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Book I: Taking Charge of Your Finances
Be sure that you're getting all the discounts you may be entitled to, such
as discounts for
· A car with antilock brakes, automatic seat belts, and airbags.
· A particular profession. Statistics show that people in certain types
of professions -- engineers and teachers, for example -- tend to
have fewer accidents.
· Military service. Some insurance companies give you a break on
the cost of your insurance if you're in the military or used to be.
If you have to purchase a new car, buy one like your granny might drive.
High-profile/high-performance cars cost more to insure.
Find out if your association membership entitles you to a discount on
your auto insurance.
Health insurance
Health insurance costs continue to skyrocket, and finding ways to reduce
them can seriously help your household budget. Here are some suggestions:
Talk with your employer's health plan administrator, or with your insur-
ance broker or agent if you're not part of a group plan, about what you
can do to lower your monthly health insurance costs. Possibilities may
include increasing your annual deductible, switching insurance compa-
nies, or changing plans. Keep the following in mind:
· If you're willing to sacrifice the freedom to go to whatever doctor,
pharmacy, or hospital you want, you can save money. Sign up with
a plan that limits your choices; the more flexible, the more costly.
· If someone in your family has a preexisting medical condition,
don't change plans or insurers before you know how coverage
for that condition may be affected. Some plans or providers may
refuse to cover the condition at all or may not cover it for a period
of time -- six months to a year, for example.
· Be aware that the insurance plan with the lowest premium cost
is not a good deal if it doesn't offer the coverage and benefits you
need. In the long run, paying a little extra to have the appropriate
coverage may mean lower out-of-pocket expenses for doctors, hos-
pitals, and prescription drugs.
If your income is low and you have few, if any, assets of value, find
out if you qualify for Medicaid, the federal/state health insurance pro-
gram that is state administered. To check on your eligibility, go to
www·familiesusa·org
, click on "Consumer Assistance Program Locator,"
and choose your state. You'll get a link to your state's Medicaid office.
If you don't qualify for Medicaid, you may be able to get health coverage
for your children through the federal State Children's Health Insurance
Program (SCHIP). Go to www·insurekidsnow·gov for information
about the program in your state.
