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Monthly Archives

September 2016

Task Forces at Work: How a Florida Lobby is Taking Charge

By Workplace Safety

wc-sept2016-3With all the problems and injustices in the world, it can be difficult to know exactly where you should pick your battles. This is especially true for your professional world, because you may not get much leeway if you choose the wrong issues to focus on. However, when one group of people shows their passion through both talk and action, it can be one of the most powerful forces on the planet. That’s what the Florida Workers’ Compensation Strategic Task Force is hoping to do: effect change through systematic effort to help save businesses on potentially unnecessary costs of workers comp.

After town halls across Florida, the group said there needed to be more effort devoted to creating initiatives to improve the system. The call to action was brought upon due to the recent rulings in the state Supreme Court. One of those rulings denied a law that would place an expiration date on payments at more than two years after the worker was injured, and another denied the limitation of attorney fees for workers compensation. These two measures were meant to strip down some of the incentives that has made employee, legal and medical fraud as prevalent as it has been while creating a more sustainable plan for businesses who are trying to balance their expenses.

With another hearing coming up this month, insurance companies want to increase the rates for workers comp at close to 20%, a change that would take place on October 1. The looming court data spurred people into action to see if they couldn’t get together to come up with other ways to curb the amount they’re paying from month to month. Their platform is that businesses saddled with workers comp costs cannot grow, which cuts jobs for the people of the community. Without a stable means to support the community, it spells trouble for the economy at large. Their goal is to continue to come up with ideas until the best solutions are implemented to give Floridians a fairer outcome for both employees and company owners alike. This is about continued talks, not necessarily a one-off committee.

Whether you agree with the methods of the task force or not, this is a powerful lesson for those who do not agree with your own court rulings. It is always an option to increase your involvement in order to bring to light some of the more immediate potential dangers of paying too much for workers comp. Whether you’ve even been involved with an injured employee or not, precedents set in cases in your state can have a bigger influence on your bottom line than you think.

Mental Health and Workers Comp: What’s Your Liability?

By Workplace Safety

wc-sept2016-2Workers compensation can feel like a minefield, especially when it seems like all the power rests with your employees. When people who don’t follow directions or are goofing around during their breaks can be injured and then sue you for damages, you might feel helpless to safeguard yourself. The power you’re looking for comes from being prepared when you walk into work in the morning, when you hire someone and how you interact with your employees. And you should be aware that mental health may play a significant role in workers comp. Even though it can feel like a subjective matter at times, it’s good to know how it fits into the larger framework of taking care of your staff.

A Matter of Proof

There is a possibility you’ll be held responsible for a person’s mental health damages, but it will be up to the employee to prove that this mental illness would not have developed had they not been under a specific amount of stress at work. It would have to be classified as an abnormal working environment, which again, leaves a lot open for interpretation. When people attempt to prove this on their own without having hired a lawyer, the judge tends to err on the side of employers. Many lawyers won’t actually touch these cases due to the fact that without any type of permanent physical injury, it can be difficult to show that a person is suffering from a sustained psychiatric state that is more or less expected to resolve itself once the stress of the job has gone away. They’re likely only to be paid when they win, so it’s just risky for the lawyers.

The Warning

Despite your odds, that doesn’t mean you should dismiss a mental health request, especially considering that mental health problems are increasingly more accepted as a reason for disability insurance by the federal government. With this type of validation, judges may start to give a bit more weight to these cases based on the right evidence. If you are approached by an employee for being under a great amount of stress, say if they have to work with unfriendly coworkers or are expected to deal with crises on a regular basis, then you may want to see if it’s possible to lighten the load. Hopefully you’ve already implemented hiring practices that might weed out someone who would try to get out of doing his or her job at this point. Also, people are likely to win their case claiming mental health problems if they’ve also been physically injured as well – another warning for you to be as cautious as possible when dealing with workers comp issues.

The Other Side of Fraud: Legal Bribes in Workers Comp

By Workplace Safety

wc-sept2016-1When you think of fraud in workers comp, it’s common to think about employee fraudsters who are looking to cheat the company out of as much as possible. You might then extend that thought to the doctors who may be convinced to say the employee does indeed need continued treatment and cannot return to work. However, there’s another side too that you may discount – the lawyers who handle these cases. They do not quite stand to benefit quite as much as those performing the long-term medical ‘care,’ but they can certainly be tempted into turning this into a business where the specialize in getting as many clients as possible who are willing to lie a little. We’ll look at the case of Sean O’Keefe from San Diego who did just that.

Paying to Play

O’Keefe took on 9,000 cases, and he got many of those by paying a firm upfront for those who were sent his way. The firm he worked with needed his word that he would rack up a certain amount of expenses at the medical offices where his clients would go for treatment (e.g., MRIs, meds, etc.) This was a business that stood to benefit from clients being treated as dollar signs, and he’s not the only running this scam. There are currently about a 100 people in San Diego who are looking at similar charges, and those are just the people who have been caught. It causes major concerns for just how easy it is was for them to set up an operation that functioned for years entirely under the radar.

Tightening Everything Up

Despite the fact that it doesn’t look great that this happened at all, it is showing more interest in fraud than may have been shown in the past. This should cause a reevaluation of how claims are processed, how medical providers are reimbursed and how they submit their proof. This new information being brought to light should create more oversight which will bring the overall cost of workers compensation down. For O’Keefe’s part, he was paid over a million for doing what he did, and he’s agreed to cooperate in telling officials everything about the operation that they would want to know. In return for bringing down the people who were involved, he’s hoping that his sentence will be deceased.

Fraud and You

This should concern you no matter where you live, and while you might feel helpless to stop it, it’s not impossible to recognize signs of fraud. If you have a chance to check out the lawyers your employee uses, then it may not be a waste of your time either.

Does a College Student Need Life Insurance?

By Life and Health

Life insurance is typically something you think about when you get married or have kids. However, it can be a valuable asset for college students, too. Learn more as you decide if your favorite college student needs life insurance.

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Life insurance companies use health as a major factor in determining premium costs. College students are generally healthy and can purchase insurance at the best possible rates. As an example, a $250,000 policy costs an average of $12 per month for a healthy 26-year-old. By buying life insurance now, college students purchase an important investment that’s affordable and provides years of coverage.

Student Loans

Government-sponsored student loans generally cancel when the policy holder dies. Loans issued by banks and other private sources do not typically cancel, though. A student’s estate or co-signer may be responsible to repay the debt. Purchase life insurance to cover any student debt and protect your assets.

Non-Student Loan Debts

Many students and their parents borrow from a home equity line of credit, 401(k) or mortgage or they charge college expenses on a credit card. These debts do not automatically cancel upon the student’s death. Life insurance can cover these debts and reduce the financial burden survivors face during this difficult time.

Consumer Debt

Many college students accumulate consumer debt, which may include credit cars and a car loan. Life insurance can cover these debts that must be repaid.

High-Risk Lifestyle

In general, college students between the ages of 18 and 25 face the highest risk of any age group for accidents. A life insurance policy provides a layer of protection for young people in this age group.

Marriage

One in four college students are either engaged or married. Life insurance provides valuable peace of mind and financial protection for young couples. Consider purchasing policies for both spouses that covers normal living expenses and any outstanding debt.

Final Expenses

Funerals can cost upwards of $10,000. Use the life insurance policy to pay for final expenses and provide the student and his or her loved ones with a fitting farewell.

Grieving

When a college student dies, grief may be especially difficult. A life insurance policy provides financial resources that allow the family to take time off work, attend counseling, host family and friends from out of town or travel as they cope with their loss.

Life insurance can be a valuable asset for college students and their families. Consider purchasing a policy this fall as you send your favorite college student to campus. Your insurance agent will be happy to provide additional details as you secure your student’s finances.

How to Save Money on Life Insurance

By Life and Health

lh-sept2016-3Life insurance is an important investment. It can be expensive, though. Save money on this valuable asset with several tips.

Shop From Financially Sound Companies
You can buy your life insurance policy from one of over 1,000 companies. Shop carefully to ensure the company you choose can pay any claims. The best insurance companies have high ratings from at least two independent rating agencies.

Get Several Quotes
After you find a few high-rated insurance companies, get several quotes. You’ll need to provide information about your health, and you’ll receive a class rating. The classes include:
Preferred (non-tobacco)
Standard (non-tobacco)
Preferred (tobacco)
Standard (tobacco)
Your rating determines your premium cost. Of course, you won’t know your exact cost until you complete a life insurance application, but these estimates give you a general idea of your life insurance cost.

Stop Smoking
Smokers pay up to double the amount non-smokers pay for life insurance. Quit and stay nicotine-free for 12 months to get better rates.

Lose Weight
Your weight can cause health issues like high blood pressure. Those issues affect your premium cost, so lose weight to qualify for a more affordable policy.

Choose Group Insurance
Employers, civic organizations and banks issue group life insurance policies. Look into this option as you save money on this valuable coverage.

Buy When you are Young
Young people are generally healthy. That means they typically enjoy lower life insurance premiums. Buy a policy when you’re young, and you get the best deal.

Consider the Net Cost Index
When purchasing whole life insurance, check out the net cost index. It helps you decide if you should buy a policy with low premiums and a low cash value or one with high premiums and a high cash value.

Look for a Renewal Guarantee
Term life policies often include a renewal guarantee that allows you to start a new policy when your current one ends. You won’t need to undergo a physical exam or provide other evidence of insurability that could cause your rates to increase.

Buy More Insurance
The cost of your term life policy might be cheaper if you purchase more insurance. Compare the premiums for several different amounts as you choose the most affordable policy.

Pay Annually
In most cases, you’ll pay less per month if you pay for the entire annual premium at one time.
Life insurance is an investment you should make. Instead of letting cost keep you from buying a policy, use these tips to save money and get the coverage you need.

When to Choose High Deductible Insurance

By Life and Health

lh-sept2016-2Health insurance is important, but it can also be expensive. You may feel like you have to choose between seeing a doctor and paying your premium. There are high deductible health insurance plans that make coverage affordable. When should you choose this option?

What is a High Deductible Health Insurance Plan?

High deductible health insurance plans feature low monthly premiums and a deductible that can range from $1,000 to $5,000 or higher. You will pay for all your health-related expenses until the deductible is met, and you will pay more for care if you visit out-of-network providers. The plan may also require you to pay co-pays or co-insurance. After the deductible is met, your healthcare needs are typically covered 100 percent.

What are the Advantages?

You will save money on monthly premiums when you buy a high deductible health insurance plan. You’re also eligible to open a health savings account. With an HSA, you can contribute pre-tax dollars that pay for you deductible and other medical expenses. These funds rollover and continue to accumulate annually.

What are the Disadvantages?

In many cases, high deductible health insurance will not cover every health need you may have. Check the policy before you buy to make sure it covers maternity care, well-child checks and any other health care needs you may have.

You also need to make sure you can afford the deductible. Insurance won’t pay for any medical expenses, including doctor visits, prescriptions or hospital care, until after the deductible is paid.

Is a High Deductible Health Insurance Policy Right for You?

The high deductible does intimidate many consumers, but this type of insurance could be right for you if you are healthy. Chances are good that you won’t need the coverage and can save money on premiums.

It also helps you balance your budget since the premiums are low. Many consumers of all ages select this option because of the appealing low monthly cost.

The HSA is another benefit. Use saved, pretax dollars to pay for your deductible and other medical expenses as you lower your tax obligations and invest in your health.

How to Maximize Your High Deductible Coverage

Get the most from your high deductible health insurance plan when you shop around and do your homework. All high deductible plans are not created equal, and you may be able to find better coverage or better premiums when you compare plans.

You can also save money when you challenge doctor fees. Ask if you can receive a cheaper rate, generic medication or alternative treatment.

With high deductible health insurance, you have important medical coverage. Discuss your options with your insurance agent today as you prepare for a healthy tomorrow.

When to Join Your Spouse’s Health Insurance Policy

By Life and Health

lh-sept2016-1Health insurance is an important investment. You may be able to save money and enjoy better coverage when you switch to your spouse’s policy. When is making this move a good idea?

When You Get Married

After you get married, you have a grace period in which you may enroll in your spouse’s health insurance plan. Check the coverage and prices to see if this option meets your needs and budget. Be sure to finish the paperwork before the grace period ends.

When Your Family Expands

Adopting or giving birth to a new child is cause for celebration. Add your new child to your spouse’s insurance coverage within the grace period if it’s affordable.

When you Lose Your Job

COBRA insurance is an option when you lose your job, but it’s often expensive since your employer no longer subsidizes your insurance premiums. Shop for your own coverage or join your spouse’s policy to save money on the health insurance you need.

When You Need a Different Doctor

Physicians regularly retire, change practices or choose not to participate with certain health care programs, and you may decide that you want a different doctor for personal reasons. Check into your spouse’s health insurance plan to find a different physician that meets your needs better.

When Your Health Changes

Your current insurance plan may not cover the health treatment you need. Consider switching to your spouse’s plan if it covers pre-existing conditions and the specialists you need

When You Move

If your move takes you to a new community and requires you to find new doctors, investigate your spouse’s insurance plan covers. You may be able to switch doctors and insurance coverage.

When Your Deductible or Premiums Increase

Deductibles and premiums do occasionally increase. Investigate your options to see if your spouse’s insurance is cheaper than keeping your existing coverage.

When you Need to Save Money

In some cases, your spouse may have more affordable insurance coverage than you do. Read the policy carefully. Premiums and even deductibles can increase when you add someone to your policy.

Wait for Open Enrollment

Open enrollment is the time frame in which you may change your insurance options at work. It usually falls at the end of the calendar year, but check with your Human Resources department for the exact dates.

Your spouse’s insurance coverage may be more affordable, convenient or better than the policy you have now. Do your homework as you decide when and if you should be added to your spouse’s health insurance policy.

Seven Benefits That Make Up for a Low Salary

By Employment Resources

er-sept2016-3Sometimes, your day job doesn’t include your dream salary. That’s okay. Several benefits make up for a low salary and can actually reduce your taxable income, provide valuable savings and give you more money in your pocket every week.

Health Insurance
Even if you have to contribute a portion of your health insurance premium, this benefit can save you big bucks. Typically, employer-sponsored health insurance plans have a low deductible and may provide coverage for your family or partner.

Life Insurance
In most cases, an employer-sponsored life insurance policy remains in effect as long as you’re employed with the company. It pays for your funeral expenses and other financial obligations or supports the charity of your choice.

Other Insurance Options
If your company offers dental, vision and disability insurance, consider taking advantage of them. These additional insurance options meet important needs and save you money.

Paid Time Off
Work a certain number of hours, and you’ll accrue paid vacation and sick time. You may also earn additional hours off based on your seniority. This paid time off may even be turned into cash if your company reimburses your unused paid time off at the end of the year.

Flexible Work Hours
Flexible work hours give you freedom to leave early for doctor appointments or come in late when you drive your child’s carpool. It’s a perk few companies offer and can reduce stress and help you achieve work-life balance.

401(k) Match
Many companies match employee 401(k) contributions up to a certain percentage. That free money builds your retirement nest egg and compounds over time. You could earn thousands of dollars simply by contributing the maximum amount your employer matches and staying with your company until you’re completely vested in the 401(k) program.

Flexible Spending Accounts
Sometimes, you health insurance doesn’t cover all your medical expenses, including co-pays and over-the-counter medications. It also doesn’t pay for childcare. Flexible spending accounts allow you to save pretax dollars to cover qualified medical and daycare expenses. Sign up and decrease your taxable income.

Stock Options
Some companies offer employees stock options. You may need to wait a certain amount of time before you’re eligible for this benefit, but after you own the stock, you can keep it or sell it as you wish.
These seven benefits can make up for a low salary since they provide financial rewards. Talk to your Human Resources manager today to see if they’re offered at your current job, and consider these benefits when you change jobs, too.

How to Ask for a Raise

By Employment Resources

er-sept2016-2Asking for a raise is stressful. You know you could use the money but don’t want to risk your job asking for it. Learn how to ask for a raise and receive the compensation you believe you deserve.

Be Prepared During Job Interviews

Money is a natural part of every job interview. Do your homework and be prepared to ask for the salary that matches industry standards and your experience. Ideally, it should leave wiggle room for negotiations, too.

Know How Raises are Determined

Before you start a new job or after your company’s management changes, ask for info about how raises are determined. Find out if you can earn more money when you learn new skills, receive a promotion or transfer to a different department.

Document Your Performance

Raises are often tied into performance, so prove to your boss that you are a valuable asset and worth more money. Document your performance over the past year, including any overtime you worked, projects you managed and goals you’ve met. Your solid numbers could influence your boss to increase your compensation.

Research Industry Standards

What do other people in your industry and position make? Do a little research and get figures so you can prove to your boss that you deserve more money.

Know Your Boss

Some bosses prefer a sales pitch and others crunch numbers. When you know what type of boss you have, you can create a raise request that appeals to him or her.

Schedule a Meeting

Your chances of getting a raise increase if you schedule a meeting to discuss it. Don’t try to have this talk in the hallway or after a stressful day. Set time aside to talk privately about a raise.

Time the Request

It’s never a good idea to ask for a raise after you made a big mistake or the company lost a big contract. Assess your timing before you go to bat for a bigger paycheck.

Practice Your Request

Initiating a conversation about money is easier when you’re confident. Write down why you deserve a raise and how much you want. Then practice your speech in front of a mirror or with a trusted friend until you’re confident enough to have a conversation with your boss.

Check Your Expectations

Even though you may deserve a raise and do everything right when you ask for one, your boss could still say no. Be prepared. Start tracking your performance and prepare for another conversation in six months or consider looking elsewhere for a job that does pay a fair wage.

A raise improves your quality of life and self-esteem. Consider these tips as you ask for your next raise at work.

 

Tips for Switching Your Benefits During a Career Change

By Employment Resources

er-sept2016-1When you change jobs, your benefits also change. It will take time for you to adjust to your new benefits, but the transition will be smoother and financially beneficial when you prepare.
Health Insurance
Before you leave your current job, visit the doctor. Get a physical, refill prescriptions and address any health concerns. Consider visiting the dentist and eye doctor, too, while those insurance benefits are in effect.

You’ll also want to use your flexible spending account funds. Stock up on vitamins, buy a new pair of glasses or pre-pay the babysitter with those funds.

Expect to wait up to 90 days before your new health insurance goes into effect. While you’re waiting, purchase Cobra insurance from your former employer or buy short-term health insurance. When you do become eligible for a new health insurance policy, choose one that meets your health needs and budget.

Life Insurance
When you leave your current job, your employer-sponsored life insurance policy is cancelled. Start researching options now. Ask your Human Resources manager if you can transfer the policy in your name or talk to your insurance agent about buying a policy in your name only.

Retirement Benefits
Your current 401(k) will remain open even after you leave your job and no longer contribute to it. Plan to roll that 401(k) into a new account as soon as you’re eligible for retirement benefits at your new job. For help with the rollover, talk to your Human Resources manager or financial advisor.

If you have a 401(k) loan, be prepared to repay the full amount. You’ll owe taxes on any unpaid amount.

Also, plan to continue making contributions to your retirement account. Open an IRA and continue the habit of saving for your future.

After you are eligible for a new account, contribute regularly. Be sure your contributions match the amount of money your employer is willing to match.

Salary
A new job could mean more money or a pay cut. Start planning a new budget now. Adjust your expenses, refinance debt, increase savings or take other necessary steps that help you balance your budget as you transition to a new salary.

Time Off
Find out how much paid time off you still have at your current job. Because you’ll probably need to wait a few months before you accrue vacation time at your new job, use your current time for a vacation. If you prefer cash, find out if you can be paid for unused time off.
Moving to a new job means your benefits change. Take these steps to make the transition as smooth as possible and maximize your benefits package at your current and new job.