Past Issues
-October 2006Contact us:
Ed Bates
952.944.5044
Mary Bates
952.942.8355
Jereme Bates
952.944.2919
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Quarterly Quote
"Destiny is not a matter of chance, it is a matter of choice; it is not a thing to be waited for, it is a thing to be achieved."
-William Jennings Bryan
Changing Times
Written by Ed Bates
Each year at this time I try to give you all a brief recap of last year and a look forward to what is coming. First, let me thank all of you for making this a banner year for our firm. We not only were able to help many of you with your employee benefit needs but due to the expansion of our product lines, we helped many of you with your commercial and personal insurance challenges, as well. As we announced this past year we have added a full slate of commercial insurance markets along with some very competitive personal automobile and homeowner products. Both of these advances have helped us, help you. Again, thank you for a great 2005.
So how do we top that? Well, there are a number of things that will be happening at Edward D. Bates & Associates, Inc, including a name change. Beginning January 1st 2006, our company name was changed to Bates Insurance Group. This change is part of a larger marketing strategy which suggests that folks should better identify what we can do for them, through our name. That was not apparent in our former name. So if you hear from us and something just doesn’t seem the same, it’s only the name, not the people. Second, we are now able to offer financial planning services to our clients and prospect base. This of course consists of personal retirement planning and asset management; corporate retirement plans and their management; a fine selection of individual life and disability products; and much more. We have partnered with Focus Financial Network to bring you these valuable services, so don’t hesitate to inquire.
Finally, Mary has been certified by Blue Cross, Medica and HealthPartners in the new Medicare part D (drugs) program beginning January 1st… If you or your employees have a need to have this new program clarified, (and it is quite complicated) please give Mary a call at 952-942-8355. She would be more than happy to walk you through your choices.
We are very much looking forward to this year and working again with you. Remember always, we aren’t striving to be the largest insurance agency, but the very best. We are interested in hearing from you as to how we can better achieve that.
Written by Jereme Bates
This past November 6th Chen May Yee of the Minneapolis Star Tribune wrote a front page article entitled “Insurers Trying the Nanny Approach.” Some of you may have already heard this term, but all of you will soon become familiar with it. In our 3rd quarter newsletter we dedicated the entire issue to the subject of “consumer engagement/awareness,” specifically HSA/HRAs. The “Nanny Approach” goes hand in hand with that theory, as it relates to consumer awareness.
The “Nanny Approach,” Chen Yee is referring to, is a new initiative by our most visible MN health insurance carriers, to involve themselves in patient decisions, ultimately to control cost. This approach attempts to educate insureds more than anything, and is your insurance company’s way of making sure you have all the facts.
Like anything new, this approach has its supporters and its skeptics. Those opposing the new approach say that it is intrusive and confuses the patient. According to Dr. Dave Abelson, the Vice President of the technology development at Park Nicollet, the new approach is “fracturing care,” by adding an extra layer between doctor and patient. He goes on to say that it is “confusing patients,” because they are hearing multiple suggestions from two different sources that often do not consult with one another.
Although Abelson makes a convincing argument, there is another side to this issue. Some insureds find it comforting to receive a phone call from someone who is dedicated to their wellbeing. It’s not a family member or concerned friend, but a medically trained RN and/or unbiased support personnel. In the article Yee says that “most clinics and hospital’s aren’t equipped to cope well with chronic diseases, mainly because doctors are paid to treat acute events such as heart attacks or injuries.” Yee brings up a good point that in some of these instances, a doctor’s follow through for ongoing treatments and lifestyle changes, might not be as focused as that of the health insurance companies, who have more invested. At this point, these programs are typically used for chronic disease management, but we are starting to see the emergence of new programs that offer employers and employees incentives for their involvement. Incentives such as discounted gym memberships and premium breaks for 100% in employee health assessment tests, used to catch or prevent chronic diseases in their early stages. These are just some of what is out there and what is to come.
The “Nanny Approach,” may or may not be liked by everyone, but if the long term result reduces health care costs, and creates a more educated consumer, then I believe it is here to stay.
Much Ado About Medicare Part D
Written by Mary Bates
The biggest change to the Medicare program since it’s inception in 1965, just occurred on January 1, 2006; Medicare Part D insurance became available. This Medicare Prescription Drug coverage is insurance provided by private insurance companies that have been approved by Medicare. Medicare is not offering this coverage directly. This all began in 2003 with the Medicare Modernization Act, which Congress passed to provide affordable prescription drug insurance coverage to our seniors. Since then, companies have been diligently working on gathering the information needed for compliance, regulation, and costs. It has evolved into insurance companies offering a whole new portfolio of Medicare plans, and many companies for Medicare recipients to choose from. To say it can be overwhelming is an understatement, so please feel free to call me if you or a loved one is eligible for Medicare benefits and needs some direction. I am the Medicare “expert” in our office, and will try to assist you (952-942-8355).
A few tips I will share are, stick with insurance companies that have been in Minnesota for awhile as some have popped up just for this marketing opportunity. Do seriously consider changing to or adding at least the basic drug plan as it will never be this inexpensive again! One does have to have Medicare Parts A & B, to be eligible for Part D. (Trivia: Medicare Part A is Inpatient Hospital, Part B is Physician services, Part C is Medicare Advantage Plans, Part D is Prescription Drug Benefit). Re-evaluate your current Medicare plan as there are many new options to choose from and some are much less expensive.
The fuss is real but also worthwhile, and we’re here to help you.