Medical Costs

7 ways to control medical costs

    Going into retirement fully informed about health care costs and other expenses will help you avoid surprises. Ultimately, you want to be able to protect your lifestyle and avoid being forced back into the workplace just to stay afloat.
    Here are seven ways you can better control medical costs:
    1. Budget. Create a target retirement savings goal that factors in your planned level of expenses and life expectancy. This should include entertainment expenses, travel costs to see family members, etc.
    2. Medical savings. Consider creating a separate savings account. Rather than just saving for retirement in general, individuals could use a Health Savings Account (HSA) or designate a portion of their retirement account to be dedicated to health care costs.
    3. Medicare. Be sure you understand what Medicare will cover and what it won't. For instance, the majority of people over age 65 will likely need long-term care at some point in their lives. Create a plan to pay for such care, keeping in mind that Medicare generally does not cover such costs.
    4. Insurance. Investigate the cost of supplemental health insurance, which reimburses individuals over age 65 for some or all of the costs not covered by Medicare.
    Medicare.gov as well as many state Web sites list the supplemental health plans available, including those for Medicare Part D.
    5. Phased retirement. It may be necessary to work longer. The additional earnings that come from gradually entering retirement, first with part-time work, can help ensure savings aren't tapped too soon for health care needs.
    6. Preventive care. Staying on top of routine doctor-recommended screenings for diseases such as colon cancer, can help control costs.
    7. Health claims. Mistakes can happen in the claims payment process. Take the time to review medical bills and follow up with the doctors office when questions arise.

2009 Roth IRA info

5 things to know about Roth IRAs to save you money

The Roth Individual Retirement Account has long been recommended as one of the best tools for saving for retirement, and it looks even better in this economy. Participants in Roth IRAs don't get tax deductions for contributing to the accounts, unlike with traditional IRAs. But the value of completely tax-free withdrawals in the future generally outweighs the tax break from upfront deductions. Any withdrawals after age 59 1/2 are untaxed, there are no mandatory withdrawals, and the money transfers to heirs without income-tax strings attached. Other advantages also weigh in the Roth's favor in this environment. Here are five things to know about converting to Roth IRAs that could help you save money in the long run:
1. TIMING IS OPTIMAL
Account values have shrunk because of the stock market's decline, and tax rates are low by historical standards — and likelier to look even lower in retrospect if federal and state rates ultimately go up as expected. That means you can pay taxes on your IRA retirement savings now at a more favorable rate. You have to pay income taxes on the entire amount converted, or transferred, to a Roth account, so lower asset values help lighten your tax burden.
2. PARTIAL CONVERSIONS ARE POSSIBLE
You can choose how much you want converted to a Roth in any given year in order to avoid a huge tax hit, and a higher bracket. Step-by-step conversion over several years is possible.
3. YOU CAN UNDO A CONVERSION
If you convert your IRA to a Roth and something transpires to change your mind or your tax status, you have until Oct. 15 of the following year to undo it. That means if you converted last year before the market dropped, you may want to go back and undo it so you won't be stuck paying taxes on value that was subsequently wiped out.
4. MOST EVERYONE WILL QUALIFY IN 2010
Anyone with an adjusted gross income of over $100,000 (single or married joint filers) currently is barred from converting. But those income limits expire in 2010. Investors can spread the tax impact over a two-year period for 2011 and 2012.
5. YOU CAN TAKE USEFUL STEPS NOW EVEN IF YOU DON'T QUALIFY
If you can't convert now, you can still contribute to a traditional IRA now for both 2008 and 2009. Then you may be in good position to convert it next year at a favorable tax cost. "Whoever can convert to a Roth IRA now should do it," said Barry Picker, a certifi ed fi nancial planner in New York City. "And those that can't should be positioning themselves to do the conversion in 2010." — The Associated Press

Saved by technology: hot new safety features hit the luxury market

Computers have greatly aided movie special effects, the space shuttle
and climate modeling in recent years. While these things are important
to human life, isn't a better four-wheeled mousetrap what we really
want? Fortunately, we're getting there quickly, and looking at the
options lists of the luxury brands, you could be forgiven for wondering
if the flying car really might be just around the corner.

You can also be forgiven for your techno-lust, because many of the
new technological advances are safety-related. Enhancing the well-being
of passengers and drivers with creative new features is one way
automakers are attempting to distinguish themselves in a
hyper-competitive market. "Some of the new technologies have a great
deal of potential," said Russ Rader, a spokesperson for the Insurance
Institute of Highway Safety (IIHS). "The big unanswered question is how
drivers will react. Some of these systems rely on warning the driver to
take action. If multiple warnings and buzzers go off, will drivers turn
them off?" If you've ever taken the battery out of your smoke detector
because it goes off when you cook dinner, the answer may be "yes."

If you buy a vehicle with the hottest new safety features, the key
issue to be aware of is that they might actually give you a false sense
of security, and you'll just drive faster and more recklessly, thus
negating any additional margin of safety you might have purchased.

If you can't resist the latest bells and whistles, here's a brief
run-down of some of what's out there right now. As usual, you can
expect technology from today's luxury cars to trickle down to less
expensive vehicles within a few short years.

Since more deaths occur in frontal collisions than any other type of
accident, forward collision warning is a promising technology. Radar or
laser sensors in the front of the car detect objects the driver might
crash into, and the car then warns the driver. The warnings vary with
the manufacturer: some use sounds or lights in the instrument panel or
- in the case of Volvo - lights projected onto the windshield. With
Acuras, the safety belts are also tightened slightly. If the system is
connected to a brake-assist feature, the vehicle may even apply the
brakes with increasing pressure. Acura, Mercedes and Volvo are
currently using versions of this technology.

Emergency brake assist, as mentioned above, provides extra power to
the brake system when you try to stop suddenly. Brake pedal sensors
help the computer understand if the situation is normal or not.
According to the IIHS, Acura, Audi, BMW, Infiniti, Land Rover, Lexus,
Mercedes, Rolls Royce and Volvo are currently using this technology. On
BMWs and Volvos the system moves pads closer to the wheel discs for
faster activation of the brakes. Infiniti adds pre-pressurization of
the brake system, anticipating driver action. However, most cars will
boost braking power only when a driver suddenly applies the brakes.

Are you a lane drifter? With lane departure warning, if you ease out
of your lane, the car will warn you. Infiniti's system uses cameras and
also monitors the steering angle and throttle position, and will steer
the vehicle if it senses that the driver isn't reacting properly. With
BMWs, drivers are alerted by a vibrating steering wheel akin to driving
over the rumble strips on highway shoulders. Audi, Buick, Cadillac and
Volvo also have versions of this technology that rely on audio and
visual warnings.

If you thought that headlights that moved with your steering wheel
were lost in ancient automotive history (along with the iconic Tucker
and the groovy Frenc-h Citroen SM), think again. It's a good idea that
has come back: with adaptive headlights, as you begin a turn, you can
actually see in the direction you're turning, rather than just straight
ahead. Acura, Audi, BMW, Buick, Cadillac, Infiniti, Jaguar, Land Rover,
Lexus, Lincoln, Maserati, Porsche, Volkswagen and Volvo are using
variations of this concept.

We all have our blind spots. Unfortunately, so do cars, so
blind-spot detection has been invented. Cameras scan lanes on both
sides of your car and let you know when a vehicle has entered the blind
spot. Again, you can expect this feature to move down the food chain to
lower-priced cars in the next few years.

But who would want to be seen in a car that has all of these amazing
devices, but was scratched-up? Though not computer-assisted in any way,
Infiniti's new Scratch Shield can automatically fill in light scratches
on a car's exterior. After a scratch, this clear coat will actually
"heal" over the course of a couple of days. Warm temperatures help it
work, but in winter or colder temperatures it may take a few extra
days.

-- For more columns and reviews, visit sfgate.com/cars.

SFCHRONICLE CARS is produced by The marketing department of the San Francisco Chronicle.

Reform of health care up in air as economy sinks - USATODAY.com

Reform of health care up in air as economy sinks - USATODAY.com: "'SERIOUS THREAT' SEEN

Rising health care costs 'pose a serious threat' to the economy, but some of the more popular cost-control policies promoted by lawmakers will do little to help, warn government reports out Thursday.

No simple solutions exist, but unless changes are made, the USA will spend 25% of its total economy on health care by 2025, up from about 16% now, the Congressional Budget Office says in two reports that do not make policy recommendations.

In addition, the number of uninsured could jump 20% in 10 years, up from about 45 million in 2009 to 54 million, the CBO says.

Some plans promoted by President-elect Barack Obama and many other lawmakers such as wide adoption of electronic health records and better preventive care could improve health but would likely result in only modest savings or even increase the federal government's costs over 10 years, the CBO says.

In contrast, reducing payments to doctors, hospitals and other medical providers highly unpopular politically would save hundreds of billions of dollars over 10 years, the CBO says.

'By far, the biggest savings are cutting what we pay to people in the health care system. Everything else is really small,' says Robert Laszewski, a health policy consultant and former insurance industry executive.

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Small Cars Getting Safer

Small car safety in crashes improves | U.S. | Reuters

WASHINGTON (Reuters) - Automakers have improved the safety of small cars just as they become more popular with consumers, but some new models still have mixed performances in crash tests, a safety group said on Wednesday.

The Insurance Institute for Highway Safety (IIHS), an insurance industry funded center that evaluates crash protection, recently completed the final series of tests on 2009 small cars.

Overall for the year, front crash test results across the two classes were generally good, while 11 of 21 new models also recorded good ratings for side protection, up from three in 2006.

The group said more vehicles with side airbags as standard equipment has been a major change credited with improving side safety.

U.S. automotive sales for the year are down 16.3 percent, but small car sales are up 1.2 percent. Japanese manufacturers dominate the class that has become more popular with consumers demanding greater fuel efficiency.

For the final seven models tested -- results of which were released on Wednesday -- only the Suzuki Motor Corp SX4 and the Toyota Motor Co Matrix (along with its twin, Pontiac Vibe made by General Motors Corp) earned the highest rating of 'good' for side crash protection.

And only the Ford Motor Co Focus earned a good rating in rear crashes as measured by the quality of head and neck restraints.

Many automakers, the group said, have yet to pay close attention to rear-crash protection.

"In stop and go commuter traffic, you're more likely to get in a rear-end collision than any other kind of crash," said Joe Nolan, the IIHS's senior vice president.

Chrysler's PT Cruiser was the only small car in the recent test series to earn poor marks in both side and rear crash tests.

Side tests are challenging for small cars. They are struck with a movable barrier that replicates the front of a pickup truck or sports utility vehicle. The impact is at head level.

"There's no escaping the laws of physics," Nolan said. "People in larger, heavier cars fare better in crashes with other vehicles and in single-vehicle crashes than people in smaller ones."

(Reporting by John Crawley; Editing by Andre Grenon)

© Thomson Reuters 2008 All rights reserved

A.M. Best Offers Insurance Tips for College Students - MarketWatch

A.M. Best Offers Insurance Tips for College Students - MarketWatch

Anthem Life Reminds Americans to Include Life Insurance in Their Financial Planning - MarketWatch

Anthem Life Reminds Americans to Include Life Insurance in Their Financial Planning - MarketWatch