How Health Care Reform Could Change Workers’ Compensation

Ever since the Patient Protection and Affordable Care Act passed in 2010, there has been much speculation about how the new laws will change the face of health care in the United States. Much of the attention has focused on the new requirements for individuals to carry health insurance coverage and the impact that will have on employers. 

However, health insurance isn’t the only type of insurance coverage that will be impacted by the new laws. The expanded health care coverage regulations are also expected to affect workers’ compensation insurance. How those effects will play out remain to be seen, but there is speculation that there will be significant decreases — and potential increases — to workers’ compensation costs.

Better Health Care, Fewer Injuries, Lower Costs

Each year, there are millions of workers’ compensation claims filed, costing employers — and hospitals — billions. However, according to researchers, not all of those claims are actually due to work-related injuries. In many cases, employees without adequate insurance coverage would use their workers’ compensation coverage to pay for treatment for pre-existing conditions or injuries. Under the new health care law, the individual mandate requires that everyone carry at least basic health insurance coverage. This means that people may be more likely to seek treatment for illness and chronic conditions via their regular insurance coverage, and not file a workers’ comp claim — thereby lowering the cost for workers’ compensation.

However, and perhaps more importantly, experts predict that the actual number of on-the-job illnesses and injuries will actually decrease thanks to the PPACA. Because employees will have better access to health care, particularly preventive care and chronic condition management, they will be healthier overall. While conditions like obesity and diabetes or behaviors like smoking are not generally the specific cause of a workplace injury, they often contribute to the severity of the injury or illness, thereby increasing costs. Ideally, the PPACA will improve overall health, and reduce overall costs.

Cost Shifting

While many people believe that the PPACA will lower the costs of caring for sick or injured employees, others predict that the new laws will only shift the costs to different payers. When employees have adequate health coverage, they may be more likely to simply use that insurance to cover their expenses, rather than make a workers’ comp claim and endure the scrutiny and red tape that often ensues. So while specific workers’ comp claims will decrease, the overall costs for health care will remain flat, or even increase, as those who would not have sought treatment previously, now do so.

Changes to Medicare reimbursement rates could also impact workers’ compensation once the law goes into effect. On the surface, because hospitals will no longer have to bear the significant burden of covering free or reduced care for low-income patients without health coverage, they won’t have to bill workers’ compensation insurance as aggressively as they do now. However, because workers’ compensation rates are tied to Medicare reimbursement rates — which are perpetually on the chopping block — there may be little difference in how hospitals bill workers’ comp, and they may actually increase the charges to workers’ compensation insurance to make up for shortfalls.

Claim Process Changes

Because cost containment is one of the primary goals of the PPACA (watch an informative video about the act here), certain changes to how claims are processed and managed are predicted to help manage costs. Because the new laws call for better care coordination and standardized reporting, the overhead costs of managing and processing claims should decrease. In addition, many states are enacting new laws calling for mediation, rather than litigation, in workers’ compensation dispute cases. Mediation will reduce the length of time it takes to process claims — and potentially get employees back to work sooner — and also potentially help reduce claim payments.

Again, there is much speculation about how the PPACA will affect workers’ compensation coverage and claims, and only one thing is certain: There will be changes. Employers who are navigating the new landscape of health care reform should seek more information to understand how the changes will impact them and how they can best position themselves to make a seamless and affordable transition to the new health care landscape.

About the Author: Eleanor Harpswell is the benefits and compensation manager for a New England–based manufacturing firm. A former insurance professional, she contributes to several industry publications, offering insight and analysis into issues related to managing employee insurance coverage.

3 Strategic Investment Planning Tips for Seniors

Investment planning is important throughout live but even more so if you are a senior. Your investments will become important to you as you move through retirement. The biggest problem that could occur is running out of money. Taking these three strategic investment planning tips will help you along the way, offering you money and markets stock advice and steering you away from mistakes and onto the path of investment success.

1) Do not invest too conservatively

While some planning is contingent upon your current health and estimation of how long you will live, financial planners who specialize in money & markets stock advice tell seniors to plan to live at least 90 years. If you retire at 65, that is 25 years of retirement! Investing moderately when you are retired is the best way to guarantee your investments will perform at or better than the inflation rate, something a lot of seniors do not take into account. You should take a look at your investments, reevaluating your strategy on a regular basis and planning in 5 year increments.

The markets change, but the value in your investments should be as averse to downward pressure as possible while responding well to stock market gains. Obviously, it can be scary to invest in such a volatile market, but investing too conservatively can lose you a lot of gains.

2) Never change your course suddenly

With the plethora of investment news channels, websites, and guides available today, it may be tempting to change course immediately and often, especially if you fall prey to the immediateness of the tone in their voices. However, there is not one financial event that should make you pull all of your investments out.

During the Great Recession, seniors left and right pulled their investments out of the market, and most of these people regretted it later. The market is almost guaranteed to recover eventually. Any large financial changes should be given months of thoughtful consideration. Never let your fear control your decisions on a whim!

3) Be cautious

There are many sales people who offer "advice" and get-rich-quick schemes to seniors. These people are generally trying to make a quick buck from you, and they will provide you little in terms of financial security. High-pressure salespeople should be avoided at all costs. Get money and market stocks advice from someone with whom you have a long relationship with and a lot of trust.

                                                                                                                                                                                               

Finance Dos and Don'ts for Elders in Assisted Living

Many seniors have a hard time managing their finances with assisted living because few people prepare for this lifestyle. Not only that, but only a small percentage of people have enough money for an easy retirement. At the same time, there are some things that you can do to make your money last as long as possible. Here are some things to consider about your finances if you have assisted living arrangements.

Consult a Financial Expert

Now is the time to consult a financial expert. He or she will be able to create an effective budget that ensures that you have enough money for all of the essentials. The expert will also be able to properly invest your money so that it grows, which gives you more to work with. While you can make a budget without a financial expert, he or she will be able to consider many factors that you may not think about.

Don’t Assume

You can’t assume when it comes to money. Some elderly patients assume that their assisted living care won’t become more expensive, but then something happens and they have to pay for additional medication or care. Assuming can lead to mismanaged finances. You might even run out of money years ahead of time.

Make sure that all of your numbers are correct and leave a cushion so that you can pay for additional financial burdens.

Keep Extra Money

Aside from leaving a cushion, you should also leave some extra money around as a rainy-day fund. This should be enough to cover your expenses for at least six months, but having more is also a good idea. If your investments go awry or if there are any other problems, then you can take some of this money to pay for the essentials.

Many experts say that you should have at least $12,000 set aside for each adult.

Don’t Overspend

Assisted living can be boring sometimes. It’s hard to go outside and there are few things that you can do. This leads some seniors to spend money on things to keep the boredom away. While there’s nothing wrong with buying one or two things every now and then, major overspending can kill your budget.

Do whatever you can to stay within your budget. Going a little over once or twice may not be terrible, but it can hurt your finances if this happens continuously.

Ask for Help

If you need help, then ask for it. Chances are that you have friends and family that are willing to help if you need it. While many seniors have a sense of pride about finances, sometimes it’s better to just ask for money. This doesn’t mean that you should make a habit of it, but ask your family for money if you really can’t afford something that you need.

If you show that you really need help, then your family should have no problem giving you some money.

Don’t Pay Out of Pocket

You should have some type of insurance or protection that can help you pay for certain things. For example, there are many policies that can decrease your medication costs by a significant margin. Check your insurance policies to see if you can save any money on your assisted living and other medical costs.

You might be able to save hundreds of dollars a month by just going through your insurance paperwork.

Pay Expensive Debts

If you have any expensive debts, then you might want to consider paying for them right now. Many of these debts have high interest rates that will increase how much you pay over the life of the debt. For example, you might save hundreds or thousands of dollars by paying the entire debt right now.

Go over your debts and see if you can save any money by paying them right now. This isn’t always viable, but it can be useful.

Conclusion
Paying for assisted living can be difficult financially, but many seniors are able to pay for it and maintain their lifestyle at the same time. You just need to make the right financial moves to keep yourself afloat and keep your senior housing options open. If you do this, then you shouldn’t run out of the money.

Learn How Little Ways Can Be Used As Techniques in Saving Money

Saving money does not always have to involve a bank account. You can stow away some dough through little ways you can do without necessarily making an all-out effort. 

Here are seven easy ways to help you save: 

1) Get a piggy bank. This may sound childish, but in fact, it is not. The piggy bank is actually a good device to use for saving. One good way is to have a number of coin banks at hand. Then you label each one for a certain item you want to have. In this way, not only will you get what you want but also keep away from any untimely purchases. 

2) Use cash cards. Yes, these are usually neglected over credit cards, but these work better. Not only do you purchase freely without interest, you also get something in return. This could be in the form of points for every purchase, or better yet discounts on your next purchase. Now who wouldn’t want that? 

3) Clip coupons. No, not the obsessive coupon clipping you see on reality shows. You can find these in some magazines and newspapers which typically indicate discounts on a certain item for a period of time. Cut only the ones you are sure to use.Since other cutouts will likely end up as clutter if not yet used. Be sure to take note of the dates on the coupons too. 

4) Save energy. I know we have all heard this a thousand times, but only a few realize why. By saving energy, we not only help Mother Earth but our pockets as well. For example, using a cup when brushing your teeth or ironing your clothes all at the same time. These are little ways on how you can conserve energy with almost no effort at all. 

5) Cook meals. Yes, cook your own meals. While eating out may save your energy, it will definitely cost you more money. Preparing your own meals might be unpractical, especially when you are continually pressed for time. However it may be the less expensive and healthier as well. Cooking doesn’t have to be tiresome either. Eat a salad or grill meat; these are inexpensive ways to fill your stomach but not empty your pocket too. 

6) Shop wisely. Do you know the expensive brands are placed at eye-level shelves in most groceries? Why not shift your sight lower and spot the same item at a lesser price, and maybe the same quality. Cheaper price doesn’t always mean cheaper quality either. 

7) Make a monthly budget. I know you’ve probably seen this tip a million times and it may even sound cliché but it really works. Rather than make a weekly budget, make a monthly plan. This tends to be more flexible to unexpected events, like sickness or emergencies, and more. 

Always remember that saving money is not difficult. Little ways when done daily and paired with discipline and prudence, will surely give you a more comfortable and happy life. 

Victoria Anderson is a finance writer for Guarantor Loans Direct. She loves covering business topics and finance related stuff. She is fond of web development and wed design. You can find Victoria Anderson on Google +.

The Financial and Emotional Benefits of Vocational Rehab

The unemployment rate in America has been tragically high for the past few years, but the unemployment rate for people with disabilities is much higher. Midway through 2013, over 13 percent of disabled people are without work - and those are only the ones who are actively looking. 

According to the Wall Street Journal, a surprising 8 out of 10 disabled people aren't in the labor force at all. In order to combat these statistics, every state has a public vocational rehabilitation agency. These agencies employ vocational rehab counselors who help veterans and other clients struggling with physical and mental conditions identify their career goals and personal skills and then identify the support they need for employment. While many disabled people might not consider themselves candidates for work, VR counselors can open doors to greater financial and emotional security.

1. Developing your IPE

Anyone who is receiving Social Security Disability is eligible for VR services unless they are too profoundly disabled to benefit from them. And even if you're not on Disability, any condition which presents an obvious barrier to employment can qualify you for VR. When you are assigned a counselor, their job is to work with you to formulate an IPE - Individual Plan for Employment. 

Vocational rehab is not about just sticking you in the first job you can get. It's about discussing your interests and skills and finding out what you'd most like to do, then carving out a path for you to work in that industry. This can involve assessing the most basic needs, such as transportation to and from work or an interpreter for deaf clients. And it can also involve major needs like college classes, training, and actual placement assistance. 

Often, your VR counselor will refer you to other organizations or resources. They may send clients to a community rehabilitation provider, which can provide more extensive services and update the counselor on your progress.

2. After You Find Employment

Most people don't realize that VR services continue even after you have found a job. Support and counseling is available for at least 90 days following placement, and your services can continue for up to three years after your case is closed. 

Disabled clients often go to work and find they need a period of adjustment to the facilities, or that the tools they need to do the job aren't always available. VR counselors can be your advocate, making sure the company is accommodating you and you will be able to keep your job once you've found it. 

According to NPR, the federal government pays more for disabled workers than for food stamps and welfare combined. With an increased number of elderly and diseased workers in this country, you will find your ability and drive to succeed in the workplace will be applauded, and the services you need will be provided at little or no cost.

3. Why Work is Important

Many disabled people are afraid to reach out for VR benefits because they're intimidated by the prospect of employment. But the psychological benefits of work are numerous, especially for those who have already felt isolated by their condition. 

The self-worth that comes with employment has been proven to stave off depression, substance abuse, and other mental health issues. While over 17 million Americans suffer from depression every year, the risk is up to 10 times larger for people with disabilities and chronic illnesses. 

Feelings of hopelessness and frustration, as well as a lack of interest in activities or daily life, can be associated with the increased challenges a disabled individual faces. That's why helping them find employment, especially in a field they enjoy and feel passionately about, can make all the difference to their quality of life. Plus, being able to financially support yourself is a huge boost to your well-being and mental state.

The services available from Vocational Rehab counselors are extensive, and you should never assume you don't qualify. Every American should be able to pursue their goals and live their dreams, no matter what physical or mental barrier is standing in their way. VR can be the first step to overcoming your fear and taking back your life.

Brett Harris supports his local vocational rehabilitation center by volunteering his time to help the counselors. If counseling interests you as a career, check out the Top Online Masters in Counseling Programs offered by several schools.

Don't Throw a Retired Retirement Party! Make That Last Bash Count

In years past, retirement parties were solemn affairs held to acknowledge the end of a career and to commemorate years of loyal service. Today's active retirees, however, are far more likely to view their retirement as a beginning rather than an ending, and may feel that it is the outdated ideas about retirement parties that need to be retired, not them. Make that last bash for a faithful employee a resounding success with a festive celebration that recognizes that the retiree is about to embark on new and exciting adventures. 

Planning and Preparation

Before any party preparation can begin, you'll need to establish a budget, finalize the guest list, and choose a date and venue for the event. Make sure that the invitation list includes the most important people in the retiree's life, including lifelong friends, as well as family. Today's smart phone applications make it easy to keep all the details involved in party planning organized. A dedicated binder to hold items like itineraries, vendor brochures and guest lists offers a low-tech alternative.

Choose a Theme

For a fun and laid-back party, start by choosing a theme that will reflect the retiree's unique personality. Enlist help from the family and friends to find out about personal interests and hobbies that can inspire the ideal theme. Golfing, gardening, and travel themes are all popular choices. Choosing a theme is a simple way to coordinate all the aspects of party throwing, from the invitations and decorations to the choices for food and beverages.

The Perfect Soundtrack

Parties need an infusion of energy and dynamism to keep the action rolling, and nothing impacts a party's atmosphere quite like live music. A live band will keep the party-goers up and moving, but be careful to select a band from sonicbids that will play music that everyone can enjoy. When you have an atmosphere everyone can enjoy, it can help ensure the whole affair is memorable and fun.

The Party Program

No retirement party is complete without a few toasts, speeches, and gifts for the honoree but avoid bringing the festivities to a screeching halt with a stuffy award ceremony. Instead of allowing each guest to make a speech, consider hiring a videographer that can mingle among the crowd and record individual comments. Create a banner where attendees can write personal notes and congratulations throughout the evening is another great idea.

Retirement is no longer viewed as an end of a purposeful life, but as a chance to discover new adventures and opportunities. Plan for the event as if it's a bon voyage bash rather than a retirement party, and you'll increase the likelihood that the festivity is enjoyable for everyone involved.