Weekly Finance Reviews

Archive for the ‘Life Insurance’ Category

Employees and employers often ask why the insurer cannot merge employment benefits and Workers Compensation, thereby providing 24-hour coverage for accidents and illnesses.

For regulatory purposes, this would be like mixing apples and oranges – medical health insurance benefits provided as worker benefits are underwritten by companies or organizations under the life and medical health insurance regulations of the state Department of Insurance. Workers Compensation is normally under the jurisdiction of the Property and Casualty regulations. (Workers Compensation can be provided through a state-owned monopoly also).

State laws make WC mandatory for all employees of a firm of a positive size, or involved in a positive occupation. EB is optional and is more common with sizable employees, i.e. there is no known regulations (at this time) that require ALL employers to provide worker benefits.

Forgetting for the moment that for Workers Compensation (WC) purposes all employees are covered immediately after hire, whereas under an worker Benefit (EB) program, there is normally a waiting period before coverage can be offered, and normally it is not available to part-time employees, there’s some other determining differences.

The primary difference is that WC pays for all medically necessary care, income replacement benefits, and vocational rehabilitation. EB pays for medical benefits which may be limited in scope (may not pay for all medically necessary care) and they normally do not pay for disability. If the employer does have a disability plan as part of worker benefits, it’s a waiting period and usually coordinate with WC.

For the worker, the principal difference is that WC is provided at no cost to the worker, whereby EB may require the worker to pay part of the premium. Also, the medical health insurance plans normally have deductible and coinsurance provisions.

At this particular time, there is a major health care benefit provider active only in one state, that has just started offering WC through an affiliated company. The life and health agents may sell WC, but only under strict conditions and under the license of a Property and Casualty general agent. This experiment ought to prove fascinating and it can be expected that other sizable health benefit providers may offer this coverage.

One note of caution: Some indemnity insurers offer individual Major Medical plans which cover job-related accidents or illnesses if the insured is not covered by Workers Compensation insurance. However, these plans only cover the medical benefits, and are subject to deductible, co payment provisions, etc. Specifically, they do NOT cover disability payments.

Buying Life Insurance

Protecting Others

Many people think that buying insurance is all about themselves. They believe that a coverage policy is for personal protection and safety and nothing else. For many types of coverage, this is true. However, there are some types that are more about protecting others, protecting families or loved ones. While there is no life insurance Australia requires that anyone purchase through governmental regulations, this is one of the types that it is smart for people to have, because it is all about making things better for other people. It is all about offering security and financial freedom to those who are still alive after the policy holder passes away.

How It Helps

Dying itself can be very costly in terms of funeral and burial expenses. Someone needs to pay for these things; often, the family of the person who has passed away is stuck with a lot of costs that they may not be able to afford. They may have to scrape the money together while mourning the death of someone very close to them. In Australia, life insurance can prevent this from happening. It can provide the money for the funeral ceremony, the burial plot, the workers and the burial itself, and any other costs that have been incurred along the way. Feel free to explore Guardian Funeral insurance offers.

Above and beyond those things, this money can also provide a way for the people who have been left behind to make it in the world. If the person who passed away was the main provider for a family, especially a family with young children, the family will need some way to pay off their bills and the other expenses of living in a modern society. They may also need to pay off any outstanding debts that have been left behind by the person who has died. The money from the policy can be used for all of this and anything else that is needed. If you want to learn more about insurance, you can visit: http://www.guardianinsurance.com.au/Insurance.aspx.

The Bliss Of Security

The family of someone who has passed away will still be sad after they are gone no matter how much financial compensation they receive. This cannot be helped; it is a natural part of the process. However, the money can give them financial security and hope for the future. They will not have to worry about making ends meet and paying off debts. They will not have to spend all of their savings. They can go about their lives in financial security while they adjust to the world and the way that it is without the person they have lost.