Insurance

=**INSURANCE DOMAIN**=

What you should know about the various types of insurance policies before getting insured. All policies are not the same. Some give coverage for your lifetime and others cover you for a specific number of years. Here is a snapshot of the types of policies and what they offer.

Term Insurance
Term insurance covers you for a term of one or more years. It pays a death benefit only if the policy holder dies during the period the insurance is in force. Term insurance generally offers the cheapest form of life insurance. You can renew most term insurance policies for one or more terms even if your health condition has changed. However, each time you renew the policy for a new term, premiums may climb higher, just like a rent agreement every time you renew the lease. This policy is particularly useful to cover any outstanding debt in the form of a mortgage, home loan, etc. For example if you have taken a loan of Rs10 lakh, you will have an option of taking an insurance to protect the loan in case of passing away before the debt is repaid.

Whole Life Insurance
Whole life insurance covers you for as long as you live if your premiums are paid. You generally pay the same premium amount throughout your lifetime. Some whole life policies let you pay premiums for a shorter period such as 15, 20 or 25 years. Premiums for these policies are higher since the premium payments are made during a shorter period. There are options in the market to have a return of premium option in a whole life policy. That means after a certain age of paying premiums, the life insurance company will pay back the premium to the life assured but the coverage will continue.

Money Back Insurance
The money back plan not only covers your life, it also assures you the return of a certain per cent of the sum assured as cash payment at regular intervals. It is a savings plan with the added advantage of life cover and regular cash inflow. This plan is ideal for planning special moments like a wedding, your child's education or purchase of an asset, etc. Money back plan have "participating" and "non participating" versions in the market.

Endowment Assurance
Endowment insurance is a level premium plan with a savings feature. At maturity, a lump sum is paid out equal to the sum assured (plus dividends in a par policy). If death occurs during the term of the policy then the total amount of insurance and any dividends (par policy) are paid out. There are a number of products in the market that offer flexibility in choosing the term of the policy namely you can choose the term from five to 30 years. There are products in the market that offer non participating (no profits) version, the premiums for which are cheaper

Universal Life
This is a flexible life insurance policy and is also market sensitive. You decide on the several investment options on how your net premium are to be invested. While the mony invested has the potential for significant growth, such funds are subject to market risks including the loss of the principal.

Unit Linked Product
Market-linked plans or unit-linked insurance plans (ULIP) are similar to traditional insurance policies with the exception that your premium amount is invested by the insurance company in the stock market. Market-linked insurance plans (MLP) mimic mutual funds and invest in a basket of securities, allowing you to choose between investment options predominantly in equity, debt or a mix of both (called balanced option). The major advantage market-linked plans offer is that they leave the asset allocation decision in the hands of investors themselves. You are in control of how you want to distribute your money among the broad class of instruments and when you want to do it or pull out. Any of the products mentioned above except term products could be unit-linked.

Riders
Riders are additional add-on benefits that you could opt to include in your policy over and above what the policy may provide. However, these additions come at an extra premium charge depending of the rider you opt for. These riders cannot be bought separately and independently. The extra premium, nature and characteristics of the riders are based on the base policy that is offerred. Some riders available in the market are : 1. Accident Death Benefit: Provides a additional amount in case death occurs as a result of an accident. 2. Term Rider: It allows the payment of an additional amount should death of the insured happens. 3. Waiver of Premium: In case of total and permanent disability of life insured due to accident or any other means this rider allows premiums on base policy or riders to be waived. 4. Critical Illness: It provides payment of an additional amount on the diagnosis of some critical illness.

Healthcare Coverage in the U.S.

 * [|Flexible Spending Account (FSA)]
 * [|Health Maintenance Organization (HMO)]
 * [|Health Savings Account (HSA)]
 * [|Health Reimbursement Arrangement (HRA)]
 * [|Indemnity and Traditional Coverage]
 * [|Point-of-Service (POS)]
 * [|Preferred Provider Organization (PPO)]

FSA
Flexible spending accounts allow members to use pre-tax dollars for certain eligible medical and dependent care expenses. Members fund their FSAs with contributions that come out of their paycheck.

As an FSA administrator, [|Blue Healthcare Bank] provides support for member pre-enrollment, group set-up, member enrollment, payment options, qualified medical expense substantiation, customer service, billing and reporting.
 * Learn more about the [|Blue Healthcare Bank]
 * [|Request BCBS insurance information]
 * [|Contact your local BCBS company]

HMO
A Health Maintenance Organization (HMO), is a health care system that assumes or shares both the financial risks and the delivery risks associated with providing comprehensive medical services to a voluntarily enrolled population in a particular geographic area, usually in return for a fixed, prepaid fee. Collectively, the Blue Cross and Blue Shield System provides healthcare coverage for more than 99 million people in all 50 states, the District of Columbia and Puerto Rico. Today, more than 16 million people are members of a Blue Cross and Blue Shield HMO. Blue Cross and Blue Shield HMO members have access to healthcare benefits across the country.
 * [|Request BCBS insurance information]
 * [|Contact your local BCBS company]

HSA
Health savings accounts (HSA) allow members to save money into tax-advantaged accounts. Qualified contributions made to HSAs are tax-deductible, and funds withdrawn to pay for qualified medical expenses are tax-free. More information about qualifying expenses and the HSA regulation, Section 213(d) of the IRS Tax Code is available on the [|IRS website].

Depending on the level of integration a participating Blue company elects, [|Blue Healthcare Bank] can provide support for HSA member pre-enrollment, group set-up, member enrollment, payment options, customer service, billing and reporting.
 * Learn more about the [|Blue Healthcare Bank]
 * [|Request BCBS insurance information]
 * [|Contact your local BCBS company]

HRA
Health reimbursement arrangements (HRA) are accounts that employers can establish for employees to reimburse a portion of their eligible family members' out-of-pocket medical expenses, such as deductibles, coinsurance and pharmacy expenses.

As an HRA administrator, [|Blue Healthcare Bank] provides support for member pre-enrollment, group set-up, member enrollment, payment options, qualified medical expense substantiation, customer service, billing and reporting.
 * Learn more about the [|Blue Healthcare Bank]
 * [|Request BCBS insurance information]
 * [|Contact your local BCBS company]

[|Indemnity and Traditional Coverage]
Traditional insurance provides members with the most freedom of choice, and offers the most control over your health care. Traditional insurance, also known as indemnity or fee-for-service, allows members to select any provider, however, benefits are maximized when using a Blue Cross or Blue Shield participating provider. Collectively, the Blue Cross and Blue Shield System provides healthcare coverage for more than 99 million people in all 50 states, the District of Columbia and Puerto Rico. Today, nearly 13 million people receive traditional (indemnity) healthcare coverage through a Blue Cross and Blue Shield company.
 * [|Request BCBS insurance information]
 * [|Contact your local BCBS company]

POS
Point-of-service (POS) coverage is a healthcare option that allows members to choose medical services that are needed and whether they will go to a provider within the BCBS plan's network or seek medical care outside of the network. Collectively, the Blue Cross and Blue Shield System provides healthcare coverage for more than 99 million people in all 50 states, the District of Columbia and Puerto Rico. Today, 4.8 million people are enrolled to receive POS coverage from a Blue Cross and Blue Shield company.
 * [|Request BCBS insurance information]
 * [|Contact your local BCBS company]

PPO
A preferred provider organization (PPO) is a healthcare benefit arrangement designed to supply services at a discounted cost by providing incentives for members to use designated healthcare providers who contract with the PPO at a discount. Members enrolled in PPO coverage can also receive coverage for services by healthcare providers who are not part of the PPO network. Collectively, the Blue Cross and Blue Shield System provides healthcare coverage for more than 99 million people in all 50 states, the District of Columbia and Puerto Rico. Today, 65.8 million people are members of a Blue Cross and Blue Shield PPO.
 * [|Request BCBS insurance information]
 * [|Contact your local BCBS company]