Permanent vs. Term life insurance

What is the difference between permanent and term life insurance and which one should you pick? Permanent life policies offer death benefits and a savings account while term life policies offer death benefits only. This means that in a term life policy, your survivors will get money at the incidence of your death provided that you die within the length of the policy. In permanent life policy, your survivors will get a death benefit plus if you’re still alive, you could get back the money by cashing in the policy or borrowing against it. Permanent life insurance premiums cost more than term premiums because of the savings account, but the longer you keep it, the higher your cash value. For term life insurance, the premiums remain constant but you will pay higher premiums during the first few years. So choosing a policy depends on how long you intend to keep it and what you want from it.

Contact IBS Financila Group 561-620-0900 to get informationa and a personalized quote. Years down the road, you will thank yourself for taking the time to invest in something that can help you in case the unexpected happens.

HEALTH

IBS Financial Group offers coverage with all major carriers. Providing extensive coverage options for you and your family to both meet your needs  and stay within your budget. With so many plans available for families and individuals we beleive that the only way to get the correct plan for you and your family is with a free one on one consultation. 

Health Maintenance Organization Plans (HMO Plans)  

An HMO, or Health Maintenance Organization, is a type of group health insurance plan. The medical needs of the people who subscribe are provided by a managed system of medical care. It provides its service for these needs through a group of doctors, medical personnel and facilities that work directly for the HMO. The care of its patients is done at its clinics by its doctors. Each patient is required to pick a primary care physician who will then direct his/her medical needs through one of the system’s clinics. So, it is necessary for the insured members to live or work in close proximity to the clinics or medical facilities

How does a HMO help me?

If a person needs routine medical care, he/she would go to the HMO clinic for care, paying a small co-payment at each visit. Likewise, if the person is sick, he/she would do the same. The clinics have many types of doctors who will treat the patient for whatever illness is present. Until recently, few referrals for care outside of the system were given. 

Advantages of a HMO

The advantage of this form of medical care includes slightly lower annual premiums, because the cost of care is spread out among the members. In addition, there is little paperwork dealing with insurance forms for the patients. And there is an influence of prevention at an HMO, whereby programs are provided to its members which promote healthier life choices and better health. 

Preferred Provider Organization Plans (PPO Plans) 

A PPO or Preferred Provider Organization is a group system of health care organized by an insurance company. Physicians, health care providers of all types, hospitals and clinics sign contracts with the PPO system to provide care to its insured people. These medical providers accept the PPO’s fee schedule and guidelines for its managed medical care.

How does a PPO plan work?

The insured members pay a co-payment at the time of each medical service. For example, at the time of an office visit to a physician, the patient pays $20. Each person will also have a yearly deductible to pay out of his/her pocket, before the insurance company will start paying medical fees. The insurance usually pays a percentage of the medical fees (often 80%) for the in-network doctor, with the patient responsible for the remainder of the bill. If the person wants to see an out-of-network doctor, he/she may do so without permission; but the deductible for out-of-network services may be higher and the percentage the insurance will pay may be lower. In other words, the patient will be responsible for a greater part of the fee. This encourages the people insured with a PPO to use the physicians, other medical providers and hospitals in their network. 

Advantages of a PPO Plan

Advantages of a PPO include the flexibility of seeking care with an out-of-network provider if so desired, even though it is more out-of-pocket expense for the patient. PPO networks also have prescription services which provide prescription drugs at a reduced cost. The overall premium for a PPO is less than for individual health coverage and will often include more covered medical services. There is a large network of medical providers representing large geographic areas.