The differences between health insurance and a health savings account are not always clear. In fact, this murkiness is likely responsible for the relatively low adoption rate of health savings accounts even though they offer a number of benefits over traditional health insurance. The differences between the two types of health care coverage are explained below along with some reasons why a person might choose one over the other.

What Is a Health Savings Account?

A health savings account (HSA) is really just another name for a high-deductible health plan (insurance plan) that has special tax-advantaged status. The basic premise is that high-deductible plans have lower premiums and so are more affordable. However, because they have high deductibles, people tend not to use these plans for routine health maintenance. To encourage people to undergo preventive care while keeping a handle on overall health care costs, it was decided to allow people to create tax-advantaged savings accounts from which they could pay medical expenses and the deductible of an HSA plan.

The savings account is really the heart of the HSA. It allows individuals (not companies or the government) to set aside a certain amount of money in a savings account each year. As long as that money is used for medical expenses, it is never taxed. The idea is that the government is making more of an individual’s income available for health expenditures by not taxing income contributed to an HSA.

This approach differs dramatically from standard insurance, which has high premiums but usually provides immediate, full coverage. For many people, traditional insurance premiums are financially untenable. The idea of the HSA is to provide an option that prevents people who cannot afford traditional insurance from going without insurance or from falling back into government safety nets, which tend to be a burden on taxpayers.

What Are the Benefits of an HSA Over Insurance?

For healthy individuals, HSAs, like those offered by HSAforAmerica.com, can reduce health insurance premiums and decrease the overall cost of health care. They are particularly advantageous for young individuals who see a doctor less than once per year. Money put into a medical savings account rolls over from one year to the next with the idea that people are continually saving for future health care costs that may arise in older age. In general, HSAs are beneficial because they

.   allow individuals to decide how much money they set aside for health care costs,

.   allow individuals to control how health care dollars are spent (no PPOs or HMOs),

.   ensure that the money belongs to the individual and not the employer (it follows the individual wherever he or she goes),

.   allow unused money to roll over each year, and

.   provide a tax benefit that improves health care savings as well as quality of life.

What Are the Benefits of Insurance Over an HSA?

HSAs aren’t for everyone. If a person needs health coverage to begin immediately and cover relatively large expenses (child birth, surgery, etc.), then the high deductible of an HSA will mean that the such a plan is too costly, in the short term, than a traditional health insurance plan. Health insurance is beneficial to those who

.   need immediate coverage,

.   find it difficult to navigate the complexities of health care systems,

.   find it difficult to save money each month, and

.   would take money from the HSA for non-medical expenses.

Right or Wrong?

The decision between traditional insurance and an HSA is a personal one. If you are young, relatively healthy, and able to set aside a bit of money each month, then give strong consideration to an HSA. Remember that if you have traditional health insurance, you cannot carry an HSA (though you can purchase a small catastrophe policy to cover you during the first few years of an HSA while you accumulate savings). Choose the plan that is right for you by following the tips above.

Ron Sheffer has worked in healthcare for many years. He frequently blogs about common questions everyday people have about navigating the healthcare system.

Everyone wants to get the best possible deal when it comes to paying for their car insurance but the problem is knowing what to ask and what to look out for in order to get the best rates.

There are so many small details or aspects that could change your quote and also where you get your insurance from will also make a difference to the price you pay.

Here are some simple and easy ways to help you cut the cost of your auto insurance.

Shop around

If you have ever paid for something at first shop you see and then find it is cheaper somewhere else, that hurts.

It pays to shop around for most things and that is certainly the case when it comes to motor insurance where the difference between quotes can sometimes not just be a few dollars but quite often, a few hundred dollars, which is money that would better staying in your bank rather than needlessly giving it to someone else.

Comparisons sites can be a bit tiresome to use for some but it makes sound sense to type in your details and let the various search engines come up the best quotes in a quicker time than you could.

Think about bundling

An area of insurance that many people fail to take advantage of is bundling. Very often, your insurer may be able to offer a premium discount if you take out more than one policy with them.

Having your car and home insurance with the same insurance provider despite the fact that they are separate policies may well be a good route to extra savings, but be careful that you don’t end up paying too much for one of them in order to get what looks like a better deal on the other one.

Bundling is worth thinking about and if you don’t ask you don’t get, so it is always worth posing the question to see if your existing insurer is prepared to reward your loyalty with a discount.

Use a broker

There are several advantages to using a broker rather than trying to do all the work yourself.

Experts like BrokerLink have the knowledge and access to deals that may not be available anywhere else and they can do the research needed to find the best rates they can for you without having to always be biased towards one particular insurance company, which is important if you are trying to get the best deal.

It also makes sense to build a relationship with a broker as they can help you out and advise you if you have any problems or need to make a claim, so you get a more personal service than you would do if you bought your policy online.

Always ask about special discounts

Most insurers offer discounts even if some of them don’t like to advertise the fact. It is a competitive environment and they are competing for your business so many will try to entice you to take out your car insurance with them by offering some sort of discount.

An area that is also worth exploring is special discounts, which is where you get even more money off your renewal quote if you meet certain additional criteria or conditions.

Examples of where you might be able to get a further special discount include having VIN etching in automotive glass, the fact that you are an alumni of a local college or university, even having good grades can make a difference.

You can earn special discounts by taking a defensive driving class or fitted your car with an alarm system, so whatever you do that will enhance your personal profile or the security of the vehicle, make sure you mention it as you might get a special discount.

Check the deductibles

Deductibles are the amount that the insurance company will hold back from your insurance claim payout and you should always check the level of deductibles on your insurance quote as this is the easiest way that your insurer can make their price look more attractive.

The general line of thinking is that low premiums will mean that there is probably a high deductible involved and if you choose to lower the amount on request, then the premium will rise accordingly.

There is nothing wrong with a high deductible to get the premium down but only do it if you have the spare cash available to make up the difference if you have to make a claim.

There are savings to be had out there on your auto insurance, you just need to know what to ask and be sure to tell them if you think your circumstances or qualifications mean you might be entitled to an even better rate.

John Wilber is a retired insurance broker and grandfather of five. When he’s not visiting with his grandkids, he likes to write about what he learned in the insurance business in order to help others.

A serious disease may cause severe money drain and leave you wondering how to reduce the expenses and secure a relative financial stability while fighting for your health. Examples of diseases, which may involve high costs for medication, in-home care, medical services or procedures that are not covered by a medical insurance, are cancer, late stages of diabetes and its complications, heart failure, severe kidney or liver diseases, neurological disorders like epilepsy or multiple sclerosis, among others. Staying optimistic and looking for valid solutions instead of dwelling on negative thoughts is the best strategy one can adopt when fighting a disease. Here are three tips for saving money while battling a disease.

Complications Of A Severe Disease Are The Largest “Consumers” Of Healthcare Resources And Money

With diseases like mesothelioma which may have been cause by workplace exposure or non natural circumstances, expert advice should be sought from specialists such as Irwin Mitchell who may be able to help victims claim compensation.  On the other hand a disease like cancer is costly and effort-consuming by itself. However, if one is irresponsible and careless when implementing the recommended medical treatment, they may expose themselves to multiple complications, which may cause expenses to go sky high. Even though following a strict treatment regimen may seem depressing and annoying for some, and they may have the tendency to become careless, preventing complications through a thorough treatment is the only chance to prevent additional costs. For example, individuals with cancer or advanced stages of diabetes are vulnerable to infections due to a weaker immune system. Malnutrition may impair the body’s ability to fight the disease. Even accidental complications, such as falls resulting in bone fractures, can severely damage one’s financial security if they fail to implement doctor’s suggestions and precautions.

Try To Cook Instead Of Eating In Restaurants Or Ordering Home-Delivered Food

This simple suggestion has many benefits for individuals who are physically able to cook in terms of saving money. First of all, cooking your own meals results in a healthier diet because you use fresh ingredients and you know your tastes. You can start cooking healthier meals that incorporate more fresh vegetables, fruits, nuts, seeds, fish, whole-grain, legumes or low-fat dairy, which may result in great-looking food and a beneficial intake of vitamins, antioxidants, minerals and protein. The next direct benefit is saving money. With a small effort and a time investment, you can save on your food expenses while eating healthier. The third benefit consists in engaging in a dynamic occupation that can distract your mind away from negative thoughts. Creating something with your own hands is always pleasant, and small pleasures like these are something one really needs when battling disease.

Rent A Room In Your House Or Apartment To A Person Who Is Knowledgeable In Medical Or Emergency Care

If you have unoccupied rooms in your house or apartment, you may save money by renting one. You can go even further and rent a room to a person who knows how to handle medical emergencies or urgent home care needs for a discounted price. A nursing student, a person who has served in the military or someone whose work involves handling crisis situations make great candidates. It may be beneficial to have some peace of mind knowing that a well prepared individual is ready to help you, if you ever need urgent care or medical attention. Moreover, you may discover that renting a room to a nice “stranger” may change your life through more communication and maybe even a friendship. However, it is useful to conduct an interview and ask for some ID or certifications before letting someone live in your house.

Fighting for your health is a costly endeavor, but with a few smart adjustments you can reduce the financial burden. Even more important than saving money is a positive mental attitude and a fighter spirit. Don’t hesitate to ask for help whenever you need it, and you may be surprised how many people are willing to offer their support and knowledge.

Linda Newman has extensive experience as a nurse. She enjoys sharing her research through blogging and her articles mainly appear on health blogs.

The cost of college tuition has skyrocketed in recent years. Students are faced with higher education costs, fewer employment opportunities and less financial help from mom and dad. Many turn to student loans as an alternative way to fund their higher education. But there are other options.

Tips to Avoid Huge Student Loans

If you are looking into colleges, you know that a four year education at any private or even public institution comes with a hefty price tag. Students who want the experience of living at college can expect to pay anywhere from $20,000 a year and up just to get a degree. In previous years, college was much more affordable than it is today. Students were given opportunities to attend college by getting assistance from family members and grants from state and government organizations.

But the economic downturn of recent years has put a squeeze on many of these education funding options for prospective students. In fact, student loans have become more popular than ever and are a common way for college kids to fund their educations. But when they graduate, they are often faced with large amounts of debt and not enough income to pay it all back.

Alternatives to Student Loans

So what should today’s student do if they do not want to take out a student loan? Below are several alternatives to student loan funding:

• Community College – Although this may not have the same appeal as living at college, community colleges provide educational curriculums on par with many universities but for a lot less money. Students can live at home and work while they attend school and in most cases, students can transfer to a university after attending community college for two years. This gives them time to save on education costs and put money aside for the expense of a university.
• Work – Most kids today forget that their parents and grandparents had to work when they were teenagers. Whether you work while you are in high school or college, or perhaps participate in a work study program, there are a number of ways to earn money while attending college that can prevent you from having to take out a student loan.
• Scholarships – Every community has organizations that offer scholarships to students. The internet makes it even easier for graduates to apply for scholarships throughout the world. Students should take advantage of every opportunity to receive scholarship money as an alternative to a student loan because scholarships are financial gifts that do not get paid back.
• Grants – Although you may not qualify for many grants, you may qualify for some with certain colleges and not with others. This could make a significant difference in the overall cost of tuition. Check to see what you are eligible for at different colleges and consider that before you decide which school to attend. Grants, like scholarships, do not get repaid and can be applied directly to the overall expenses you incur in college.
• Budget – When students head to college, they are taking their first steps into the world of adulthood. Part of becoming a responsible member of society is learning how to be responsible with money. Learning how to develop and stick to a budget is a great way for students to stay on track with the limited finances they have during college and can help them avoid getting into financial trouble.
• Resident Advisor Status – Resident Advisors are students who live in the dormitories on campus and manage the other residents. They are usually upper classmen and are required to be in the dormitory during certain hours. But these positions allow students to receive huge discounts on housing and tuition and can help drastically reduce the overall cost of college.
• Distance Learning – Online college classes are offered through a variety of colleges. They can help lower education costs because students usually pay a lower fee for these classes and do not have to purchase books or other class supplies.

What to do if you have a student loan.

If you already have a student loan, follow some of the tips listed above so that you can minimize the loan amount you may need in the future. Determine how much money you owe and if you can, start setting aside money now to pay the loan back while you are still in college. This will allow you to get a jump start on your repayment when you graduate. Consider working through college to earn enough to pay the loan back so that you can graduate without that debt looming over your head.

If you have graduated and are finding it difficult to pay back your existing student loans, consider a debt settlement. There are many different organizations that can help you settle your student loans, but there are also many companies that are less than reputable. The best way to settle student loan debt is to work with an experienced debt settlement lawyer who can determine the best course of action you need to take to fully resolve your student loan debt.

Check Their References

Before you decide whether or not to consider an  employee, you must check their references. It is recommended that you ask for and then call at least three of your candidates’ references. You are given a good idea of what type of employee your candidate will be  if they give two professional references and one personal. References that come from personal sources are important because they establish not  only your candidates’ credibility, but their personal character as  well.

Get Liability Insurance

Before hiring employees, it is essential that you get liability insurance. You never know if an employee will ever decide to sue your business sometime down the road. A general liability  insurance policy will protect your business from any claims or lawsuits  that are made against you. Being the owner of a business is never an  easy job, and it doesn’t make it easier if you ever have the threat of a  lawsuit looming over your head. That is why it is essential to have  general liability insurance. If you are shopping around for insurance, New York General Liability Insurance is a great option that is worth  looking at. New York General Liability Insurance will pay the lawsuit,  making it a stress-free situation for you. General Liability Insurance  is crucial to protect you in the case that an accident occurs at your  business, and a lawsuit or claim springs up against you.

Prescreen Your Potential Employees

Prescreening your potential employees allows you to save a lot of  time during the interviewing and selection process. Many employees look  great on paper, but when it comes time for a prescreening interview,  their qualifications end up not being truly fit for the job. Another  benefit of prescreening your candidates is that it can establish whether  their expected salary matches the job that you’re offering. In many  cases all that is needed is a telephone interview to effectively  conclude whether or not the potential employee is a good fit.

Write a Straightforward Job Description

Job descriptions give you a good idea of what type of employee you’re  looking for; this helps you not waste time in the interviewing and  recruiting process. Writing a solid job description includes detailing  the characteristics of the employee who would best be suited for the  position as well as the duties that the position entails. Knowing your  job description will also aid in creating interview questions that will  highlight how the potential employee will fit your business’s culture,  as well as how they will get along with any team members.