Michael Finney's Consumer Blog

Are you getting what you pay for when you hire a plumber?

Many plumbers play off your fear of the unknown to charge you more. Some plumbers charge by the hour, others by the job. By the hour is pretty straightforward -- they work, you pay for the time.  Those charging by the job are really selling plumbing... and insurance. They say paying by the job means a guaranteed price and peace of mind. You are betting -- just like with insurance -- that something is going to go horribly wrong. Now, who is in a better position to make that bet? The plumber who does this work every day or you? So when hiring a plumber ask them how they charge. Then ask yourself, do you want to pay for plumbing or insurance?

Never file a health insurance form again

How would you like to never file a health insurance form again? It is possible… for a price. A new service called Off Your Desk will do the paperwork for you. It isn’t cheap, starting at $65 a month, but if you are one of those who never seem to get the paperwork filed, this will make you money. If you have a stack of unfiled claims, Off Your Desk will take on the challenge for $295.

5 things you must do during open enrollment

Five things you must do during open enrollment. New health care rules and changes in tax laws means it is time to rethink the way you have been doing things.

>>Here’s a quick guide by Kiplinger’s

Dollars for Docs

Is your doctor taking money from  drug companies?  Many are and it raises ethical concerns. Could a doctor be bribed into prescribing the wrong drug… or a more expensive drug? Here is a searchable database compiled at great effort by the public interest journalists at Pro Publica. If you can spell your doctor’s name you can check on your doctor.

Long Term Care Insurance work around

If you get sick, health insurance pays the bills. If you die, life insurance kicks in cash for your family, but what if you become frail and need nursing home or in-home care. That’s where Long Term Care Insurance comes in… NOT. Very few Americans buy the insurance because it is expensive; $4,000 a year for average coverage. This for something you hope to never use. Is there another option? Yes, self insure.
Here is a calculator so you can work out the numbers. The figures are amazing, do you have the discipline and guts?

Free guide to the new health care rules

The new health care rules start kicking in tomorrow. Jim Guest, president and CEO, Consumers Union, says, “The new health law isn’t perfect, but this first round of reforms looks good.” And it does, these new rules can help families in a big way: Sick children can’t be denied coverage, No more lifetime limits on health insurance, and parents can keep their kids on their health insurance until age 26.

>>Consumer Reports is offering a free online guide

Don’t get sick while unemployed!

Are Californian’s being punished for doing the right thing?  Those who are sick and can’t get insurance through their job can go to companies offering policies of “last resort”.  Responsible people buy these plans rather than show up sick at the hospital and expect the taxpayer to pick up the tab. Well here’s the punishment part: state regulators have quietly given insurance companies permission to raise premiums on these polices. We are talking policies that can cost $20,000 a year and more. The national health care plan puts an end to these types of policy prices, but not till 2014.

>>Here’s more from the L.A. Times
 

How to quickly save 400 bucks

Have you noticed when car insurance ads say, “Switch to us and save”, the savings are usually $350 -$400?  Ever wonder why? There are a couple reasons: First, most consumers aren’t willing to switch carriers for just a few dollars, so the group saving money is self selecting. The 2nd reason for that $350 - $400 price savings is that many consumers chose their insurance company when they were young adults. They didn’t shop around – they didn’t know how - so they selected the company their parents used… who chose the company because their parents used it. Insurance companies know that and price accordingly. So make a couple calls on your lunch hour today and you could be saving big bucks… $350-400 to be exact.

Employers crackdown on health insurance with audits

Health insurance is expensive and employers have figured out a way to cut their costs without hurting their truthful employees: Dependent Audits.  Companies are figuring out that a lot of their workers are lying about their dependents; listing ex-wives, nieces and nephews as dependents… they usually aren’t.  If you aren’t a liar this is good for you, it keeps costs down. However the audits can be tricky for the rest of us too, so be careful how you answer the questions.

>>More details at NYTimes.com

 

 

Cell phone insurance is one lousy deal… usually

Cell phone insurance is sold as being there for you if you have a problem, but like a fake friend it is standing two steps back. Read the fine print and you will likely find that over the course of your cell contract you could have bought another phone with what you spent on insurance.  If your car insurer charged that much your policy would cost you $10,000 a year. Not only that, but there is usually a deductible of somewhere between $25 and $100. For most of us the math does not work out. If, however, you are hard on mobile phones, buy away.