Saving on health insurance premiums

Many plans offered at significant premium savings have one thing in common. Generic prescriptions only or no drug card included on the plan. Our agency has noticed that one of the great drivers of the increasing cost of health insurance premiums is prescription drug cost. While no one can argue with the efficacy of brand drugs, most consumers have been slow to adopt more cost effective generic drug alternatives. Target pharmacy located on Harbor Blvd in Costa Mesa, CA. has a list of hundreds of generic drugs at $4.00/30 day supply. Less expensive than many co-pays on group insurance plans.

Common sense procedures

An article in Risk and Insurance Magazine, An Infectious Condition talks about Health Care organizations risk management strategies to avoid lawsuits over care. One of the areas discussed is the liability resulting from MRSA bacterial infections sustained by patients in post operative care. 85% of all MRSA infections have been attributed to invasive procedures in hospitals. Our Agency is involved in providing benefits for many businesses in Costa Mesa, CA and was surprised to learn form the article that the number one MRSA prevention instituted by hospitals was hand washing. So if you are hospitalized at Hoag Hospital, St Josephs or Fountain Valley make sure you insist that all care givers wash their hands when they enter your room.

California Insurance exchange

The legislature has approved two bills that would establish a statewide health insurance exchange to comply with the federal health care reform law. One bill would set up the state's insurance exchange to help consumers compare information about insurers before choosing a health plan. Insurance carriers are concerned that provisions may have serious impacts on consumer choice. Our agency is concerned that federal mandates will limit choice and force some insurance companies out of the health insurance marketplace in Costa Mesa, California and Newport beach, California

Tax Credit for Group Insurance premiums

Small business owners may be eligible for tax credit on group insurance premiums for their employees. According the IRS website the following eligibility rules apply:

Eligibility Rules

Provide 50% of the cost of the single rate for employees
Must have 25 or fewer employees
Average wage must be below $50,000

Amount of Credit

Up to 35% of premium cost

Orange County businesses can contact our Agency located in Costa Mesa, California for more details about this tax credit.

Anthem Blue Cross has published a free booklet with more information on managing health care costs.

COBRA subsidy lost in jobs bill

The new legislation that passed Congress extending unemployment did not extend the 65% COBRA subsidy for workers who lost their jobs after June 1st 2010. Our agency
has been kept busy trying to keep up with Federal COBRA
laws that have changed multiple times in the last 18 months.

Great Tax Break for Small Business Group Insurance

The Gelker and Rohrer Insurance Agency has learned that in 2010 small businesses can get a tax credit of up to 35% of the premium of a small group health plan. This is a tax credit, not a tax deduction and that makes this a great deal. If you have a business and do not have a group insurance plan contact our agency for a quote. With a tax credit of up to 35%, the net cost to you could be substantially less than your current coverage.The Gelker and Rohrer Insurance agency is not a tax expert and we recommend you contact your tax adviser to see if your business qualifies. See IRS eligibility rules below or follow this link to the IRS sight for more information.

http://www.irs.gov/newsroom/article/0,,id=220809,00.html

Eligibility Rules

• Providing health care coverage. A qualifying employer must cover at least 50 percent of the cost of health care coverage for some of its workers based on the single rate.
• Firm size. A qualifying employer must have less than the equivalent of 25 full-time workers (for example, an employer with fewer than 50 half-time workers may be eligible).
• Average annual wage. A qualifying employer must pay average annual wages below $50,000.
• Both taxable (for profit) and tax-exempt firms qualify.

Amount of Credit

• Maximum Amount. The credit is worth up to 35 percent of a small business' premium costs in 2010. On Jan. 1, 2014, this rate increases to 50 percent (35 percent for tax-exempt employers).
• Phase-out. The credit phases out gradually for firms with average wages between $25,000 and $50,000 and for firms with the equivalent of between 10 and 25 full-time workers.

Three Simple Steps for Employers to Qualify

To determine if your small business or tax exempt organization qualifies for the Small Business Health Care Tax Credit, follow the three simple steps on our fact sheet.

OBAMACARE - What You Can Expect For 2010

After hours of webinars with our insurance associations the Gelker and Rohrer Insurance Agency has learned what to expect in 2010 from the Obamacare health care reform legislation.
For individuals- Temporary high risk pools for persons unable to get health insurance through the normal carrier underwriting process, dependents covered up to age 26 as a dependent, coverage for pre-existing conditions for children under 19 years of age (Even if married.), coverage for specific preventive care services and in network coverage of emergency services regardless of provider.For Group Insurance- No lifetime dollar benefits limitation, coverage for dependents up to age 26 (Even if married.), No pre-existing conditions limitations on children age 19 and under, coverage for specific preventive care services and in network coverage of emergency services regardless of provider. You can contact us at our Costa Mesa, California office if you have any questions about the Obamacare health care reform legislation.