1) The document discusses various insurance considerations when a child leaves for college, including reviewing auto, health, life, and homeowners/renters policies. It provides tips to save on auto premiums if the child takes the car to school and options for health coverage.
2) It recommends having sufficient life insurance to cover tuition costs in case of an unexpected event.
3) Homeowners policies may cover items in dorms, but renters insurance is needed for off-campus housing. Checking various policies can help protect children in school and save parents money.
Provide The Key To A First Class Educationpjdemees
Canadians with a university Bachelor level degree earn 50% more than someone with a high school diploma.
The question is – did these individuals have a plan to pay for their education or are they still paying for it now?
Let’s take a closer look.
This document provides helpful tips for saving for education expenses through different account options like Education Savings Accounts (ESAs) and UGMA/UTMA accounts. It compares the key features of these accounts such as contribution limits, tax benefits, and restrictions on use of funds. ESAs allow tax-deferred growth and tax-free withdrawals for qualified education expenses, but contributions are not tax-deductible. UGMA/UTMA accounts require funds be used for the child's benefit, with the child gaining control at age of majority. The document recommends considering which account best fits savings goals and level of control desired.
Answers to questions from the paying for post secondary expenses part 1 webin...Barbara O'Neill
The document provides answers to 10 questions about financing post-secondary education expenses. It discusses options for refinancing student loan debt, using the Public Service Loan Forgiveness program, saving in 529 college savings plans and Coverdell ESAs, the impact of grandparent-owned 529 plans on financial aid eligibility, the tax benefits of gifts to 529 plans and trusts, and what qualifies as an educational expense for tax benefits. The answers provide details and cite additional resources for more information.
The document discusses strategies for saving for college, as college costs continue to rise significantly each year. It recommends starting a college savings fund as early as possible and saving a portion of projected costs, such as 50%, to use as a down payment with the rest covered through financial aid, loans, or other sources. The document reviews several tax-advantaged college savings options including 529 plans, Coverdell ESAs, U.S. savings bonds, and UTMA/UGMA accounts. While financial aid can help cover costs, the document notes that student loans typically make up the largest percentage of aid packages, so it is important to focus on savings to minimize reliance on loans.
HUSC 3366 Chapter 10 Financial Planning with Life InsuranceRita Conley
This chapter discusses financial planning with life insurance and annuities. It defines life insurance and methods for determining insurance needs. It distinguishes between types of life insurance companies and policies, and how to select policy provisions and buy insurance. It also recognizes how annuities can provide financial security in retirement.
More than 73 million Americans acknowledge having an unmet need for life insurance protection. However, many have not purchased life insurance because they think it is too expensive or they would prefer to work with a financial professional. Life insurance can help support a family's expenses in different life stages from when children are young to retirement. Financial needs analysis can help determine the appropriate type and amount of life insurance coverage needed for one's individual situation and goals.
HUSC 3366 Chapter 8 Home and Automobile InsuranceRita Conley
This document discusses various types of home and automobile insurance. It provides details on different types of insurance coverage available for homeowners and drivers, including coverage for property damage, liability, medical payments, and more. Factors that influence the cost of insurance policies are also examined, such as location, age of property, driving record, vehicle type. The document aims to help readers understand their insurance options and how to prioritize coverage needs.
Provide The Key To A First Class Educationpjdemees
Canadians with a university Bachelor level degree earn 50% more than someone with a high school diploma.
The question is – did these individuals have a plan to pay for their education or are they still paying for it now?
Let’s take a closer look.
This document provides helpful tips for saving for education expenses through different account options like Education Savings Accounts (ESAs) and UGMA/UTMA accounts. It compares the key features of these accounts such as contribution limits, tax benefits, and restrictions on use of funds. ESAs allow tax-deferred growth and tax-free withdrawals for qualified education expenses, but contributions are not tax-deductible. UGMA/UTMA accounts require funds be used for the child's benefit, with the child gaining control at age of majority. The document recommends considering which account best fits savings goals and level of control desired.
Answers to questions from the paying for post secondary expenses part 1 webin...Barbara O'Neill
The document provides answers to 10 questions about financing post-secondary education expenses. It discusses options for refinancing student loan debt, using the Public Service Loan Forgiveness program, saving in 529 college savings plans and Coverdell ESAs, the impact of grandparent-owned 529 plans on financial aid eligibility, the tax benefits of gifts to 529 plans and trusts, and what qualifies as an educational expense for tax benefits. The answers provide details and cite additional resources for more information.
The document discusses strategies for saving for college, as college costs continue to rise significantly each year. It recommends starting a college savings fund as early as possible and saving a portion of projected costs, such as 50%, to use as a down payment with the rest covered through financial aid, loans, or other sources. The document reviews several tax-advantaged college savings options including 529 plans, Coverdell ESAs, U.S. savings bonds, and UTMA/UGMA accounts. While financial aid can help cover costs, the document notes that student loans typically make up the largest percentage of aid packages, so it is important to focus on savings to minimize reliance on loans.
HUSC 3366 Chapter 10 Financial Planning with Life InsuranceRita Conley
This chapter discusses financial planning with life insurance and annuities. It defines life insurance and methods for determining insurance needs. It distinguishes between types of life insurance companies and policies, and how to select policy provisions and buy insurance. It also recognizes how annuities can provide financial security in retirement.
More than 73 million Americans acknowledge having an unmet need for life insurance protection. However, many have not purchased life insurance because they think it is too expensive or they would prefer to work with a financial professional. Life insurance can help support a family's expenses in different life stages from when children are young to retirement. Financial needs analysis can help determine the appropriate type and amount of life insurance coverage needed for one's individual situation and goals.
HUSC 3366 Chapter 8 Home and Automobile InsuranceRita Conley
This document discusses various types of home and automobile insurance. It provides details on different types of insurance coverage available for homeowners and drivers, including coverage for property damage, liability, medical payments, and more. Factors that influence the cost of insurance policies are also examined, such as location, age of property, driving record, vehicle type. The document aims to help readers understand their insurance options and how to prioritize coverage needs.
DesignerIndianWear.com offers a variety of salwar kameez designs for all seasons, including traditional, designer, Punjabi, summer, and winter styles, with different colors and shades. The website provides salwar-kameez clothing at different price ranges and is a symbol of all-season wear. Contact information and the address for DesignerIndianWear is provided at the bottom.
Business glossary Mohamed Attia-Master DiscussionLG Electronics
The document provides definitions and quotes about various business-related terms from A-Z. Some of the terms defined include accountant, action, advertising, assets, branding, bureaucracy, business, capitalism, change, communication, competition, creativity, customer, debt, diversity, earnings, effectiveness, efficiency, employees, ethics, execution, experience, finance, focus, forecast, globalization, growth, human capital, imagination, innovation, internet, job, knowledge management, leadership, management, marketing, and meetings.
This study examined the motivations for playing video games between men and women. A survey was administered to 40 students (20 men and 20 women) at Mesa Community College to identify their primary motivation from a list of 10 options. The hypothesis was that men would be motivated by personal goals and stress relief, while women would be motivated by social interaction.
This organization provides comprehensive healthcare services through 25 health centers across Manhattan, the Bronx, and the Mid-Hudson Valley in New York. It trains health professionals and students while promoting diversity. It has over 600 staff members and a $45 million budget. Services include primary care, dental, mental health care, and programs for homeless individuals, those with HIV/AIDS, and new mothers and families with young children.
1. Mohamed Attia has over 19 years of experience in sales and retail management in Egypt, UAE, and Saudi Arabia.
2. He holds an MBA in Retail Supply Chain Management and has managed sales operations and brand management for companies like Axiom Telecom, Motorola, Microsoft, MAGRABI Optical, and currently LG Electronics in KSA.
3. His responsibilities have included sales forecasting, logistics management, budgeting, strategic planning, and ensuring strong customer satisfaction.
This document summarizes cable TV penetration rates and digitization efforts in various Asian countries. It shows that South Korea has the highest rates of pay-TV and digital cable penetration, while countries like Indonesia and the Philippines still have low overall penetration rates. Tables provide data on the growth of digital cable subscriptions over time in Taiwan and the breakdown of cable operators by size. The document also analyzes factors that influence cable rates and competition between multi-system and independent cable operators.
This document outlines the governance policies of the Sorrento Centre, an Anglican Church of Canada organization. It details the board structure, roles and responsibilities of board members and officers. Key points include:
- The board has 13 members appointed from Anglican dioceses and elected associates. It oversees strategic planning, finances, risk management and other duties.
- Individual board members are expected to act in the best interests of the organization, maintain confidentiality, avoid conflicts of interest and exercise due diligence.
- The roles of the board officers (president, vice president, treasurer, secretary) and committees (executive, finance, etc.) are defined.
- Policies cover issues like board decision
Apostol t m calculus and linear algebra vol 1 2 ed (wiley)(686s)Maria Paula Martins
This document discusses the benefits of exercise for mental health. It states that regular exercise can have short-term effects in reducing stress and improving mood, as well as long-term effects in reducing symptoms of depression and anxiety. The endorphins released during exercise can help induce feelings of euphoria and act as natural painkillers. Overall, exercise is a healthy way to boost mental well-being and reduce the risk of developing mental illnesses.
Buying insurance can be confusing, but when the unexpected happens – a house fire, a fender bender or a broken bone – it's a relief to know that some of those financial losses will be covered. But how do you know how much coverage you need? And what questions should you ask before buying a policy? Many consumers aren't sure. Insurance coverage is far from one size fits all, so here's a look at mistakes some consumers make when buying insurance.
More info:
https://foursquare.com/westhillconsult
http://westhillconsultinginsurance.tumblr.com/
Mary buys various types of insurance to protect herself from financial risks. Session II will cover different types of insurance including life, health, disability, auto, home, and liability insurance. It will define important insurance terms and concepts. Managing risks involves avoiding, reducing, accepting, or transferring them. While insurance protects against large losses, some commonly sold policies like credit life insurance may not be necessary. It's important to follow the "large loss principle" of prioritizing coverage for major risks over minor ones.
This document provides information about gifting a whole life insurance policy to a child. It discusses how this can help teach children the importance of financial responsibility and protecting loved ones. A whole life policy can provide benefits throughout a child's life, including a guaranteed death benefit and cash value that can be used for important life events like education or a home purchase. The document reviews considerations like premium payment options, ownership structures, and underwriting guidelines for insuring minors. It positions gifting a whole life policy as a way to give children financial security that can grow with them throughout their lives.
Saving for a child's college education in the child's name can negatively impact eligibility for financial aid. Money in a child's name counts as an asset for the child on financial aid forms, which reduces potential aid at a higher rate than the same amount saved in the parent's name. It is generally better for eligibility for financial aid to save in an account owned by the parents, such as a 529 college savings plan, rather than in the child's name in an UTMA or other custodial account. The name an account is titled under can have a significant impact on the amount of financial aid a student may receive.
1. The document outlines key financial considerations and milestones throughout different life stages, from one's 20s through retirement. It discusses saving for emergencies, paying off student loans, investing for retirement and children's education, marriage and home buying, insurance needs, and retirement planning including trusts and estate planning.
2. The benefits of starting to invest and save early are highlighted, as compound interest can significantly increase savings over time. Financial planning is important at each stage to prepare for expenses and protect one's family.
3. Retirement planning involves considering costs of assisted living, a second home, or traveling in retirement. Overall financial wellness requires ongoing management of savings, debt, insurance needs as one progresses through different
1) Sound financial management is a lifelong process that involves cash management, protection strategies, investing fundamentals, tax issues, and retirement planning. Each financial decision builds the foundation for one's future.
2) Budgeting is key to cash management - it involves tracking spending to identify areas for savings that can then be used to build an emergency fund and pay down high-interest debt.
3) Protection strategies like insurance help strengthen one's financial "safety net" against unforeseen life events through products like homeowners, auto, health, disability, and life insurance.
DesignerIndianWear.com offers a variety of salwar kameez designs for all seasons, including traditional, designer, Punjabi, summer, and winter styles, with different colors and shades. The website provides salwar-kameez clothing at different price ranges and is a symbol of all-season wear. Contact information and the address for DesignerIndianWear is provided at the bottom.
Business glossary Mohamed Attia-Master DiscussionLG Electronics
The document provides definitions and quotes about various business-related terms from A-Z. Some of the terms defined include accountant, action, advertising, assets, branding, bureaucracy, business, capitalism, change, communication, competition, creativity, customer, debt, diversity, earnings, effectiveness, efficiency, employees, ethics, execution, experience, finance, focus, forecast, globalization, growth, human capital, imagination, innovation, internet, job, knowledge management, leadership, management, marketing, and meetings.
This study examined the motivations for playing video games between men and women. A survey was administered to 40 students (20 men and 20 women) at Mesa Community College to identify their primary motivation from a list of 10 options. The hypothesis was that men would be motivated by personal goals and stress relief, while women would be motivated by social interaction.
This organization provides comprehensive healthcare services through 25 health centers across Manhattan, the Bronx, and the Mid-Hudson Valley in New York. It trains health professionals and students while promoting diversity. It has over 600 staff members and a $45 million budget. Services include primary care, dental, mental health care, and programs for homeless individuals, those with HIV/AIDS, and new mothers and families with young children.
1. Mohamed Attia has over 19 years of experience in sales and retail management in Egypt, UAE, and Saudi Arabia.
2. He holds an MBA in Retail Supply Chain Management and has managed sales operations and brand management for companies like Axiom Telecom, Motorola, Microsoft, MAGRABI Optical, and currently LG Electronics in KSA.
3. His responsibilities have included sales forecasting, logistics management, budgeting, strategic planning, and ensuring strong customer satisfaction.
This document summarizes cable TV penetration rates and digitization efforts in various Asian countries. It shows that South Korea has the highest rates of pay-TV and digital cable penetration, while countries like Indonesia and the Philippines still have low overall penetration rates. Tables provide data on the growth of digital cable subscriptions over time in Taiwan and the breakdown of cable operators by size. The document also analyzes factors that influence cable rates and competition between multi-system and independent cable operators.
This document outlines the governance policies of the Sorrento Centre, an Anglican Church of Canada organization. It details the board structure, roles and responsibilities of board members and officers. Key points include:
- The board has 13 members appointed from Anglican dioceses and elected associates. It oversees strategic planning, finances, risk management and other duties.
- Individual board members are expected to act in the best interests of the organization, maintain confidentiality, avoid conflicts of interest and exercise due diligence.
- The roles of the board officers (president, vice president, treasurer, secretary) and committees (executive, finance, etc.) are defined.
- Policies cover issues like board decision
Apostol t m calculus and linear algebra vol 1 2 ed (wiley)(686s)Maria Paula Martins
This document discusses the benefits of exercise for mental health. It states that regular exercise can have short-term effects in reducing stress and improving mood, as well as long-term effects in reducing symptoms of depression and anxiety. The endorphins released during exercise can help induce feelings of euphoria and act as natural painkillers. Overall, exercise is a healthy way to boost mental well-being and reduce the risk of developing mental illnesses.
Buying insurance can be confusing, but when the unexpected happens – a house fire, a fender bender or a broken bone – it's a relief to know that some of those financial losses will be covered. But how do you know how much coverage you need? And what questions should you ask before buying a policy? Many consumers aren't sure. Insurance coverage is far from one size fits all, so here's a look at mistakes some consumers make when buying insurance.
More info:
https://foursquare.com/westhillconsult
http://westhillconsultinginsurance.tumblr.com/
Mary buys various types of insurance to protect herself from financial risks. Session II will cover different types of insurance including life, health, disability, auto, home, and liability insurance. It will define important insurance terms and concepts. Managing risks involves avoiding, reducing, accepting, or transferring them. While insurance protects against large losses, some commonly sold policies like credit life insurance may not be necessary. It's important to follow the "large loss principle" of prioritizing coverage for major risks over minor ones.
This document provides information about gifting a whole life insurance policy to a child. It discusses how this can help teach children the importance of financial responsibility and protecting loved ones. A whole life policy can provide benefits throughout a child's life, including a guaranteed death benefit and cash value that can be used for important life events like education or a home purchase. The document reviews considerations like premium payment options, ownership structures, and underwriting guidelines for insuring minors. It positions gifting a whole life policy as a way to give children financial security that can grow with them throughout their lives.
Saving for a child's college education in the child's name can negatively impact eligibility for financial aid. Money in a child's name counts as an asset for the child on financial aid forms, which reduces potential aid at a higher rate than the same amount saved in the parent's name. It is generally better for eligibility for financial aid to save in an account owned by the parents, such as a 529 college savings plan, rather than in the child's name in an UTMA or other custodial account. The name an account is titled under can have a significant impact on the amount of financial aid a student may receive.
1. The document outlines key financial considerations and milestones throughout different life stages, from one's 20s through retirement. It discusses saving for emergencies, paying off student loans, investing for retirement and children's education, marriage and home buying, insurance needs, and retirement planning including trusts and estate planning.
2. The benefits of starting to invest and save early are highlighted, as compound interest can significantly increase savings over time. Financial planning is important at each stage to prepare for expenses and protect one's family.
3. Retirement planning involves considering costs of assisted living, a second home, or traveling in retirement. Overall financial wellness requires ongoing management of savings, debt, insurance needs as one progresses through different
1) Sound financial management is a lifelong process that involves cash management, protection strategies, investing fundamentals, tax issues, and retirement planning. Each financial decision builds the foundation for one's future.
2) Budgeting is key to cash management - it involves tracking spending to identify areas for savings that can then be used to build an emergency fund and pay down high-interest debt.
3) Protection strategies like insurance help strengthen one's financial "safety net" against unforeseen life events through products like homeowners, auto, health, disability, and life insurance.
1) Sound financial management is a lifelong process that begins early and involves cash management, investing, protecting against risks, retirement planning, and estate planning.
2) Creating a budget allows you to track spending, identify areas to cut back, and save more for emergencies and goals. Maintaining an emergency fund can prevent debt in difficult times.
3) Carrying credit card debt is costly and can significantly delay achieving savings goals. Prioritizing paying off high-interest debt can save thousands in interest charges.
Life and Disability Insurance: What 20-and-30 Somethings Think.Catherine Clark
Young adults understand the importance of life and disability insurance but have gaps in their knowledge about different types of policies. Many do not fully understand their own coverage or their partner's coverage. While they want insurance to provide for things like debts, mortgages, and dependents' expenses if something were to happen to them, the reality is that many are likely underinsured due to a lack of understanding about their policies. Younger generations value protecting their earning potential but have not taken full steps to do so through insurance.
This document provides an overview of different types of personal insurance products and tips to help avoid common mistakes. It discusses life insurance, total and permanent disability insurance, income protection insurance, trauma insurance, and business expenses insurance. It emphasizes the importance of having adequate insurance coverage to protect your family's livelihood in case of illness, injury, or death. It warns against direct marketing insurance due to higher costs, lack of features, and uncertainty of payouts. It recommends seeking independent financial advice to help determine the right insurance coverage tailored to individual needs and circumstances.
Colleges try to sneak out of health coverage for studentsJohn Wilson
Colleges are trying to get waivers from provisions in the Affordable Care Act that would require them to offer student health insurance plans that meet minimum coverage standards. Currently, many college plans have high premiums, low coverage caps, and do not cover pre-existing conditions or prescription drugs. Colleges generate $1 billion in annual revenue from these limited, low-quality plans. The ACA provision allowing children to stay on their parents' plans until age 26 addresses the major issue of insuring young adults, so there is no valid reason for colleges to get a special waiver to continue offering substandard plans.
This document discusses an optional student loan protection insurance that can be added to a disability income insurance policy. It protects one's ability to make student loan payments if they become totally disabled. Some key details include:
- It provides up to $2,000 per month of additional coverage above normal income replacement limits to help cover student loan obligations.
- The coverage can be tailored from $500-2000 per month depending on loan amounts.
- It costs as little as $5 per month to add this protection to a disability income policy.
TP Preg Guide vol13 - Financial PlanningAndrew ANG
Welcoming a new baby brings both joy and financial responsibilities. Basic expenses for a newborn include vaccination costs of $800-1,100, childcare costs of $1,000-1,500 per month, and hiring a domestic helper for $300-450 per month plus additional expenses. It is important for parents to consider different types of insurance policies like basic Medishield coverage, private integrated plans, and coverage for critical illnesses, accidents, and more to protect their family's financial well-being in case of unforeseen health events. Financial advisors recommend discussing options thoroughly to choose protection suitable for each family's needs and risk tolerance.
It's graduation season. You or your loved one is preparing for what happens after turning the tassel, but how far ahead have you thought?
Getting insured may not be on that list, but it should. Whether you're graduating from high school or college, there are decisions you'll need to make and options you should be aware of.
In this presentation, we'll go through what you and your parents need to know about insurance to be prepared for the postgraduate world.
This document discusses different types of liability insurance coverage that nurseries need. It explains that nurseries need public liability insurance to cover injury to visitors, employer's liability insurance for employees, and medical malpractice insurance to cover administering first aid or medicine to children. The document also recommends professional indemnity insurance to cover failures or negligence by nursery staff. It emphasizes that nurseries should have a single insurer provide all coverage types to avoid any gaps in protection from liability claims.
This document contains responses to questions submitted to AC Marmo & Sons, an insurance agency located in Fairfield, New Jersey. The questions cover topics such as how to calculate the appropriate amount of life insurance needed, how long term life insurance policies are needed for, reasons for converting term policies to whole life policies, and when different life stages warrant purchasing life insurance. The responses provide advice on each topic and emphasize speaking with a trusted insurance agent to determine individual insurance needs.
Life Stages Living With Teenagers In The USSue Carveth
Living with teenagers can be a challenge for many parents. Browse through our tips that may be very helpful especially in these challenging times.
Learn More about our app and services that can protect you and your family for less than a dollar a day.
www.suecarveth.wearelegalshield.com
The study found that late claim reporting significantly increases costs, with claims reported between 4-7 days costing 9% more on average, and claims reported over a month later costing 72% more. Specifically, late reported medical-only claims drove increased costs. Since the last study in 2007, timely claim reporting within 0-3 days improved from 57% to 64% of claims for the insurer's policyholders. The study emphasizes the importance of promptly reporting claims to reduce costs through early medical access and return-to-work programs.
The document outlines key events in U.S. health reform from 2010 to 2020, including:
1) From 2010-2014, new insurance rules and subsidies were introduced along with reforms to Medicare and Medicaid.
2) Starting in 2018, a new tax was imposed on high-cost employer-sponsored health plans and individuals making over $200,000 paid higher Medicare taxes.
3) By 2020, the Medicare prescription drug coverage gap was fully eliminated and pre-existing condition exclusions in insurance were prohibited.
In today’s media and technology age, website owners, designers, hosts and Internet Service providers are presented with multiple risks with regard to business and cyberspace. E-commerce now comprises approximately one-third of all the
business conducted on the Internet according to the Insurance Journal. Further, in 1999, businesses lost more than $20
billion because of power outages and hackers. Therefore, protection for your Internet-based resources must be a top
priority.
The document discusses the risks that businesses face from internet and technology usage and the need for cyberliability insurance. It outlines various risks like hackers, data breaches, employee internet usage, intellectual property issues, and technology failures. Cyberliability insurance is presented as an important way to protect businesses from these growing digital risks and economic losses, since traditional insurance does not adequately cover these new exposures. The policies can provide coverage for issues like security breaches, viruses, unauthorized access, lost data, and more.
The document announces an informative seminar on tax efficiency strategies being held by the McCann Investment Group and Maran Corporate Risk Associates. The seminar will cover 4 ways to avoid paying taxes, the outlook for municipal bonds, tax benefits of insurance, and how to create tax efficient cash flow in retirement. It provides details on the event location, date, time, presenters, and how to RSVP.
1) Homeowners are finding it harder to obtain affordable insurance as premiums rise and coverage becomes more limited, especially for flood damage, as an active hurricane season is predicted.
2) The National Flood Insurance Program expired on June 1st, preventing new policies from being issued, which is delaying over 1,200 real estate closings per day.
3) Homeowners are urged to apply for flood insurance now despite the program lapse in order to have coverage retroactively once Congress extends the program.
This document provides safety tips for preparing for, during, and after a hurricane. It recommends creating a family disaster plan and stocking a disaster supply kit with a week's worth of water, canned goods, manual can openers, flashlights, batteries, and other essentials. During a hurricane, it advises listening to local authorities and seeking shelter away from windows. After the storm, it says to stay indoors until an all-clear is given and only use bottled water until tap water is declared safe.
The document provides resources and guidance for businesses to prepare for hurricanes and other natural disasters. It includes safety tips on developing emergency plans and checklists for assembling disaster supply kits. Sections cover preparing a business contingency plan and addressing specific hazards from tornadoes, fires, earthquakes, hurricanes, floods, and more. The goal is to help businesses be ready by planning ahead for potential emergency situations.
1. Check Insurance as Kids Prepare for College - WSJ.com#printMode Page 1 of 3
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AUGUST 24, 2009
FAMILY MONEY
Premium Opportunities
When your child leaves for college, it's time to revisit your insurance
By ALEKSANDRA TODOROVA
(See Corrections & Amplifications item below.)
As you prepare to send your child to college, there's the usual checklist. Laptop. Money. iPod. Laundry detergent.
And don't forget about insurance.
Reviewing your various insurance policies will not only protect
The Journal Report
your child at school—it may help you save some cash, too. Here
See the complete Your Money Matters report.
are few strategies to consider:
Claim Savings on Auto Policy
Your auto-insurance premium likely doubled—or even tripled—when your teenager first got a driver's license.
Now that he or she is heading to college, you can get some relief. As long as the campus is at least 100 miles away
and the car stays at home, you should qualify for a discount on your premium, says Robert Hartwig, president of
the Insurance Information Institute, an industry group based in New York.
Just how much will depend on how far your premiums went up in the first place: Parents usually get bigger
savings for their sons than for their daughters because premiums for sons are higher, says Robert Hunter,
director of insurance at Consumer Federation of America, an advocacy group in Washington, D.C.
If your child takes a car to campus, you can either keep him or her on your policy or have him or her purchase
separate insurance.
The latter will allow the student to start establishing a driving
record, but it likely will be more expensive than staying on a
parents' policy because any discounts—such as those for having
multiple cars on the policy—will be lost. In Indianapolis, for
example, it would cost roughly $400 more annually for a student
to have a separate policy, than to remain on a parents' policy,
according to State Farm Insurance.
Either way, don't be shy about touting your child's grades to your
View Full Image
Roger Roth
insurer. Most companies offer "good student" discounts. For
http://online.wsj.com/article/NA_WSJ_PUB:SB10001424052970203334304574159261235... 9/1/2010
2. Check Insurance as Kids Prepare for College - WSJ.com#printMode Page 2 of 3
instance, State Farm takes 9% to 35% off a premium, depending
on the student's gender and whether he or she is kept on the policy as an occasional driver or is at school.
Don't Forget the Dorm Room
A student's dorm room qualifies as an additional room to the family home—at least as far as your insurance
company is concerned. A homeowners' insurance policy covers all items that a child keeps there, but coverage
typically is limited to 10% of the amount of your total insured possessions, says Mr. Hartwig.
So if your child has high-end electronics or pricey furniture, check with your insurer about the need to purchase
additional coverage.
Generally, the value of contents in your home is insured up to 50% to 70% of the value of your home's structure.
If your home is valued at $100,000, for example, your insurer would pay $50,000 to $70,000 for the contents of
your house. Anything in your child's dorm room would be covered up to between $5,000 and $7,000.
That's not the case, however, if the student lives off campus. You
will need to purchase a renters' insurance policy if you want
items in off-campus housing to be covered. At an average $15 to
$30 a month, according to the National Association of Insurance
Commissioners, such policies cost less than most college kids
spend weekly on mocha lattes.
Check Your Health Options
As long as they are full-time students, children can be covered as
dependents on their parents' health insurance until they're 23
Smart Money's Aleksandra Todorova talks with Simon
Constable about the insurance issues parents should years old and, in some cases, even longer. Eleven states have
consider when sending your child off to college. authorized dependent coverage up to age 25, and New Jersey has
extended it to age 30. (Restrictions may apply. In New Jersey,
for instance, children don't qualify if they are married or have dependents of their own.)
But if you lose your job, you'll find yourself at an expensive crossroads: You'll need to decide whether to continue
dependent coverage through the Consolidated Omnibus Budget Reconciliation Act, or Cobra, which gives workers
the option to pay for continued employer coverage if they lose their job; purchase a policy for your child; or go
with the health plan provided by your child's school.
For most people, Cobra will likely be the most expensive route—even with a former employer covering 65% of the
premiums' cost, as mandated by the American Recovery and Reinvestment Act of 2009.
The premiums for university-provided plans and individual health insurance are similar—but coverage may not
be. Premiums for the health plans offered by Aetna Inc.'s Aetna Student Health, the largest university plan
provider, range between $500 and $2,000 per calendar year (the student is covered during the summer as well),
depending on coverage, according to Dale Grenolds, a senior vice president at Aetna. He says most cost around
$1,000.
Using the on-campus health center often is free. But at doctors' offices and hospitals off campus, your child will
have a co-pay of 10% to 20% of the cost of the visit for doctors and facilities within the Aetna network and 30% to
50% if he or she goes out of network.
Pharmacy co-pays range between 10% and 30% of the cost of the medications, depending on the plan and
whether you are buying brand or generic drugs. Some plans have deductibles, ranging between $100 and $250.
In addition, 20% of university health plans limit the maximum amount of benefits paid to $2,500 per condition,
according to a report on health-insurance coverage for college students issued by the U.S. Government
Accountability Office in 2008.
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3. Check Insurance as Kids Prepare for College - WSJ.com#printMode Page 3 of 3
Premiums for an individual policy run an average $1,284 a year for 18-to-24-year-olds, according to
eHealthInsurance.com, a marketplace for health-insurance quotes. If your child has a chronic illness, the cost
likely will be higher. The deductible on individual plans averages $1,932 per year, after which you'll pay up to $30
for doctors' visits and between 0% and 30% of the cost of hospital stays. If there's a prescription plan, co-pays run
as much as $35 for brand-name drugs.
Plan for the Worst
After his father died unexpectedly during his senior year in college, Herb Karl Daroff had to rethink his plans for
attending law school.
To afford law school, he had to take classes at night and work during the day. So for Mr. Daroff, now a Boston-
based financial planner, having adequate life insurance to cover your children's tuition payments in case of an
unexpected tragedy is a must.
Unless you bought inadequate life-insurance coverage when your first child was born, you likely don't need to
supplement the policy you already have. But if you don't have any insurance, Mr. Daroff says, consider buying
enough coverage to not only replace the income you would earn until you retire, but to pay for your children's
college education as well.
MetLife Inc.'s Life Insurance Selector, www.metlife.com/individual/financial-tools/life-insurance-
tool/index.html, can help you determine how much income-replacement coverage you need. If you're in good
health, you could generally find a $1 million 10-year term policy for less than $1,000 a year, Mr. Daroff says.
"The older your child is," says Mr. Hunter of the Consumer Federation of America, "the less life insurance you
need."
Corrections & Amplifications
Some insurance companies extend parents' homeowner-insurance coverage to their child's off-campus housing.
This column incorrectly stated that a student needs to purchase renters' insurance if they want items in off-
campus housing to be covered.
--Ms. Todorova is a senior writer for SmartMoney.com. She can be reached at atodorova@smartmoney.com.
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