain covered until their 26th birthday.

Elizabeth Wilson is an aspiring opera singer living in Indiana who was affected by the law and was interviewed by Business Week. When she turned 23, she was dropped from her parents’ health insurance, even though she was in the middle of a health care crisis. At the time she was dropped, she was in the hospital with an inflamed pancreas.

"It means I don't have to spend every penny I make to get health care," said Wilson, who isnow 24. "I can use some of it to further my studies -- or buy food."

The new health care mandates have been nothing if not controversial. Many GOP lawmakers are attempting to repeal the approval of what they call Obamacare, though some of them say they would include the mandate to cover young adults up to age 26 in any replacement legislation that is drafted.

One of the companies that conducted the surveys about the increase in young adults being covered, Gallup, said the age group had been one of the largest groups of uninsured Americans.

"While we did not see a drop-off in any other age group, we did see a drop in this age group," said Frank Newport, Gallup's polling director.

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Californians Are Unprepared for LTC Challenges

2011-09-22T12:55:00.000-07:00

Californians are better informed about long-term care issues than at any other time in the last 17 years. However, but fewer than ever are taking steps to prepare for the need for long-term care, according to a poll commissioned by the Dept. of Healthcare Services’ (DHCS) California Partnership for Long-Term Care.

While Californians are three-times more knowledgeable about LTC costs than at any time since polling began, less than 10% of California seniors have long-term care insurance policies. The following chart lists reasons people give for not purchasing LTC in 1994

companies 2011 1994
59% 60% Policies cost too much

55% 66% Haven’t thought about it

32% 29% Family assets and income will cover long-term care

29% 44% Insurance companies cannot be trusted

28% 26% I will probably never need it

25% 24% Family will take care of me if I need it

21% 27% Too confusing and complicated

19% 28% Existing policies don’t meet my needs

6% 22% Government will take care of me
This question was only asked in 2011 and 2005)

For more information

Employee incentives drive lower-cost health care

2011-09-22T10:26:00.000-07:00

USA Today - Julie Appleby - By Joe Raedle, So this year, she rolled out a plan that sets limits on how much the company will pay toward a range of tests and procedures, ... Safeway employees in the San Francisco Bay Area, for example, face higher payments if they choose centers that cost more than $1500 for a routine colonoscopy. And in January, the giant California Public Employees' Retirement System (Calpers) said it ...READ MORE:

Key Person Disability Income coverage

2011-09-21T11:27:00.000-07:00

Key Person Disablity- This can infuse a sum of cash into a business to deal with a loss of a pertinent member of the staff.
If a business has one, two or more important employees - why not cover them in case they become disabled and leave the office scrambling to cover their loss. This product can pay the business each month - or it can pay one lump sum.

Why Employees may not care? HR Solutions

2011-09-15T13:34:00.000-07:00

Pay only goes so far. Higher salaries are like the bigger house syndrome: Move into a bigger house and initially it feels roomier, but after awhile larger becomes the new normal.

Employees don’t automatically perform at higher levels if wages are higher because commitment, dedication, and motivation are not based on pay. No matter how high the salary, if you treat employees poorly they won’t care — about their jobs or your business.

Here are eight reasons employees don’t care:

1.No freedom. Best practices are definitely important, but not every task deserves a best practice or micro-managed approach. Autonomy breeds engagement and satisfaction. Autonomy also breeds innovation. Even manufacturing and heavily process-oriented positions have room for different approaches or paths. Decide which process battles are worth fighting; otherwise, let employees have some amount of freedom to work they way they work best.

2.No targets. Goals are fun. (I’ve never met anyone who wasn’t at least a little bit competitive.) Targets create a sense of purpose and add meaning to even the most repetitive tasks. Without a goal to shoot for, work is just work.

3.No sense of mission. We all like to feel a part of something bigger. Striving to be worthy of words like “best” or “largest” or “fastest” or “highest quality” provides a sense of purpose. Let employees know what you want the business to achieve; how can they care about your dreams if they don’t know your dreams?

4.No clear expectations. While every job should include decision-making latitude, every job also has basic expectations regarding the way certain situations should be handled. Criticize an employee for providing a refund today even though last week refunds were standard procedure and you’ve lost the employee. (How can I do a good job when I don’t know what doing a good job means?) When standards change, always communicate those changes first — then stick with them. And when you don’t, explain why this particular situation is different.

5.No input. Everyone wants to be smart. How do I show I’m smart? By offering suggestions and ideas. (Otherwise no matter how hard I work I just feel like a robot.) Deny me the opportunity to make suggestions, or shoot my suggestions down without consideration, and I’m just a robot — and robots don’t care. Make it easy for employees to present ideas and when an idea doesn’t have merit take the time to explain why. You can’t implement every idea, but you can make employees feel good every time they make a suggestion.

6.No connection. The company provides the paycheck, but employees work for people. A kind word, a short discussion about family, a brief check-in to see if they need anything… person-to-person moments are much more important than meetings or formal evaluations. Employees want to be seen as people, not numbers. Numbers don’t care. People care — especially when you care about them first.

7.No consistency. Most employees can deal with a boss who is demanding and quick to criticize… as long as she treats every employee the same way. (Think of it as the Vince Lombardi effect.) While it’s okay — in fact necessary — to treat employees differently, all employees must be treated fairly. Similar achievements should result in similar praise and rewards. Similar offenses should result in similar disciplinary actions. The key to maintaining consistency is to communicate; the more employees understand why a decision was made, the less likely they are to assume favoritism or unfair treatment.

8.No future. Every job should have the potential to lead to something better, either within or outside the company. I worked my way through college at a manufacturing plant. I had no future with the company because everyone understood I would only stay until I graduated. One day my boss said, “Hey, let me show you how we set up the job scheduling board.” I looked at him oddly; why show me instead of someone else? In response he said, “Some day, somewhere, you’ll be in charge of production. Might as well start learning now.” Take the time to develop employees for jobs they hope to fill — even if those positions are outside your company. They will care about your business because they know you care about them.

Wellness Awards Shrink Healthcare Costs

2011-08-31T13:31:00.000-07:00

How can employers encourage workers to stop smoking, watch what they eat, consume less alcohol, and take their medicine? One of the most promising ways is to offer incentives under a corporate sponsored wellness program, according to a study from the Incentive Research Foundation (IRF). The study demonstrates that corporate wellness programs have saved more than $3 for each $1 invested. Wellness programs that don’t offer rewards get fewer than one in five employees to participate while those that do offer rewards get four in five employees to participate.

Rodger Stotz, IRF Chief Research Officer said, “The potential savings through preventative healthcare measures that include workplace wellness programs could be as high as $1.9 trillion per year. And this doesn’t even consider productivity gains or worker quality of life improvements.” To view the paper, select the Research tab at www.

The easy way to get a disability policy

2011-08-16T13:22:00.000-07:00

Principal Financial Disability Income- they have a Simplified Plan that is so easy - Up to a benefit of $3,000 a month
All riders available; No blood, urine or exams; No income verification for incomes under $150,000 AND - once the interview is completed - 48 Hour Turnaround!!!! The no hassle disability plan>>>

Remember that loss of income from a disability is 2 X's grater than an auto accident and 3 X's grater than loss from fire.

Motivating Employees to Choose Voluntary Benefits

2011-07-06T19:50:00.001-07:00

Employers can increase participation in voluntary benefits by providing live assistance to explain benefit options and delivering a clear message on disability risks, according to a survey by Sun Life Financial. The majority of respondents said they spent no time reviewing their benefit options. The only exception was medical insurance, for which at least a quarter of respondents reviewed their benefits options for thirty minutes or more. Benefit participation rises when employees get live assistance to learn about benefits options, and online or print assistance to enroll.

Employees incorrectly believed that they had the same chance of needing life insurance as needing short-term disability and long-term disability insurance. Yet statistically, men are twice as likely to suffer a disability as to die during their working years, while women are three times as likely.

Employees misunderstand how different types of benefits provide different levels of financial protection, ranking dental coverage as protective as both short-term disability and long-term disability. However, a household’s financial loss from disability, or worse, from the death of a breadwinner, generally far exceeds the costs of a dental procedure.

Michael E. Shunney of Sun Life’s Employee Benefits Group advised plan administrators put all verbal and written benefits communications into plain language and use the right communications at different stages in the enrollment process; offer live assistance to help people learn about benefits, but provide the independence of online or print forms to let them enroll. Shunney added, “Finally, devise powerful ways that resonate with employees about a sobering theme — that over the course of a working life, we all stand a far greater chance of becoming disabled than of dying.” For the full report, go to

GAO Report Highlights Vital Role of Annuities

2011-07-06T19:41:00.000-07:00

ANNUITIES

A report by the U.S. Government Accountability Office (GAO) provides a strong endorsement of annuities. For its report, GAO interviewed experts about recommended financial strategies for retirees. The financial experts typically recommend that retirees draw down their savings and convert a portion to an income annuity to cover necessary expenses or choose the annuity provided by an employer-sponsored defined benefit pension instead of a lump sum withdrawal. Experts also recommend delaying Social Security benefits until reaching at least full retirement age and, in some cases, continuing to work and save, if possible.

GAO profiled two with about $350,000 to $375,000 in net wealth. The experts recommended that these households purchase annuities with a portion of savings, drawdown of savings at an annual rate, such as 4% of the initial balance, use of lifetime income from the defined benefit plan, if applicable, and delay of Social Security.

They noted that strategies depend on individual circumstances including anticipated expenses, income level, health, and each household’s tolerance for risks, such as investment and longevity risk.

The GAO found that most retirees rely primarily on Social Security and pass up opportunities for additional lifetime retirement income. By taking Social Security benefits when they turn 62, many retirees born in 1943 pass up increases of at least 33% in their monthly inflation-adjusted Social Security benefit levels available at full retirement age of 66. Most retirees who left jobs with a defined benefit pension received or deferred lifetime benefits, but only 6% of those with a defined contribution plan chose or purchased an annuity at retirement. Those in the middle-income group who had savings typically drew down those savings gradually. Nonetheless, 9% of those 65 or older in 2009 had incomes below the poverty level (excluding any non-cash assistance). That compares to a poverty rate of 14.3% for people of all ages.

To help people make these often difficult choices, policy options include encouraging the availability of annuities in defined contribution plans and promoting financial literacy. Certain proposed policies seek to increase access to annuities in defined contribution plans, which may be able to provide them at lower cost for some people. However, some pension plan sponsors are reluctant to offer annuities for fear that their choice of annuity provider could make them vulnerable to litigation.

In addition to the current emphasis on saving for retirement, other proposed options aim to give consumers a better understanding of the risks and the choices that are available for managing income throughout retirement. Proposed options include providing additional federal publications and interactive tools, having sponsors issue notices to plan participants on the financial risks and choices they face during retirement, and providing estimates on lifetime annuity income on participants’ benefit statements.

What are the tax advantages of an annuity calculator?
What is the future value of an annuity calculator?

Healthcare Consumer Confidence Improves

2011-07-06T19:35:00.000-07:00

Americans’ confidence in their ability to access and pay for healthcare improved for the second straight month in June, according to survey by Thomson Reuters. The Thomson Reuters Consumer Healthcare Sentiment Index rose from 98 to 99 and is up four points since hitting a low of 95 in April. In June, prospective consumer sentiment jumped to 100, which is three points higher than in May. Consumers predicted that they would be better able to pay for healthcare services and insurance and less likely to cancel or delay services.

The index also tracks whether they postponed, delayed, or cancelled healthcare services and whether they had difficulty paying for medical care or health insurance over the past three months. In June, retrospective consumer sentiment was unchanged from the previous month, remaining at 98. A full report on the June results is available here:
http://healthcare.thomsonreuters.com/Indexes/assets/CHSI_Findings_June_11.pdf

Want Performance? Pay for It - Talent Management magazine The Business of Talent Management

2011-06-23T17:59:00.000-07:00

Establishing a pay-for-performance strategy can be tough, and many talent managers don’t bother. With the right vehicles in place, it can be done, and it works.

click on the link to learn more.

Life Insurance After 50

2011-05-31T07:58:00.000-07:00

If your term life policy is ending but your needs continue, consider the cash-value alternative.

By Kimberly Lankford, Contributing Editor
From Kiplinger's Personal Finance magazine, June 2011

For anyone weary of writing checks to pay for life insurance, retirement used to spell relief. With the mortgage paid, the kids on their own, and Medicare and Social Security on the way, common sense suggested you could safely let your insurance expire. But now many fifty- and sixtysomethings don't have the flexibility to shorten the life of their life insurance. Life expectancies are longer, and the expenses that the death benefits were earmarked to take care of are hanging around longer, too. You may be retired, but you haven't retired your mortgage. Without a pension, your spouse may need an extra financial safety net after you die. And what if your children aren't self-sufficient? Read more:

Factors That Will Affect Healthcare Costs in 2012

2011-05-25T15:58:00.000-07:00

U.S. employers can expect to see healthcare costs rise by 8.5% in 2012, compared to an increase of 8% in 2011, according to a study published by PwC’s Health Research Institute. However, mitigating changes in health benefit plan designs, including increased cost-sharing with employees, could keep employers’ costs increases to an average of 7% next year. Meanwhile, American workers are beginning to show signs of post-recession stress and the effects of delayed care is taking a toll on their health.

The slow economic recovery, unemployment, and reduction in disposable income have caused Americans to seek fewer healthcare services, which led to lower-than-expected growth in employers’ medical cost trends in 2010 and 2011. Based on interviews with health plans, PwC had projected a 9% increase in employer medical costs. However, low utilization led to adjusted estimates in the medical cost trend to 7.5% for 2010 and 8% for 2011 before benefit plan changes. The end of subsidized COBRA coverage in 2010 is offsetting otherwise rebounding utilization growth rates so far in 2011, but employers and health plans expect pent-up demand to put upward pressure on medical costs in 2012.

To help employers design their health benefit, PwC’s Health Research Institute provides annual estimates of how private medical costs will grow over the next year and what the leading drivers of the trend are expected to be.

In this year’s report, PwC identifies three factors that are likely to inflate the medical cost trend in 2012:

We can show you how to save money on your health care costs:

Group Health Plans

Small Business (2-50 Employees)

Individual / Family Health Plans

Healthcare Costs Trends Slow Down

2011-05-25T15:55:00.001-07:00

Healthcare costs continue to rise, but at a declining rate, according to a report by the S&P Healthcare Economic Commercial Index. The cost of healthcare services covered by commercial insurance and Medicare programs increased 5.77% in 2011. David M. Blitzer, Chairman of the Index Committee at Standard & Poor’s said, “If you look over the last year or so of data, it is apparent that the rates of increase in healthcare costs continue to slow down.” Blitzer said that most of the annual growth rates peaked in the late winter/early spring of 2010. Since then, most of these rates have fallen by two percentage points or more.

The biggest slowdown has come from the Hospital Medicare Index, where the annual growth rate fell from 8.30% in August 2009 to 1.18% in March 2011. “On the other hand, we have not seen an equal trend for the Hospital Commercial Index where the annual growth rate peaked at 9.36% in May 2010 and is still reporting a healthy 8.36% as of March 2011,” he said. Blitzer said that two things may explain this phenomenon: costs for Medicare patients are being better contained than costs for patients with commercial insurance plans. Also, hospitals are using more procedures and services covered under commercial plans, contributing to the increase in total costs.

The index is virtually back to the lowest annual growth rate in its six-year history, which was 5.76% in June 2007. The highest annual growth rate was during the 12-months ending May 2010, when it posted 8.74%. In the following 10 months, the index had a sharp deceleration, down 2.97%. Over the year ending March 2011, healthcare costs covered by commercial insurance rose by 7.57%. Medicare claim costs rose 2.78%, which is the lowest annual rate of growth posted for the Medicare Index in its six-year history.

For more information, visit www.standardandpoors.com

IRS Announces 2012 Cost-of-Living Changes for HSAs

2011-05-25T15:54:00.000-07:00

The IRS released the 2012 cost-of-living adjustments affecting HSAs. The HSA contribution limits and HDHP out-of-pocket maximums will increase slightly while the HDHP minimum required deductibles remain unchanged. Here are the details:

•    HSA Contribution Limits — The 2012 annual HSA contribution limit for individuals with self-only HDHP coverage is $3,100 (a $50 increase from 2011) and the limit for individuals with family HDHP coverage is $6,250 (a $100 increase from 2011).

•    HDHP Minimum Required Deductibles — The 2012 minimum annual deductible for self-only HDHP coverage remains $1,200 and for family HDHP coverage remains $2,400.

•    HDHP Out-of-Pocket Maximum — The 2012 maximum limit on out-of-pocket expenses (including items such as deductibles, co-payments, and co-insurance, but not premiums) for self-only HDHP coverage is $6,050 (a $100 increase from 2011), and the limit for family HDHP coverage is $12,100 (a $200 increase from 2011).

For more information visit http://www.irs.gov/pub/irs-drop/rp-11-32.pdf.

New Wage and Hour Division

2011-05-10T18:43:00.001-07:00

The Wage and Hour Division (WHD) of the U.S. Department of Labor (DOL) underwent several new developments to be effective on May 5, 2011. The developments relate to amendments made to the federal Fair Labor Standards Act (FLSA) and the Portal to Portal Act. Based on the updated federal regulations that may be different from regulations in your state, the following illustrate some of the major provisions:

• Tips and Wages. As long as an employee’s pay (plus tips) equals or exceeds the federal or state minimum wage (whichever is higher), an employer may pay a non-exempt employee (who earns tips) less than the minimum wage and may use the individual’s tips to make up any difference. In addition, an employer should notify employees of any tip credit usage, and the employees are to keep all tips received unless tip pool amounts are to be shared among those who customarily earn tips. Also, while the FLSA does not impose a maximum contribution to a valid tip pool, an employer must notify employees of any required contribution amount. (Note: The DOL raised the maximum federal tip credit from $4.42 to $5.12 per hour.)
• Sub-minimum Wage. An employer may pay an employee (who is under 20 years of age) a sub-minimum wage of not less than $4.25 per hour for the employee’s first 90 calendar days of employment.
• Stock Options. Stock options are to be excluded from the calculation of an employee’s regular rate of pay.
• Fire Protection Activities. Regarding employees involved in fire protection activities, the amount of non-exempt work in which such an employee (considered as exempt) may participate is not limited. Regarding exempt employees engaged in law enforcement activities, however, a 20 percent limit for such work remains in effect.

More developments and updates from the WHD continue to be expected. So, in the efforts of protecting against costly compliance violations, be sure to take the time to learn about how these and other new provisions could impact your business.

Good News for Businesses, Obama signs Repeal of ACA 1099 Mandate

2011-04-28T11:55:00.000-07:00

President Obama Signs Repeal of ACA 1099 Mandate

On April 14th, President Obama signed legislation approved by the U.S. Senate, repealing the Internal Revenue Service1099 tax reporting provision of the Affordable Care Act (ACA). The 1099 provision would have required businesses to file an extended 1099 form for payments made for goods and certain services.

Americans would be in trouble if they lost their paycheck.

2011-04-19T16:45:00.000-07:00

70% of working Americans would be in trouble within 1 month if they lost their paycheck.

This from a study by the Life and Health Insurance Foundation for Education. There is a GREAT need for disability income protection - make you are not left out without income.

Find out more on how to protect your paycheck?

Many Small Business Owners Would Use Health Care Exchanges

2011-04-06T19:59:00.000-07:00

Fifty-five percent of small business owners surveyed by Pacific Community Ventures said they would be likely to participate in the healthcare exchanges set up by the state. When given basic information about the exchanges, 55% said they would be likely to participate and 32% of those not offering coverage said they would be more likely to offer it because of the exchanges.

Also, 43% of small businesses that don’t offer insurance said they would be more likely to do so after learning about small business healthcare tax credits, according to the survey of 804 California small employers with fewer than 20 workers. However, 48% of small employers in the state are unaware of provisions in the law that will benefit small businesses.

Fifty-seven percent of small businesses don’t know about the small business tax credits they can claim this year to offset healthcare costs and 62% don’t know about health insurance exchanges.
• The survey also includes the following findings:
• 52% of small businesses that offer insurance said they would be more likely to continue providing it because of the small business healthcare tax credits
• 35% of small businesses that offer insurance said the exchange makes them more likely to continue providing coverage
• 30% said the exchange is more attractive if employee choice is included
• 45% identified as Republicans, 26% as Democrats, and 21% as Independents.

For more information on the survey results, visit http://www.pacificcommunityventures.org/insight/businesses

Free Link Exchange, Reciprocal Link Exchange, Link Exchange Directory | Exchanges.net

2011-04-05T21:29:00.000-07:00

Free Link Exchange, Reciprocal Link Exchange, Link Exchange Directory Exchanges.net

How the State of California is Implementing Health Reform

2011-03-30T20:32:00.000-07:00

In just one year, hundreds of thousands of Californians have benefited from the Affordable Care Act (ACA), according to a report by Linda Leu and Anthony Wright of Health Access. Their detailed report explains how access to healthcare in California is changing as a result of health reform. The following is a summary of the report including descriptions of actions that the state has already taken to implement healthcare reform as well as pending legislation.

By this time next year in 2012, even more Californians will see additional benefits from the Affordable Care Act, most notably low-income adults getting county based coverage. In addition, California’s Exchange will be putting the pieces together to begin enrollment in late 2013.

California, which has been trying for years to reform healthcare on the state level, was quick to take advantage of the new benefits and opportunities. This includes applying for new federal grants, passing legislation to implement and expand upon federal law, negotiating a Medicaid waiver with the federal government, and issuing new regulations and oversight of insurers.

On September 30, 2010, then-Governor Arnold Schwarzenegger signed about a half-dozen bills passed by the California State Legislature, bringing state law into compliance with the ACA. In some cases, the laws go beyond federal requirements. The legislature has introduced more than a dozen bills to continue to implement the federal health law.

Health Access says that California will need to adapt its individual market laws to the Affordable Care Act by January 1, 2014, so insurers cannot deny people with pre-existing conditions or charge different rates to cover them. The Pre-existing California Insurance Plan (PCIP) is ramping up its outreach and enrollment efforts, so the state can draw down as much of the $761 million (and potentially more) of federal funds available for California. The following is a description of how specific programs have changed.

Small Business Tax Credits
(Editor’s note: Small businesses will get incentives to purchase coverage through state-run health exchanges.) Starting in March of 2010, small business owners became eligible for tax credits of up to 35% of the their contribution to a health plan. Beginning in 2014, if they purchase coverage through an exchange, they will get tax credits of up to 50% of their contribution.

The tax credit applies to employers with fewer than 25 full-time employees that contribute at least 50% of the total premium. The full credit is available to businesses with fewer than 10 employees averaging less than $25,000 annual wages and phases out at $50,000. Non-profits qualify for up to 25% in tax credits.

The Healthcare Exchange
A lot of work is needed to get California’s Healthcare Exchange program ready for implementation by 2014 including hiring staff, building IT systems, providing for easy enrollment in coverage and eligibility in getting federal subsidies, organizing the marketplace so consumers can make good decisions, and setting up processes to negotiate for the best value for individuals and small businesses. Four of the five appointments to the Exchange board have been made and a first meeting is expected in the next month.

Rate Reviews
California received $1 million in federal funding to ramp up rate reviews. The Department of Insurance and Department of Managed Healthcare will be implementing new rate review procedures and looking closer at insurance company rate filings. AB 52 (Feuer), which would give the state the authority to approve or deny rates, is pending in the Legislature. Another bill, AB 51 (Alquist), would conform state law to the new rules on medical loss ratios; so at least 80% to 85% of premium dollars go to patient care, rather than administration and profit.

Small Group Rating
A bill in the California Legislature this year, AB 1083 (Monning), would establish reforms in 2014, so that small businesses don’t face price hikes when a few of their workers get sick.

Preventive Care Requirements
Up to 31 million Americans are expected to benefit from the requirements for private health plans to offer preventive services with no cost share for consumers. Many screenings, immunizations, and other preventive services are now available to consumers with no co-payments, co-insurance, or deductibles. Last year, Governor Schwarzenegger signed, AB 2345 (De La Torre), which puts the federal protections into California law.

Rescission Restrictions
Health plan rescissions had already decreased in California due to increased media and regulatory oversight, but legislative action was still pending. In 2010, Governor Schwarzenegger signed AB 2470 (De La Torre) to implement the new federal standards for rescission. California improves upon federal law with requirements that insurers continue coverage pending determination of rescission.

Lifetime Caps on Coverage
On September 23, 2010, the ACA required plans to begin phasing out annual limits. ACA bans all lifetime limits.

Coverage For Young Adults
An estimated 196,000 young adults are now eligible to stay on their parents’ coverage. Starting September 23, 2010, the ACA allowed parents to keep their children on their health insurance plans up to age 26. This could assist up to 4 million young adults nationwide and 196,000 in California. In 2010, California passed SB 1088 (Price), which conforms state law to federal law with regard to this new option for children up to age 26. CALPERS reports that 27,000 young adults are getting such coverage among its membership.
Starting in 2011, young adults who meet certain income requirements will also be eligible for the Low-Income Health Programs, which are county-based Medicaid expansion programs. In 2014, young adults will be among the nearly four million Californians who can get income-based subsidies for purchasing coverage through the Health Benefits Exchange.

Medicare Expansion
As many as 269,623 seniors and people with disabilities in California fell into the Medicare Donut Hole last year — a gap in coverage that required them to pay thousands of dollars out of pocket for prescriptions. Last year, 269,623 beneficiaries in California got $250 rebate checks. Starting in 2011, a 50% discount on prescriptions will close the coverage gap further. Additional measures will phase out the gap over the next several years. Preventive services, such as colorectal cancer screenings, mammograms, and annual wellness visits are now available to seniors enrolled in Medicare with no copayments, co-insurance, or deductibles. This will mean savings to 4.5 million seniors in California.

Over the next 20 years, the Affordable Care Act will slow Medicare spending by reducing waste, fraud, and abuse. These fraud prevention measures and other savings are expected to extend the financial solvency of the Medicare program by 12 years. These measures are also expected to lower out-of-pocket costs to beneficiaries. In 2018, beneficiaries can expect to save almost $200 a year in premiums and more than $200 a year in coinsurance. At the state level, one bill in consideration, AB 151 (Monning), would ensure guaranteed issue for seniors who switch from Medicare Advantage plans to Medi-gap coverage, regardless of health status.

Coverage For Pre-Medicare Retirees
Under ACA, $5 billion is available for a new reinsurance program to provide financial assistance to employers and union based plans covering early retirees ages 55 to 65. This includes 430,000 Californians who retired before they were eligible for Medicare. More than 100 California employers, union trusts, and others have received funding. A number of states have used reinsurance to lower premiums for small businesses. Savings for the plans will have to be used to lower costs for the enrollees.

Enrollment in Public Health Programs
Health Access said that California needs to streamline its eligibility and enrollment systems to make it easy to enroll in Medi-Cal, Healthy Families, subsidies in the new Exchange, or private coverage.

Medicaid Funding
A new Medicaid waiver, approved last year, takes advantages of opportunities under the ACA to provide $500 million in state budget fiscal relief to help prevent further Medi-Cal cuts. The ACA also establishes funding for innovations like healthcare homes and community health teams. It also increases funding to community clinics that provide Medicaid services and increases provider reimbursement in 2013.
California must conform to Medi-Cal rules in order to expand the program, in 2014, to those who are up to 133% of the poverty level — including adults without children at home. The federal government will fund 100% of the coverage of newly eligible enrollees for the first three years. The state must reform eligibility and enrollment procedures to streamline how Californians get coverage, so that it will be ready to enroll as many Californians as possible. Several bills advance these goals, including AB 43 (Monning), SB 677 (Hernandez), AB 1296 (Bonilla), AB 714 (Atkins), and AB 792 (Bonilla).
All California counties are working on plans to implement Low Income Health Programs. These programs use existing county health dollars and new federal matching funds to provide coverage to low income adults earlier than 2014. Under the state’s Medicaid waiver, counties can begin providing Medicaid-like coverage, this year, to medically indigent adults up to 200% of the Federal Poverty Level through the Low Income Health Programs (LIHP).
Implementation of the Medicaid waiver will continue including efforts to monitor how public hospitals are meeting their goals to improve quality and capacity. Starting this year, $9.5 billion in new funding will allow health centers to expand their services. They will be able to treat an additional 20 million patients and expand their medical, oral, and behavioral health services. Health Access says that Congress needs to protect funding for community clinics.
For more information, visit www.health-access.org.

Amsinsure.com - Torrance, CA - Insurance Agent in Torrance, California

2011-03-29T21:51:00.000-07:00

Amsinsure.com - Torrance, CA - Insurance Agent in Torrance, California

SIS Rider - Social Insurance Supplement Rider --- What is this?

2011-03-29T18:35:00.000-07:00

This is a rider that can be added TO A DISABITY POLICY that reduces the premium by a small amount. The client still gets the full benefit amount at claim time (both base and SIS rider amounts). However - it requires the client to apply with social security, or any other social benefit that might be available. IF social security pays anything - then that benefit is integrated dollar for dollar with only the SIS rider amount. Unless it is required by the company - is this rider worth it? Call and we will let you know what is best for you.

Integrated Delivery Health Plans Score Higher with Members

2011-03-23T19:30:00.000-07:00

Health plans members are more satisfied with health plans that share characteristics of integrated delivery systems (IDS), according a J.D. Power study. Another major finding is that, in 2011, member satisfaction with health plans, in general, is at the lowest point since the study’s inception in 2007, averaging 696, compared to 701 in 2010. Member satisfaction with coverage and benefits has decreased slightly. Members expressed considerable declines in satisfaction with communication, claims processing, and statements.

Now in its fifth year, the study measures member satisfaction among 137 health plans in 17 regions throughout the United States by examining seven key factors: coverage and benefits, provider choice, information and communication, claims processing, statements, customer service, and approval processes.
Satisfaction with integrated health plans, such as Health Alliance Plan and Kaiser, averages 741 on a 1,000-point scale compared to 691 among members of plans where care is not integrated. In addition, members of integrated plans have a better understanding of their coverage and the processes necessary to get services. Sixty-three percent of integrated plan members say they completely understand the benefits covered, compared to 52% of non-IDS plan members. Forty-four percent of IDS plan members say they completely understand how to get preventive services while just 24% of non-IDS plan members say the same.
Richard Millard, senior director of the healthcare practice at J.D. Power said, “An advantage of these plans is that interactions center on the member as a patient because the provider and plan are integrated. The higher level of satisfaction with integrated plans is particularly important with the passage of the Affordable Care Act, which will result in the creation of accountable care organizations modeled after the IDS approach.
Members of integrated plans tend to be more satisfied with information and communication as well as coverage and benefits. “Information and communication remains the factor with lowest satisfaction among all plans, possibly reflecting the increasing complexity of health benefits. Because members are increasingly concerned about the uncertainties surrounding cost and coverage, plans that focus on delivering useful information to manage these changes tend to earn higher satisfaction scores,” said Millard.
Fifty-seven percent of health plan members chose to make changes involving cost or coverage during the past year or were required to do so – continuing a trend in which more members say they are powerless to control their healthcare costs.
With individual plans, satisfaction averages 667 points compared to 700 points with group health plans.
Exchange-based purchasing may result in further growth of the individual market, but it is not yet well understood. However, only one-half of all members think that by 2014 they will continue to purchase health insurance as they do now.
For more information, visit http://www.jdpower.com/healthcare/ratings/member-health-plan-ratings

What employers should know; Non Discrimination by employers in Health Benefits is comming!

2011-03-14T20:57:00.000-07:00

Non-discrimination testing, is going to be very similar to non-discrimination testing for pension and 401k plans but specifically relates to the components of the health insurance coverage versus the employer contributions to the premium cost. The testing will look at items such as deductibles, co-pays, coverage, etc. and ensure that the highly compensated individuals are not receiving a "richer" benefit than the non-highly compensated, similar to retirement plan testing.

All non-discrimination testing related to health care programs will commence in 2014, or at least that is the predicted date at this point in time. Employers, however, should be thinking about requirements that will begin in 2012 for the reporting of employer contributions to health care premiums. This information will have to appear on W-2's given to employees in 2013 for wages, etc., earned in 2012.

Opportunities Grow for Workplace Disability Sales

2011-03-09T20:08:00.000-08:00

Seventy-one percent of companies surveyed said that group long-term disability insurance is extremely or very important. The study by Mass Mutual and The American College also reveals that many companies have shortfalls in their plan designs. On average, only 60% of employees’ base salary is covered by a group long-term disability insurance program. Only 27% of group long-term disability insurance programs include variable compensation — leaving bonus and commission income unprotected.

The majority of group plans offer a basic foundation of coverage, but limit benefits for high earners. Surprisingly, just one-quarter of companies are considering making changes to their group long-term disability insurance program.

Tara Reynolds, cor

porate vice president for MassMutual said, “It’s a real travesty that employees are being left exposed when they don’t need to be and when they may not be aware of it. While group long-term disability programs provide strong foundational coverage, they may not meet the needs of all employees and they do not cover all sources of employment income.” The opportunity to purchase buy-up coverage through a group long-term disability insurance program is not widespread, with only 25% of employers offering this option to some or all employees. Only 15% of companies surveyed offer individual disability income insurance to supplement their group plan. Cost and administrative burden were cited as reasons why companies do not offer individual disability income insurance coverage, along with the option that employees can purchase it on their own outside of work.

The study points out that individual disability income insurance can provide consumers with portable protection. Employ

ees who purchase individual coverage through the workplace get discounted premiums and simplified underwriting. For increased protection, employees can select riders for catastrophic coverage or retirement contribution protection. For more information, visit www.massmutual.com/DIstudy.

Health Savings Accounts Surpass $10 Billion in Total Deposits

2011-03-09T20:01:00.000-08:00

Health Savings Accounts (HSAs) surpassed $10 Billion at year-end 2010, according to a survey by Devenir, an investment firm that specializes in providing investment options for HSAs. HSAs continue to see dramatic growth as the total number of HSA accounts rose to 6.2 million with assets totaling almost $10.1 billion, a year over year increase of 27% for accounts and a 41% increase in assets.

Jon Robb, lead research associate with Devenir said, “The industry has experienced tremendous growth and is likely to continue growing at this pace.” However, when looking back at a number of HSA market reports dating back 2005 to 2007, almost always the conservative 2010 projections were the most accurate. Taking this into consideration, Devenir conservatively projects the HSA market to reach $61 billion in assets by the end of 2015. Devenir also projects that HSA investment dollars will continue to grow quickly as health savings account user’s balances become larger, representing 17% of all HSA assets by the end of 2015.

The top five custodians hold over $4.4 billion in HSA assets amongst almost 2.7 million accounts, accounting for 44% of all HSA assets. The average account balance grew almost 11% in 2010 to $1,627. HSA investment assets reached $725 million in 2010 (102% year over year increase) and are projected to reach $10.3 billion by end of 2015. For more information, visit www.devenir.com.

The Top Employee Wellness Concerns

2011-03-03T11:39:00.000-08:00

More than one-third of employees say that weight loss is their top health concern this year and 23% say stress is their main health concern, according to a poll by ComPsych Corporation. Dr. Richard A. Chaifetz, Chairman and CEO of ComPsych said, “With more and more individuals slipping into the overweight category, it’s no surprise that weight management is a top issue this year.

Stress levels are also unusually high, given the additional workloads many have taken on during a recovering economy.” Employees were asked: Which health issue are you most trying to stay ahead of this year? They said the following:

39% cited losing weight.
23% cited reducing stress.
22% cited exercising.
7% cited improving diet.
5% cited quitting smoking.
4% cited other.

We can assist you in putting together a program for you company; info@amsinsure.com

Obama Would Allow States To Opt Out Of Healthcare Law In 2014

2011-03-01T09:50:00.000-08:00

Media reports and analyses are treating the President's announcement that he was endorsing an accelerated schedule to allow states to opt out of his healthcare reform law as a significant concession to his Republican opponents, as well as an attempt to reach out to the nation's governors grappling with budget deficits. Ultimately, however, some of the law's supporters argue that the President's announcement will enhance the Administration's legal case as it strives to defend the law in court.

The story generated print coverage and some cable and local TV reports, but was not mentioned on the network newscasts. USA Today (3/1, Wolf, Jackson) reports that in his remarks, Obama endorsed legislation originally proposed by Sens. Ron Wyden and Scott Brown which "would give states" the freedom to opt out of the legislation, though not "entirely," by 2014. Still, "key requirements would remain, such as those prohibiting insurers from canceling coverage because of pre-existing conditions."

Many More Workers Are Taking Advantage of Their Wellness Benefits

2011-02-17T14:27:00.001-08:00

Achieving better health is the top reason American workers (43%) say they participate in a wellness benefit program or would participate, according to the latest Principal Financial Well-Being Index. Other reasons include reduced personal health care costs (33%) and a greater chance of living longer and healthier lives (31%).
The survey also found that 53% of workers use weight management programs offered by their employers — a 25% increase over last year. There was a 21% increase in workers’ use of personalized action plans for high-risk conditions to 68%, and an 18% increase in workers’ use of blood sugar screenings to 84%.
Forty-three percent of workers agree wellness benefits motivate them to work harder and perform better. Twenty-eight percent say they have missed fewer days of work as a direct result of participating in a wellness program and 38% attribute wellness programs to improved energy and productivity at work. Forty-eight percent said that their wellness benefits encourage them to stay in their current employment situation.

Many Employers Want Healthcare Reform to be Repealed

2011-02-17T14:24:00.000-08:00

Sixty-two percent of employers say they hope healthcare reform is repealed, according to a study by Market Strategies International.

Seventy-two percent of employers say they don’t believe that healthcare reform will reduce their healthcare cost burden. This finding is independent of firm size and whether the firm offers employee health benefits. Sixty-three percent of employers don’t think that healthcare reform will make their business more competitive from a cost standpoint or more competitive in attracting and retaining employees.

However, 70% believe that some parts of healthcare reform should stay in place and 58% believe that reform was long overdue.

Whats new in a Disability Income Policy

2011-01-11T21:32:00.000-08:00

1. Critical Illness - Return of Premiums
If a policy owner with a Critical Illness contract in force (Assurity or Mutual of Omaha) - the company will refund 100% of the premium paid by the client - less any benefits paid.

2. COLA - it isn't the same for every carrier.
Some carriers are simple, some are compound. Some are a flat rate, some are geared to the CPI. For young clients - it is good to know what you are receiving.

3. Prudential LTC - they actually have 3 different kinds of products under one policy chassis.
.Reimbursement, partial cash and full cash. Let us get you runs on all 3 for and we will let you know the why's and wherefore's of the premiums differences.

4. Guaranteed Renewable vs Non-Cancelable. Do you know the difference?
Guaranteed Renewable says that as long as you pay the 'billed' premium - there is coverage. The company does have the ability to increase premiums. However, they have to prove to their state commissioner that they had an unprecedented amount of claims that the didn't expect. Plus they have to do so on a whole class of clients. Non-Cancelable - says that the company cannot increase premiums.

Traveling in 2011 Don't forget to take a travel medical plan with you

2011-01-07T14:58:00.000-08:00

I have medical insurance, so why would I need a travel medical policy? My insurance requires me to pay the bill and then be reimbursed or I am hurt or sick and want to get home for medical care, the repatriation benefits can do what no other insurance can do.

Interactive Travel Insurance Guide

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Health Spending Grew At Slowest Pace In 50 Years.

2011-01-06T13:19:00.000-08:00

Media outlets widely covered a CMS report that showed the recession hindered Americans' spending on healthcare, but most sources still expressed concerns that healthcare expenditures continue to grow unchecked. The New York Times (1/6, A19, Pear) reports, "Total national health spending grew by 4 percent in 2009, the slowest rate of increase in 50 years, as people lost their jobs, lost health insurance and deferred medical care, the federal government reported on Wednesday." Nevertheless, "health care accounted for a larger share of a smaller economy -- a record 17.6 percent of the total economic output in 2009, the report said."

The AP (1/6, Alonso-Zaldivar) reports, "The recession slowed the growth of the nation's health care bill to the lowest levels ever measured," yet, "the slowdown did not change the nation's underlying problem with out-of-control health care spending." Data from Medicare's Office of the Actuary show that "Americans spent $2.5 trillion on health care in 2009, or $8,086 per person." Notably, the "figures do not reflect the impact of President Barack Obama's landmark health coverage expansion, which didn't pass until 2010."

McClatchy (1/6, Pugh) reports, "Unlike previous recessions, when spending for health services began to slow some two years after an economic downturn, the effect of the Great Recession was swift and profound on insurers, health care providers and patients in both 2008 and 2009." McClatchy adds, "Fueling the spending slowdown in 2009 was a 3.2 percent decline in private health insurance enrollment as 6.3 million people lost job-based health coverage that year. That loss of private coverage also curbed growth in out-of-pocket spending by patients, many of whom delayed medical care because of a lack of cash."

Meanwhile, "spending on Medicaid soared -- by 9 percent, compared with less than 5 percent in 2008 -- as more people qualified for the public insurance program for the poor," the Washington Post (1/6, Goldstein) reports.

In fact, "government spending on Medicaid and Medicare rose almost six times faster than insurance company expenditures in 2009 from the prior year as the recession pushed more Americans onto public assistance," Bloomberg News (1/6, Young) reports. The federal government "and states combined to spend $373.9 billion on Medicaid...an increase of 9 percent. Outlays for Medicare, aiding the elderly and disabled, rose 7.9 percent to $502.3 billion." Meanwhile, "insurance companies led by UnitedHealth Group Inc. spent $801.2 billion, an increase of 1.3 percent."

Politico (1/6, Coughlin) says that despite the trend, "some sectors saw accelerated health spending, including a whopping 10 percent bump for home health care, an 8.3 percent increase in other residential and personal care and 5.3 percent for prescription drugs." Commenting on the data, Karen Ignagni, president and CEO of America's Health Insurance Plans, said, "The continued rise in health care costs is not sustainable. ... Rising health care costs threaten our economic competitiveness, make health care coverage less affordable, and crowd out other urgent national priorities. We urge policymakers to work on a bipartisan basis to pass reforms that will control the soaring cost of medical care."

The Wall Street Journal (1/6, Landers, subscription required), Reuters (1/6, Heavey), CQ HealthBeat (1/6, Reichard, subscription required), and Modern Healthcare (1/6, Zigmond, subscription required) also cover the story, as does The Hill (1/6, Pecquet) in its "Healthwatch" blog.

Choose your Disability Policy

2011-01-05T19:45:00.000-08:00

1. You can choose your Disability Income policy...
But - you can't choose your disability!!

2. Residual Benefit - this is almost always necessary.
You do not need to be totally disabled. What is normally needed is a loss of income of at least 15-20% due to a sickness or injury. The benefit paid is equal to % of benefit equal to the % of income loss.

3. Survivorship/Waiver Rider - LTC
This says that if a couple have both of their policies in force for at least 10 years - if one of them should go on claim and/or pass away - the Surviving person has their coverage paid up - and/or gets to use their spouses left benefit.

4. Work around other insurance.......Our company will issue a policy that works around in force coverage.
If you have STD that ends in 180 days – our company will issue a small amount to go on top of the STD from the elimination period. Then, when the STD ends, the our companies benefit will increase. Other companies will start with the smaller amount and stay at that amount.

Online Health Advice, Don't Believe Everything You Read

2011-01-04T20:12:00.000-08:00

Record numbers of people around the world turn to the Internet for online health advice, but should they believe everything they read? A new survey suggests many people are getting inaccurate information and are not checking up on their sources.

Always check sources of online health info

The Bupa Health Pulse 2010 International Healthcare survey questioned 12,262 people from 12 different countries, including Australia, Brazil, China, France, Germany, India, Italy, Mexico, Russia, Spain, United Kingdom, and the United States between June 10 and July 14, 2010.

The main reason people use the Internet for health purposes is to find information about medications (68%). Nearly half (46%) of people surveyed said they are self-diagnosing, and 39 percent reported they were looking for other patients’ experiences. Eighteen percent of all respondents to the survey said they used social networking sites to learn about healthcare issues.

Few people, however, are checking the accuracy or source of the health information they find. Among online searchers in Britain, for example, while 58 percent looked for information to self-diagnose, only 25 percent took the time to check where the information came from.

The survey also found that people searching for health information on the Internet will likely find many different potential health conditions to match their complaints, depending on which websites they visit. The range of suggested health ailments for the same symptom can range widely; for example, a search for the symptom stomach cramps was diagnosed as being a symptom of angina, indigestion, or appendicitis, depending on the website.

In a recent survey published in Birth, 613 pregnant women who used the Internet to look for pregnancy-related information said they went online because they were not satisfied with the quality of information given to them by their healthcare providers. Eight-three percent said they used the information they found to influence their pregnancy healthcare options.

While the Bupa survey found that most of the top 20 healthcare websites people use to find health information are geared toward the scientific and academic communities and are based in the United States, online health information seekers should always check the sources of the information they find.
The Bupa report suggests individuals be as specific as possible when entering search terms, check each website for a quality mark (e.g., HONcode, URAC), read the “About Us” section on the website to find out if the authors are health professionals, and look for the date of publication, because medical advice can be out of date very quickly. Finally, individuals should consult with their physician before taking any action based on what they find on the Internet.

The bottom line is, don’t believe everything you read on the Internet. When searching for online health advice, use reliable (e.g., academic, government, scientific institutions) websites, check your sources, including references to scientific articles on the website, and protect your health.

SOURCES:Bupa Health Pulse 2010 International Healthcare SurveyLagan BM et al. Birth 2010 Jun; 37(2): 106-15

Major health insurers in California to resume offering individual policies for children

2010-12-28T21:13:00.000-08:00

The companies abruptly halted the sale of individual policies for kids in September rather than comply with provisions of the nation's new healthcare law. A new state law forced them to change course.

California's largest health insurers, fearing they'll lose new customers in the state's lucrative individual insurance market, have canceled controversial decisions last fall to stop selling policies for children.
The insurance companies abruptly halted the sale of individual policies for kids in September rather than comply with provisions of the nation's new healthcare law that required them to accept all youngsters under age 19 regardless of their medical conditions. get a quote here

Insurers said at the time that the healthcare overhaul could saddle them with huge and unexpected costs, particularly if competitors exited the market. Their decisions prompted criticism from health activists and a spokesman for the Obama administration, who accused them of abandoning children and families.
But a new California law forced the insurers to change course. Beginning Jan. 1, it will prohibit those that abandon child-only coverage from selling new policies in the broader individual insurance market for five years — slicing into profits in a state filled with throngs of potential customers.

On Wednesday, Aetna Inc., Anthem Blue Cross, Cigna Corp., Health Net Inc. and UnitedHealth Group Inc. said they would resume sales of child-only coverage Jan. 1 for an estimated 80,000 children who are not insured through family policies or their parents' employers.

"It's good that the insurers are back in the market, even if they had to be brought back kicking and screaming," said Anthony Wright, executive director of the consumer advocacy group Health Access California. "It will make a big difference for thousands of families."

All the insurers have notified the state Department of Insurance of their intention to resume sales.
"We've let brokers know that as of the 1st, we have plans for child-only policies," said Brad Kieffer, a spokesman for Woodland Hills-based Health Net. Cheryl Randolph, a spokeswoman for Minnesota-based UnitedHealth Group, said: "We will have child-only policies on Jan. 1. Anthem, the largest insurer in the individual market, will work with regulators to start selling again "in the best interest of our customers in California," spokeswoman Peggy Hinz said of the Woodland Hills company. There is plenty at stake. California's private insurance market — where individuals and small businesses buy coverage — generated $17 billion in revenue last year. The market is only expected to grow as millions of uninsured Californians buy coverage, beginning in 2014, through a new marketplace exchange set up as part of the federal healthcare law.

"California offers a significant opportunity for us and we believe we will be highly competitive in this market," Cigna spokeswoman Gwyn Dilday said in announcing the Philadelphia company's decision to resume child-only sales. The insurers were guarded about their plans in other states. Only one, Connecticut-based Aetna, gave details, saying it would also resume sales in Kentucky, where changes in state law have required the company to rethink its approach. "We are committed to working with states to address the issues originally raised by the change in federal law in a way that will allow us to participate in these markets," spokeswoman Anjanette Coplin said.

Regulators from the California Department of Insurance have been trying to prod insurers to start selling child-only policies once again since they announced their departure shortly before Sept. 23, when the federal healthcare law would have required them to accept all children with preexisting conditions. On Wednesday, officials sent the companies two pages of "guidance" to help them interpret the new state law.
The officials said AB 2244 requires insurers to offer children's coverage as part of all their policies, not just a select few. And they said parents must apply for the insurance during a two-month open enrollment period that runs from Jan. 1 to March 1, or in the month after their children's birthdays.

Families with sick children that apply during these periods can be charged no more than twice the standard rate. Families that apply outside the enrollment periods are not protected against higher rates.
The author of the state law said he was delighted to hear that insurers would once again offer coverage for children. "The law seems to be having just the effect we intended," said Assemblyman Mike Feuer (D-Los Angeles). "For a family there is little more important than being sure their children have access to health insurance, so I'm very pleased to see these insurers are choosing to make that insurance available."

Get a quote here

duke.helfand@latimes.com

Non-Discrimination Testing - Patient Protection and Affordable Care Act (PPACA)

2010-12-28T21:05:00.000-08:00

Notice 2011-1 addresses prohibiting insured group health plans from discriminating in favor of highly compensated individuals. The Treasury Department, IRS and the Departments of Labor and Health and Human Services have determined that compliance with these requirements should not be required until after regulations or other administrative guidance of general applicability has been issued. The notice includes a request for public comments.

Parents Should Be Aware of Potential Dangers of Alternative Medicine

2010-12-26T18:28:00.000-08:00

A growing number of parents are considering complementary and alternative medicine (CAM) to treat their children’s illnesses for a variety of reasons. While some therapies may be healing and therapeutic, parents should remain aware of potential dangers of treatments, especially when they are substituted for conventional medicine.

Coordinate Complementary Medicine with Traditional Therapies for Best Outcomes

According to the National Center for Complementary and Alternative Medicine, CAM is defined as a diverse group of medical and healthcare practices that are generally not considered part of conventional or “Western” medicine. Practitioners often focus on treating the whole person and promote self-care and self-healing. CAM includes broad categories of therapies, such as natural products (ie: herbs, dietary supplements), mind-body medicine (meditation, yoga), and manipulative practices (spinal manipulation and massage).

While complementary medicine often accompanies Western medicine practices, alternative therapies are used in place of medical treatments. According to a study by the Australian Pediatric Surveillance Unit conducted between 2001 and 2003, adults are mislead to believe that CAM treatments are better for children because they are “all natural” and therefore less harmful. However, during the same timeframe, four deaths were reported in association with CAM practices because they were used in place of conventional treatments.

Read: Alternative Health Practices Gain Popularity with US Children

The researchers, who published the study in the Archives of Disease in Childhood note tha
t one death occurred in an 8-month-old child who was initially admitted with severe malnutrition and septic shock following naturopathic treatment with a rice milk diet to relieve constipation. A second case involved a 10-month-old child who was being treated with homeopathy and a restricted diet for chronic eczema.

There were also 46 instances of “negative outcomes” with seventy-seven percent experiencing a worsening of symptoms after starting a CAM therapy. Two-thirds of the cases were rated as severe, or life-threatening with symptoms that included seizures, infections, stunted growth, allergic reactions and malnutrition.

Read: Families Often Use Complementary Medicine for Children with Cancer

Forty-four percent of the parents of the children who had been harmed were warned by a pediatrician not to continue. Dr. Steven Dowshen of KidsHealth.com suggests talking with your child’s pediatrician before starting any complementary or alternative therapy to ensure that it is not dangerous and will not conflict with the traditional care your child is receiving. “By coordinating alternative and traditional care,” he says, “you don’t have to choose between them. Instead, you can get the best of both.”

Source Reference:"Adverse events associated with the use of complementary and alternative medicine in children"Alissa Lim, Noel Cranswick, Michael SouthArch Dis Child doi:10.1136/adc.2010.183152
2 Share

Successful Companies Gain Profits by Adding Employee Benefits

2010-12-22T19:37:00.000-08:00

Marc Acito
Dec 22nd 2010 at 3:00PM

What recession?

That's how employers from Florida to Vermont to California feel after seeing their revenue double and triple in the past two years.

At a time when companies are cutting jobs, Dealer.com, a Burlington, Vt.,-based developer of websites and online marketing tools for car dealerships and manufacturers, has added more than 150 employees, bringing their roster up to 420.

CEO Mark Bonfigli believes that employee wellness and workforce productivity are directly linked, so Dealer.com has a full on-site gym and tennis court, a subsidized local/organic "Dot Calm Café" and weekly chair massages. And they're adding a yoga studio, a solarium and a rooftop vegetable garden.

Miami businessman Max Borges subscribes to the same philosophy. "When you feel good physically," the triathlete says, "you feel good mentally." So his company, which does public relations for the consumer electronics industry, also boasts employee benefits such as an on site gym, as well as fitness classes and reimbursement for athletic competition entry fees. Borges also motivates his employees by sharing his profits with them. "They don't feel like, 'Oh, I'm just getting my boss rich,'" he says. "They act more like owners. Not only do they work harder, they work smarter."

The proof, however, is in the profits. With his company's revenues up by 58% this year, MBA was selected by Inc. magazine in 2009 and 2010 as one of the fastest-growing private companies in America. Borges rewarded his 27 employees by taking them on a cruise to the Bahamas.

Across the country in San Francisco, Bibby Gignilliat gave her team a luxury weekend after seeing an 80% increase in her business, Parties that Cook, which stages hands-on cooking parties and corporate team-building events for fortune 500 companies like Apple, Google, PayPal, Wells Fargo and Facebook. Since she started rewarding her staff with equity compensation, she says, "My employees are more invested than my former partners were...This is my recipe for success."

Forget quantitative easing. These employers have figured out that the way to bring back the economy with this simple equation: profit-sharing = profit-earning. It's the perfect marriage of socialism and capitalism -- a profit not without honor.

"Most companies do it backwards," Borges says. "When you decrease their pay to increase profit, you take away their incentives." He adds, "People think, 'That will work for him, but not me,' but it will work for any situation."

Including the American economy.

And that, my friends, is The Upside.

Are you familiar with 2011 compliance topics in employment law.

2010-12-22T10:59:00.000-08:00

Here is what HR clients had to say;

Poll of the Month

How familiar are you with the top employment law compliance topics for 2011?

1 %: Absolutely Familiar
7 %: Very Familiar
29 %: Somewhat Familiar
52 %: Barely Familar
11 %: There are employment laws?

We offer a value added program where you stay informed of HR changes and laws, get forms, handbook and posters.

The Reality of Early Retirement

2010-12-22T10:37:00.000-08:00

Is early retirement on your "wish list?" Do you envision a relaxing lifestyle in a warmer climate or the leisurely pursuit of a personal hobby? Unfortunately, retiring later than anticipated, rather than sooner, is becoming more and more commonplace. But, some people are still managing to retire early. You may be asking yourself, "How do they do it?"

The key is to be proactive in your retirement planning. Of course, the sooner you begin planning and saving, the better your chances are for early retirement. Keep in mind that a general rule of thumb is that you may need as much as 60% to 80% of your pre-retirement income to meet your expenses and maintain your desired lifestyle in retirement.

Redefining Retirement

There are many factors that are redefining how Americans approach retirement. Due to financial necessity, or sometimes too much leisure time, some retirees are reentering the workforce. Many retired executives start their own part-time consulting businesses; others trade in their hectic seventy-hour workweek for a pseudo-retirement, in which they work less and spend more time with their families. Part-time work during retirement can be an important income supplement, especially if you plan to retire early from your full-time career.

Longer life expectances are also changing the retirement landscape. Some people spend one-third of their lives in retirement, and your chances of a longer retirement are certainly greater if you retire early. Therefore, relying solely on retirement plans and Social Security may be more difficult, as these programs were not designed to provide perpetual income. Furthermore, as longevity has increased and the use of traditional pensions has decreased, the responsibility for retirement planning has gradually shifted from employers to employees. The task of acquiring adequate retirement savings has been placed directly in the hands of the workforce, who often must take initiative to contribute to their company-sponsored retirement plans. As a result of all these factors, your retirement assets, as well as your personal savings, may have to work harder to meet your objectives, no matter when you retire.

An often overlooked aspect of retirement planning is money management once retirement has begun. To help ensure adequate retirement assets, your money may have to continue working for you throughout your retirement years. Inflation—along with the amount of income withdrawn from your retirement plan—will have a direct effect on how long you can continue to meet your expenses. Thus, personal savings will continue to be an overall part of your financial plan.

Budgetary constraints can also determine your lifestyle choices in retirement. In order to determine whether you will be able to maintain your desired lifestyle if you retire early, it can be helpful to estimate your retirement income and expenses. Unfortunately, this process may be difficult, as you will need to consider everything from greens fees at the local golf course to health insurance costs. In addition, you must factor in inflation and how your financial needs may change over time.

Finally, for those who wish to retire early, it is important to realize that certain penalties may apply for early withdrawals from retirement plans. All options need to be examined and reviewed with a qualified financial professional.

It's Your Retirement: Be Involved!

Today, early retirement remains a possibility. By planning ahead and maximizing your personal savings, you may increase your chances of reaching your retirement goals. Remaining proactive and focused is particularly important if you are contemplating, or are forced into, early

Know Your Competition

2010-12-22T10:34:00.000-08:00

The Ins and Outs of Pricing for Profit

Set prices too high and customers may disappear; set prices too low and customers may bang your door down, but will your business be able to meet the demand? How do you go about pricing your company's goods and services in a way that benefits you and the customer?
First, you've got to know your competition. You can often find out how your competition is pricing their products or services by visiting their premises or their websites. Other resources for researching prices include industry publications, online discussion boards, trade associations, or networking groups. You may also try contacting business owners in your industry who are not direct competitors to ask them how they establish their pricing structure.

Setting the Selling Price
If you discover that prices for comparable products and services are similar in your market, arriving at a competitive price range for your own offerings may be relatively easy. However, if prices vary considerably, try to find out why. For example, a company that charges considerably more for its products may have a reputation for superior quality, a particularly attractive location, additional services, or extensive advertising. In other cases, you may find that a high-priced competitor offers no additional value to customers but has been successful in marketing its product to a willing and able clientele.

Ceiling Price vs. Base Price

One way to determine the ceiling price, or the highest price the market will bear, is to survey customers. What type of businesses and kinds of people comprise your prospective market? What are they willing to pay for particular goods and services? You may discover that the prices customers are willing to pay are, in fact, higher than current market rates.
The next step is to establish your base price, or the minimum price you must charge in order to break even. What are your outlays for supplies and materials? What are your fixed overhead costs for your building, equipment, and utilities? What is the cost of servicing loans? How much interest would otherwise accrue on investments made in the business? What are the product development costs? How much will the business spend on marketing? What financial cushion do you need to keep the business running? What are your payroll costs? When considering how much to charge, do not forget to factor in compensation for your time, labor, and personal investment in the business.
If this analysis reveals that your business is unable to price its products or services competitively while still turning a profit, try to figure out why. Are there inefficiencies in your business that could be remedied? Is it possible to lower your costs—and, consequently, your base price—through economies of scale, a change in suppliers, or outsourcing?
Once you have determined the base price, you can set the selling price. This should be substantially higher than your breakeven price; if it is not, your business and your personal wealth cannot grow.
Sometimes it is necessary to raise prices because costs have increased. You can cushion the blow of a price increase by offering new or enhanced products or services. Many businesses offer discounts to clients who buy frequently or in bulk. If your business sells multiple products or services, consider bundling them and charging a set price for the package.
Once set, reassess your prices regularly. As the marketplace changes, your prices may need to change accordingly. Small, incremental price increases are likely to be tolerated by your customers. If extreme costcutting by competitors threatens your business, try to weather the storm by maintaining realistic prices, while offering customers consistently superior quality and service.

Our Newsletters are designed to help you and your business grow.

Making Your Finances "Picture Perfect"

2010-12-22T10:29:00.000-08:00

While most people find the notion of creating a budget about as appealing as yard work, like mowing the lawn and weeding the garden, most would agree that the work is well worth the effort once they've achieved picture-perfect surroundings.

Two financial "snapshots" you can take at any time to help view your financial landscape are a balance sheet (or net worth statement) and a cash flow statement. Along with demonstrating where you are today, these tools can also help provide a foundation for important financial comparisons in the future. Although there are software programs available to help with budgeting, it can be easy and helpful to create your own worksheets on paper.

Assessing Your Net Worth

To create a balance sheet, simply draw a line down the center of a blank piece of paper. Label one column "Assets" and the other column "Liabilities." Assets are everything you own, and liabilities are everything you owe.

You can add structure by grouping your assets into three categories: 1) cash or cash equivalents—checking and savings accounts, money market funds, and certificates of deposit (CDs); 2) investments—stocks, bonds, mutual fund accounts, and retirement accounts; and 3) personal property—your house, home furnishings, autos, boats, and other personal items.

Liabilities can be labeled as follows: 1) short-term—auto loans, most personal loans, and credit card debt; or 2) long-term—home mortgages, some home equity loans, and some educational loans.

Enter all of the relevant numbers and add up the two columns. We'll examine the outcome later.

How Fluid Is Your Cash Flow?

Next, create a cash flow statement. Draw a line down the center of a blank sheet of paper, and label one column "Cash Inflow" and the other "Cash Outflow." On the inflow side of the ledger, list monthly or yearly income from all sources, such as wages, self-employment, rental properties, and investment income (interest and dividends).

On the outflow side, list all monthly or yearly expenditures, separating fixed expenses (mortgage payments, other periodic loan payments, and insurance premiums) and variable or discretionary expenses (utilities, food, clothing, entertainment, vacations, hobbies, and personal care). You may choose to put taxes (Federal, state, FICA) in a separate category. Again, fill in the relevant numbers and total the columns.

The Results

If your balance sheet shows your assets exceeding your liabilities, you have a positive net worth, especially if your cash flow statement shows more inflow than outflow. This picture shows that you are solvent and spending within your means. The degree of your financial health depends on the amount of your surplus.

Your financial picture may look somewhat different if your balance sheet shows your liabilities exceeding your assets and/or your cash flow statement shows more outflow than inflow. This indicates that you are spending beyond your means. It may be time to assess areas in which you can decrease your liabilities.

Each year, strive to increase your net worth and keep your expenditures under control. If your financial picture is a little out of focus, taking action now to sharpen the view may help you create a more promising snapshot in the future.

For More Information: info@amsinsure.com

Cost Containment and Health Management Strategies Topped Ways Companies Weathered the Storm of Rising Health Care Costs

2010-12-20T18:57:00.000-08:00

Dec 20, 2010 14:37 ET

IRVINE, CA--(Marketwire - December 20, 2010) -

Top 10 Health Benefits Trends of 2010

1. Healthcare Reform. The Patient Protection and Affordable Care Act of 2010 (PPACA) shook the health care world this year, causing companies to revisit their benefits strategies to determine efficient ways of becoming compliant with the reform's immediate and long-term requirements. Chief among their considerations was whether plans could be grandfathered and how to best explain the changes to an anxious workforce in light of new communication and reporting responsibilities. On the upside, companies began to explore new benefit design opportunities by becoming engaged in financial modeling and benefit strategy development as they prepared for the many changes that will go into effect from now until 2014.
2. Cost Sharing and Rewarding Healthy Lifestyles. Employee benefit contribution structures held steady over the past decade -- even during the height of the recession, when companies froze wages and cut other expenses to prevent layoffs. This year's rise in salaries, however slight, combined with premiums that jumped 12 to 15 percent, saw companies sharing health care's financial burden with employees. Covered workers contributed on average two to three percent more for single and family coverage and bore higher out-of-pocket costs for deductibles and co-pays. To keep workers at the top of their game, companies are increasingly taking advantage of carrier-sponsored wellness programs -- from weight loss and smoking cessation programs to gym memberships, virtual health coaching, nutrition classes, wellness newsletters and more. Savvy companies are pegging employee contributions to their participation in these initiatives, with financial incentives such as lower premiums and deductibles tied to the attainment of health benchmarks.
3. Plan Design. There's nothing like limited resources to inspire creative thinking. Budget-minded employers flocked to high-deductible health plans (HDHP) with health savings accounts (HSA) for cost savings and tax advantages -- namely, the elimination of the "use it or lose it" rule. Others cut costs with HMO deductible plans. Limited medical networks and increasing prescription plan deductibles provided additional avenues for saving money. Expect continued innovation in 2011, as employers focus on new ways to get the most for the money they spend on health plans.
4. Communications Game Plan. Confusion and uncertainty among employees over how they and their families will be affected by health care reform led companies to adopt proactive and innovative communication strategies to dispel misperceptions, alleviate fears and prepare workers for the changes to come. From reassuring messages and use of the company intranet to submit basic questions to HR staff to on-site education sessions hosted by brokers, smart employers brought clarity by providing critical information and timely updates. This trend will continue next year as organizations and employees across the country contend with the reality of reform as it continues to evolve.
5. Claims Analysis. While it is important to understand the financial performance of a plan and the financial justification of premiums, employers are using claims data to take more focused directions on plan design, wellness initiatives, and communication. The data mining of claims allows employers to weigh the financial costs and member impact of any changes to their plans and helps balance disruption and cost containment. Even a review of a group's top disease states or major diagnostic categories provides focus for wellness initiatives and opportunities to avoid claims, giving employers more control of their health care costs.
6. Chronic Disease Management. Alarming rates of chronic diseases like diabetes and heart disease are taking their toll on Americans' health and on employers' bottom lines, since companies bear much of the cost associated with treatment. A remarkably positive partnership has developed between companies and employees joining forces to improve their quality of life through health management and wellness programs. These targeted approaches to specific conditions (i.e., glucose levels, blood pressure, and cholesterol) and "knowing your numbers" through health screenings and health risk assessments, help companies stay ahead of the cost curve by offering preventive care to at-risk employees and disease management that encourages healthy lifestyle behaviors in those who receive treatment. Significant future savings in the form of avoided health care costs, reduced benefit and disability premiums, and improved morale, retention and productivity -- plus an overwhelmingly positive response from employees -- mean these programs are here to stay and will likely grow more extensive in years to come.
7. Self Funding. Self-funded health care, where the employer assumes the financial risk for benefits claims payments and manages and administers the plan, was an appealing alternative to fully insured plans this year because it reduces costs while improving cash flow. Look for growing interest among all types of employers in this model in 2011. With HCR community rated requirements, employers will be considering alternative funding arrangements to capture their favorable claim costs of their plan participants vs. subsidizing others.
8. Product Bundling. Employers capitalized on premium discounts offered by carriers that combine medical plans with comprehensive specialty benefits such as dental, vision, life and disability. With just one team to administer benefits and one premium statement, employers saved money through lower administration fees. Plus, the more employees enrolled and lines of coverage bundled, the greater the savings.
9. Going Online. Despite initial reluctance to use the Internet for benefit administration, most employers are jumping on the information superhighway, recognizing not only the willingness of employees across all demographics to use a Web interface, but also how online tools simplify processes for HR departments. Computer-based services such as online enrollment, downloading forms and documents, and access to benefit information and education are among the tech advances coming into daily use, while mobile-enacted information and services for the smartphone platform promise even greater efficiencies in the near future.
10. Executive Benefits. Executive benefits, an important tool for attracting and retaining talented staff, were a casualty of the economic downturn and new health care reform legislation, both of which put these programs under greater scrutiny than ever before. Many companies have had to weigh the competitive edge these benefits provide against the costs and risks they entail, and some faced with no choice but to set these policies aside as they struggled to stay afloat in challenging economic times.
"Perhaps the most important lesson of 2010 is that getting employees more involved in their medical decisions, expenses and overall health is a key to sustaining a financially viable, work-based benefits program," says Allison. "As for implications for the future, as the economy improves and the job market becomes vital again, companies with robust programs will have a significant advantage in terms of their ability to meet productivity goals and attract and retain desirable employees while they make significant inroads into improving the health of American workers and their families."

The Benefits Of California Labor Law Posters And How It Helps Employer and Employee

2010-12-19T13:42:00.000-08:00

A labor law poster helps an employee to identify his rights in an organization. There are many benefits that an employee can identify and utilize the facilities provided by the company. The labor law posters are a mediator between the employer and employee, to create a friendly atmosphere in the organization with harmony and trust. These posters are designed to motivate the employee and make them comfortable in the work place.

The California labor law posters are a great significance to the residents of California, the employer need to post these law posters in their premises for all the employees to read and understand these laws. The employees can identify their minimum wages though these law posters do not allow the employer to exploit them. The employers also need to indicate about the date of payment and the place of payment, so that the employees are aware about the date of payment.

Related Coverage

The Benefits An Employee Loose If He Is Not Aware Of Labor Law Posters

The Federal And State Labor Law Poster

The Credibility Of Federal And State Labor Law Poster

Know Your Rights With The Labor Law Posters

The employer also should display the emergency telephone numbers in the work site, so that employees can access these numbers in case of any emergency situation. In some company smoking is banned, the employer also should mention about the rules of the non smoking zones to the employees. The labor law posters should contain all the compensation rules which are applicable to each and every employee.

The employer should display the languages in multi lingual language so that the employees who do not understand English can read it in their own language. This is very crucial for immigrant workers. The California labor law posters also has law related to the welfare of women in the organization, a women who wants to go on a maternity leave, are granted leave with pay.

The employer should make this awareness in the organization with the help of labor law posters. The California labor law posters also state about the safety posters which are displayed in the premises of the organization to create a awareness about employees safety and protection of health. These are the main core points discussed in the California labor law posters.

Getting to the bottom of your health care costs

2010-12-17T12:41:00.000-08:00

Did you know: 10-year study indicates spending for prescription drug use in America is on the rise?

U.S. spending for prescription drugs more than doubled to $234.1 billion over the 10 years covered by a study released by the Centers for Disease Control in September 2010 as part of its National Center for Health Statistics data brief. Among those ages 60 or older, 37% used five or more prescriptions per month.

Employer responsibility and automatic enrollment available

2010-12-17T12:31:00.000-08:00

The health care reform law requires employers with 50 or more full-time employees to offer minimum essential coverage starting in 2014. Employers who don't meet this requirement will be subject to penalties. In addition, employers with more than 200 full-time employees must start automatically enrolling full-time employees in 2014.

Senate Unanimously Approves Medicare "Doc Fix."

2010-12-09T07:07:00.000-08:00

The AP (12/9, Alonso-Zaldivar) reports, "The Senate approved a measure Wednesday to avoid a steep cut in Medicare pay for doctors by shifting some money from President Barack Obama's health care overhaul law." This "deal by Senate leaders of both parties was approved by a voice vote and appeared headed for passage by the House, which would send the measure to Obama for his signature." Notably, the "president had urged lawmakers to move quickly," saying, "This agreement is an important step forward to stabilize Medicare."

Study: Private Plans May Trump Medicare At Controlling Costs.

2010-12-08T07:54:00.001-08:00

Study: Private Plans May Trump Medicare At Controlling Costs.

The Hill (12/8, Millman) reports, "Private insurance plans might be better at controlling healthcare costs than Medicare, according to a Health Affairs study released Tuesday morning." Notably, the "study followed up on an influential 2009 New Yorker article that found Medicare spending on the elderly population is significantly higher in McAllen, Texas, than it is in El Paso, Texas. Using medical and expense data for patients in those towns who are privately insured by Blue Cross and Blue Shield, researchers found private insurers were cheaper and had a more consistent cost structure."

CQ HealthBeat (12/8, Adams, subscription required) reports, "The new study cannot explain definitively why differences in health care spending are lower under private coverage, but the authors suggest that mechanisms for utilization review and management used by private insurers could play a big role." They also "said the most probable explanation is based on which payers are better at controlling costs in areas where legitimate medical judgments can vary. Medicare exercises very little utilization management, but private insurers can be much more aggressive about controlling services."

Modern Healthcare (12/8, Vesely, subscription required) reports that according to lead study author Luisa Franzini, "For a number of reasons, insurers generally are reluctant to intrude on medical decision-making. ... But the fact that these utilization management mechanisms exist may prompt some physicians who might otherwise overuse certain services to exercise more restraint."

NPR (12/8, Rau) notes in its Shots blog, "The new study analyzed claims from 65,701 Blue Cross members in McAllen's Hildago County and 66,657 members in El Paso. Blue Cross spent $2,266 on the average McAllen enrollee, compared to $2,428 on the average El Paso enrollee." In "contrast, Medicare spent an average of $14,817 per patient in McAllen -- 86 percent above the $7,947 it spent on an average El Paso enrollee, according to the study." The Washington D.C. Examiner