Job losses jeopardize health coverage

RALEIGH, N.C. _ Nettie Shafer has a house, a car and about $1,000 left in savings. But the 59-year-old divorced bank teller risks losing all if she doesn't find a job with health insurance soon. Shafer, who lives in Raleigh, is on about a dozen medicines, seven of them to prevent a third heart attack. Now, the insurance coverage she retained from her former job at Wachovia has run out _ and the backup she has available covers only a fraction of her medical costs. "I'm still looking for a job, every day," Shafer said. "Something's around the corner. I truly believe that. "A survival job is all I need," she said.

The recession has not only cost thousands of people their jobs, it has also cost them affordable health insurance. People who had employer-sponsored health insurance are, when laid off, usually eligible for up to 18 months of continued coverage under COBRA, the federal law more formally known as the Consolidated Omnibus Budget Reconciliation Act. But COBRA is expensive. Unemployed workers must pay the total premium. The monthly average is more than three times as expensive as what workers with employer-sponsored health insurance pay, according to data by the Kaiser Family Foundation and FamiliesUSA.

That can take a hefty chunk out of unemployment benefits. In North Carolina, the average COBRA premium for a family eats 82.4 percent of an unemployment check, according to data from FamiliesUSA, a consumer advocacy group. Many decide to take their chances and don't sign up for COBRA.At the end of 2008, an estimated 175,000 North Carolinians were out of work and uninsured, according to the N.C. Institute of Medicine. Though this includes people who lacked insurance before they became unemployed, the estimate represents a 75 percent increase since the end of 2007. The fourth quarter was particularly brutal in boosting the state's growing number of unemployed who are at risk of becoming uninsured, said John Quinterno of the N.C. Budget and Tax Center.

news source : http://www.tmcnet.com/

Auto Insurance Agent Alert: Smart Consumers are Shopping For Auto Insurance

Auto insurance rates may be on the rise in the United States, but shopping for auto insurance can ease consumers’ worries about saving. While consumers are witnessing auto insurance rates rising by the day, reviewing auto insurance policies is one of the best ways to save money.

Consumers everywhere are noticing big-time insurance companies increasing their car insurance rates at a faster pace than usual to make up for clients who have dropped their policies. In Florida and other states, auto insurance policyholders are facing the chance of their auto insurance premiums increasing exponentially by 10 percent in the upcoming years.

Most auto insurance companies are asking for higher premiums from strapped policyholders. But with job loss on the rise, a stifling recession, and a growing amount of people making strict budget cuts in the way they live and spend money, more policyholders are likely to drop their insurance. However, consumers can save money by receiving multiple insurance quotes from several different insurance carriers to gain the best coverage package at the lowest rate.

Although it will take some time for the recession to end, the article posted by InsuranceAgents.com encourages consumers to follow its tips to better organize their finances and to get the best out of their insurance plan with specialized auto insurance agents. Its goal is to help consumers save money during one of the worst financial crisis in America.

news source : http://insurancenewsnet.com/

D80 student insurance rates see increase

MT. VERNON — In spite of an increase in student accident insurance rates, the plan is still a good deal, according to District 80 Superintendent Dr. Kevin Settle. “During the past four years, they are paying out more than we are paying in premiums every year,” Settle said. “The increase is still much less than we would have paid without the insurance coverage.” Members of the District 80 Board agreed, and have approved renewing the insurance policy for another year. The cost of the insurance coverage will cost the district $12,625 annually, up 21 percent from $10,365.

Settle said an average of nine claims are made to the accident insurance company — First Agency — annually. “We have kids who may get hurt on the playground equipment or playing sports , things like that,” Settle explained. “The insurance company pays 100 percent of the claims. ... The parents’ insurance is still the primary, but for those who don’t have insurance and an accident happens while they are at school, this policy covers those students.”

And, Settle said with the number of students in the district whose families are at the poverty level, the number of children without insurance coverage has risen over the years. District 80 has about a 75.5 percent low income enrollment, according to state statistics.“Most schools don’t do this,” Settle reported. “We’re one of the few who provide insurance for our students.” The district began offering the accident insurance about eight years ago.

news source : http://www.register-news.com/