Thursday, September 6, 2007
Everyone knows that health insurance is a very important thing to have. However, some people don't know that there are alternatives to group health insurance. While group health insurance usually costs less and offers more benefits, some people cannot get it. People who are self-employed or work for a small company have the option to choose individual health insurance. Individual health insurance is exactly what it sounds like; an individual buys health insurance for himself or herself.
It can sometimes be difficult to get individual health insurance (especially if you are over 50 years old). Many insurance companies may require you to take a medical exam to determine if you are insurable. For this reason it is important to look at many different insurance companies. Unfortunately, you may run into some companies that simply think you are too great of a risk. However, it is also a good idea to shop around for insurance policies because different companies give different benefits at different prices. You will be paying for the policy on your own, and so it is important to get the best deal for you and your family. A few things to consider when looking for a company are the amount and types of payments you will have to make, the amount of coverage you will receive, what exactly the plan covers, and if there are any limits to the plan.
There are a number of options available for individual health insurance. The options include fee-for-service insurance, managed care plans, open enrollment in managed care plans, association-based health insurance, and high-risk pools. Fee-for-service insurance, which can also be called indemnity insurance, is a more traditional type of insurance. The insurance company will pay for part of the cost of hospital stays and doctor visits, while the policyholder pays for the rest. This type generally costs more than other insurance types, but allows the policyholder to go to whatever doctor he or she desires.
Managed care plans, such as an HMO or a PPO, are very popular. Health insurance companies contract with select doctors and hospitals in these types of insurance plans. Therefore, policyholders are limited to a select group of doctors and hospitals. Some plans, like PPOs, may allow the policyholder to visit doctors outside of the network, but it will cost more. People with this insurance policy generally pay a very small co-payment at a doctor visit. Some states have requirements in place that force managed care plans to have an "open enrollment" period each year. The timeframe is usually a month, and managed care plans are required to let anyone join the plan even if they have a serious medical condition.
Association-based health insurance is acquired through a trade or professional association. If you belong to a professional, community, or religious organization, you may be eligible for their insurance policy. Naturally, you should learn more about your group's insurance policy before signing up.
High-risk pools can be sources of insurance for people who have not been able to get other types of insurance because of a serious medical condition. This type of insurance is seen as a last resort, and the policies regarding it vary from state to state.
Although individual insurance plans cost more than group insurance plans, it is still very important to be covered. Researching different companies and deciding which type of plan is right for you can help. Today, many people need hospital treatment, and those without insurance face many difficulties. Even though it may cost a bit, in the end, if you have a serious medical problem, you will be happy that you signed up for insurance.
Sarah Grueson recommends individual health insurance from BUPA International.
Modern Cash Flow Unites Investors and Note Holders
Joseph Sprauer turns paper into cash – and makes magic for investors and note holders in the process. Sprauer, the CEO of Modern Cash Flow Solutions (www.moderncashflowsolutions.com), is a facilitator. If, for example, you won the lottery (and who hasn't envisioned that?), your winnings might be paid in installments over a period of 20 years. Sprauer would find an investor who would buy your lottery winnings, literally giving you immediate access to the cash you need.
While the odds of winning the lottery are a long shot, being able to get cash for paper assets is a sure bet. "When a seller presents us with a note, we appraise its worth and find an investor who wants to buy the note," says Sprauer. "We have 350 individual and institutional investors who are eager to buy debt instruments." This "paper," as it is called in the financial world, can be anything from real estate mortgages and auto loans to estate settlements and – yes – lottery winnings.
In fact, there are over four dozen different types of notes that interest investors. One of the most compelling is the seller-financed mortgage. Even considering the low rates offered by institutional lenders, Sprauer emphasizes the significance of the private financing segment of the mortgage lending market. "There are over $100 billion in assets within the residential market," he says. "And that number continues to grow."
While there are a number of reasons why sellers choose to finance mortgages, there often comes a time when circumstances change and those who hold the notes need access to cash. "Perhaps the holder of the note has the opportunity to move his investment into a segment with higher returns, or maybe he simply has bills to pay or a child to educate," Sprauer says. "At that point, there is a compelling reason for him to sell the note to investors and receive immediate cash."
Typically, however, the person who holds the debt instrument doesn't have a ready supply of investors to call. Likewise, investors are more interested in crunching numbers than they are in fielding calls from potential sellers. That's why companies like Modern Cash Flow Solutions specialize in bringing together sellers and investors. "We do all of the legwork for both parties, and have the advantage of experience, training, and a huge network of resources," says Sprauer.
Note holders and investors aren't the only people who benefit from Sprauer's services. Professionals such as attorneys, real estate agents, and CPAs frequently offer Sprauer's expertise as an ancillary service to their clients who need to cash in paper assets. "An accountant might recognize that his client would reap tax benefits if she liquidated her notes," Sprauer says. "Or an attorney may recommend that her cash-strapped client sell his settlement note in order to improve his quality of life."
Even "civilians" can get a slice of the proverbial pie. Those who refer friends and acquaintances to facilitators like Sprauer can earn a finder's fee. "We're always on the lookout for people who want to sell notes," he says, "and we appreciate it when individuals take the initiative and hook us up with potential clients." It may not beat winning the lottery, but it's money you can take to the bank.
Principle 10 - putting your money into motion
Learn how to get your dollar to do more than one thing at the same time: generate multiple streams of passive income. Have more than one strategy for generating passive income because if that one source goes bad, you're in a world of hurt.
How banks get rich and how to use their wealth-building tactics
Imagine you deposit $1,000 in the bank. For every $1,000 the bank receives, the Federal Reserve will lend the bank $10,000. What do they do with the extra money? Give out car loans, for example, at 10 percent interest, when the bank is paying six percent interest on the same amount it borrowed from the Federal Reserve. This is a small fraction of how banks make money. The car dealer accepts $10,000 for the car, deposits it at the bank, and the bank then receives $100,000 for every $10,000 deposited. That initial $1,000 investment has been leveraged well. This is how banks get rich and how you should be thinking in regards to wealth building. How can you leverage your money, take the profit and reinvest it over and over?
It's not what you make, but what you do with what you make
A student came to me recently. He's a professional who makes an annual salary of $400,000. He admitted he can make money but has nothing to show for it. Besides the equity in his home, he had no retirement, investments, savings and $150,000 in credit card debt. This is not uncommon. Because he spent every penny he was making, it was challenging for him to save any money each month. We started depositing a modest $100 each month into a savings account. We then found $10,000 in tax deductions for him using Pathfinder's strategies. He immediately deposited his $10,000 annual bonus into the savings account and accepted a side job teaching (between $50,000 to $100,000 in addition to his annual salary) to put toward savings. When you uncover more money that's discretionary income, commit it to savings (or retirement savings) so you can put the wealth building into motion.
*Risk capital is a small percentage of your savings that is committed to higher level investments. It's wise to build this into your savings account, however you should never bet the $50,000, which took you 15 years to grow, on one deal. The risk is too high.
During my years of law school, I completed an internship with a New York Supreme Court Justice and second legal internship with a law firm and also began investing in real estate. Immediately upon graduating law school and passing the bar exam, I opened my own law practice. From 1988 to 2001, I practiced with my partner under the name Miles and Gillard, where I concentrated in the area of real estate and business law.
Drew Miles
Find Out More:
http://www.irabusinesssystem.com/During my years of law school, I completed an internship with a New York Supreme Court Justice and second legal internship with a law firm and also began investing in real estate. Immediately upon graduating law school and passing the bar exam, I opened my own law practice. From 1988 to 2001, I practiced with my partner under the name Miles and Gillard, where I concentrated in the area of real estate and business law.
Drew Miles
Find Out More:
http://www.irabusinesssystem.com/
