Oh, boy. Okay, take a step back and think (honestly, think!) to yourself quietly: “When I was at this point in my life, in this moment, right here, right now…I had a job, a house, food, electricity, insurance…where did it all go? Oh, that is right, my dear readers! This is a “scary statistics” blog, as they always are. I wanted to lighten the mood and give some moody feedback on these issues, as they are going to not only affect the way we buy insurance, but also the world economy in its own merit.
You see, insurance is not that difficult to understand. It is really just like any other service you will ever encounter. Take a college, or a university you once attended (or had some form of relationship with, even if just the football team) and look at the progression of things. Citizens pay taxes; taxes go to government; government goes to school; school goes to individual departments within it; and the students are the ones paying the bills. Just like school, insurance is a service, as in “serve us!”
1. Unemployment rises and so do premiums…
Just like the above stated, insurance is a business, and it is running on empty. With the coronavirus’ death toll surpassing that of the Vietnam War, the stock market has collapsed; IRAs are down forty percent; the unemployment rate is worse than that of the Great Depression; and this is most certainly not a period in history where brilliant changes occur overnight. We will have to build ourselves back up again, and though we all think of insurance as a “backup,” right now it is actually “Plan A.”
With the rise of unemployed Americans came a wave of sudden angst; the stock market crashed; investors, startups and just about everyone else in-between are now standing as cavaliers of the 96 million unemployed Americans. And if we were uninsured, how on God’s green earth would you be able to pay for a hospital visit?!
2. Bad Credit? No Money? Too Bad…
Just like jobs check credit scores of interviewing candidates for a new position (72 percent of them, in fact), so do insurance companies. Remember, you want guidance before taking on insurance on your own. We highly encourage you to visit our Personal Insurance Plan page and our Employer Alternative Health plans. So, do insurance companies actually look at bad credit? Yes! According to AMFAM.com, the fact is that insurance companies check your credit score when giving you a quote!
Then again, why would we not expect that is the most likely scenario? They are taking a gamble with you. Remember that insurance companies are not the enemy. They are forcing you to pay so-and-so for so-and-so, right? But think about it: you pay a few bones their way for protection, and you may just find yourself saving tens of thousands on Medical bills or copays. Do note that when you are covered by an insurance company, you are guaranteed what they offer, i.e. if you have a problem, we will pay for it if it applies to us. The gamble they take is that when someone does screw up, they have to pay for it. Believe it or not, according to a 2017 study, insurance companies actually lose more money than they obtain! So look into our options on this website for help.
3. COVID, COVID, COVID…
Okay, this one will not take long. 96 million jobless Americans. This is going to hurt the insurance game a lot, both for those trying to maintain keeping their coverage, as well as those who are in the same pickle: how the heck do we pay for all of these procedures and coronavirus tests? The $2 trillion coronavirus aid package clearly states that over $100 billion dollars are to be allocated to hospital and medical needs as priority. But at this point in time, we had no idea the world would end because of it!
Cheer up! You have an option. COVID is not something you ever want to think that you may have (the anxiety of not knowing is enough torture for me) to deal with, but in reality it is a possibility, and if we do not find constructive ways to keep ourselves protected from liabilities outside of our control, then obviously a number of factors can be applied – by us – to assist you in finding the right plan for the right price
4. Government Procedures
Where does the insurance company’s proceedings go? To overhead and then (you guessed it, the place where almost all of our money goes!) the government takes the rest. In turn, they provide the service of survival to you. Not to sound too edgy, but this is a tough one to discuss without political bandwidth clogging up our servers. In the end, however, we all have to realize that the more sick there are, the more the government will have to modify insurance plans, and this could bring about massive changes in both the way health insurance operates, as well as how much it goes (perhaps, even who it goes to). We are in troubling times, so the best thing to do is secure things now!