Are Breast Pumps Medical Devices or a Food Processors?

Wed, 27 Oct 2010 20:32:33 GMT

The IRS creates many rules and interpretations that can impact a growing family. With passage of the new health care reform law came many new features that appear family friendly on the surface. Only time will tell how they play out in the end.

Some changes are less visible and less publicized, but their impact will be felt right away by growing families. In order to pay for many of the extra costs imposed by the legislation, changes were made in the tax code that hits growing families directly: the ability to extend resources like maternity leave pay by leveraging flexible spending accounts. A new baby ushers in all sorts of new medically related expenses from pediatrician visits, to diaper rash ointments.

Before passage a flexible spending account could be used to pay for many expenses associated with caring for a newborn. Three changes will have an impact. Previously the amount a family could contribute to an FSA was set by the employer. Beginning in 2011 the IRS has set the limit to $2,500 annually. The second change relates to over the counter medical remedies: diaper rash ointments, teething medications, pain relievers, etc. Beginning again in 2011 these items can no longer be purchased via your FSA without a doctor's prescription. Both changes raise costs.

The third area of change comes with an interpretation of what qualifies as medical expenses and what does not. The IRS does not like giving deductions for food - unless a specific food supplement is prescribed by a doctor to treat a specific medical condition. Once deductions for food are allowed, apparently the flood gates may open to all kinds of new deductible items.

Which brings us to breast pumps; studies show that mother's milk benefits her baby, boosting the immune system among many other things. How prideful of man to assume they could out-engineer God's design in the first place. Mother's milk is best for babies.

Breast pumps allow working women to feed their babies an optimal diet, perhaps staving off all kinds of future health events - and FSA eligible expenses. Mom can set aside a supply of milk that her baby can consume while she is at work.

So is a breast pump a medical device or a food processor? According to new IRS guidelines, beginning on January 1, 2011 breast pumps will be treated as food processors - no longer can women use their FSA.

Are Premature Birth and Financial Stress Related?

Wed, 17 Nov 2010 12:54:11 GMT

November 17 is “Fight for Preemies Day”. One in eight babies is born prematurely, and these babies face serious health conditions and the possible disabilities. Stress is one factor cited as a contributing factor for pre-term delivery. Financial stress is one component that can be limited.

Research shows that high levels of stress hormones are involved in triggering labor, leading scientists to believe that stress may account for increase in premature birth. The rate of premature birth has risen more than 30 percent since 1981 as cited in the Bloggers Unite website.

Financial stress may explain some of this increase. Over the past 30 years women have taken a more prominent role in the workforce. Along with the increased income associated with two income households comes an increase in fixed spending for larger homes, cars, and insurance to protect these items.

When a woman becomes pregnant, her earning power is impaired. She has a maternity leave to fund, and may miss work prior to delivery. Most women in the U.S. get little or no maternity leave pay, and job protection benefits last only twelve weeks. These benefits are quickly exhausted when complications arise, adding financial stress on top of a challenging medical condition.

Much of this stress can be minimized by purchasing supplemental insurance before getting pregnant. Short term disability insurance covers mom’s maternity leave for normal delivery, plus any complications that cause additional time away from work. Hospital indemnity insurance covers her hospital stay for normal labor and delivery, and may also cover your child should premature birth occur.

Both policies may generate benefits for normal delivery that may greatly exceed premium paid, plus additional amounts should complications arise - a great stress reducer that pays for itself!

Financial stress may be only one of many factors contributing to the increase in premature birth, but it can easily be controlled with some simple pre-planning before getting pregnant. Spread the word.

Before Taking Clomid or Fertility Drugs - Buy Supplemental Coverage

Tue, 22 Jun 2010 15:21:06 GMT

Before taking fertility drugs keep in mind what often happens soon afterwards: you get pregnant, have a baby, go on maternity leave, and take on expenses for raising, feeding, and clothing your child. It pays to research tax impacts of your decision, and get the right insurance plans in place. Once you are already pregnant, your window of opportunity will be closed. Pregnancy is a preexisting condition for most insurance plans.

Tax Considerations

Many couples find that their insurance does not cover many fertility drug costs and other forms of treatment. The IRS tax code allows you to deduct these expenses, or at least those un-reimbursed medical expenses that exceed 7.5% of your adjusted gross income. If your planned infertility drug and treatment expenses are not expected to be that high, consider using your health care flexible spending account at work instead. You will get immediate tax savings on these expenses.

Get the Right Insurance Coverage

Double check your health insurance plan to verify what is and is not covered by your plan. Most plans will not cover infertility treatments of any kind, and depending upon your state of residence you may find large maternity related deductibles or co pays, and in some cases you may need to purchase a maternity rider to insure your basic medical needs are covered.

In addition, consider purchasing supplemental maternity insurance which will help create maternity leave income, and provide added security during your pregnancy in case of complications. But be sure your coverage begins before you begin taking any fertility medications. Pregnancy is considered a pre-existing condition.

Can You Lose Your Job During Pregnancy Leave?

Mon, 10 Jan 2011 20:36:10 GMT

Many women experience complications during pregnancy that requires time away from work for bed rest. Twenty five percent of all pregnancies experience one or more complications that might require bed rest and an extended period of unplanned missed work.

Should this happen to you your employer may or may not hold your job open for you. You might have planned to miss six or eight weeks for your normal maternity leave, and maybe you set aside some savings in case you missed more time for complications. But did you plan on losing your job just because of pregnancy? It happens all too often – so plan ahead.

One woman recently asked the following question: “Can I still get unemployment if I got fired for being on bed rest?” Her answer and your answer – and the financial consequences – vary by circumstance. This woman had recently completed a maternity leave, returned to work, and was blessed with a surprise pregnancy shortly after her return. But then she experienced complications and had to leave work again.

Fortunately for her, she has a short term disability for maternity leave. She received partial income replacement during her first maternity leave, and will continue to receive benefits during her subsequent pregnancy leave for complications. Since this is a separate pregnancy the clock resets itself on her disability benefit period giving her plenty of time to recover without worrying about her bills.

The Family Medical Leave Act provides unpaid job protected leave for up to twelve weeks during any twelve month time period. Because she exhausted the twelve weeks during her first pregnancy her employer is not legally obligated to hold her job open. So they fired her.

During the time she is disabled she won’t be able to collect unemployment insurance. You must be physically able to work in order to collect. Her short term disability policy covers her during this time, but ends once she has physically recovered. But once she is physically able to work again, she can apply for unemployment insurance during her maternity leave.

Things worked out financially for this person, even though she lost her job in the process. Make sure you have the right disability coverage in force before getting pregnant.

Child Health Insurance Market Disappears

Mon, 27 Sep 2010 20:57:36 GMT

With passage of the Health Care Reform Act the administration is patting itself on the back for it's many consumer protections. One of these extra protections, coverage for children with pre-existing conditions has been heavily promoted. President Obama has been quoted as saying, "Children who have pre-existing conditions are going to be covered."

This rule, along with several others officially became law on September 23. And it did not take long for the insurance industry to adjust. This week virtually every insurance carrier announced that they would no longer write new child only insurance plans. The net result is now healthy children are locked out of the insurance market in addition to those with pre-existing conditions.

Health insurance companies know that guaranteed issues policies encourage unprofitable behavior. This is especially so when combined with a mandate to waive pre-existing conditions and provide coverage right away. With this type of rule parents can opt out of buying coverage when their kids are healthy, and only buy it when their kids become sick.

If you are pregnant without insurance don't count on being able to get coverage for your child. On the flip side the high-risk insurance pools mandated by the new health care law may provide you some coverage once you have been uninsured for six months.

Dental Hygienist Salary Insurance

Fri, 06 Aug 2010 20:46:14 GMT

If you are a dental hygienist you are uniquely positioned to protect your salary, and create maternity leave income at the same time – if your plans include enhancing your family. Dental hygienists need income security more than other professions, the field is primarily female, and you can easily get the right type of insurance coverage.

Dental hygienists have a greater need for short term disability insurance – because a simple accident causing a broken finger or sprained wrist can keep you out of work for weeks. Also, repetitive stress injuries begin to mount and may cause you to miss work. Short term disability insurance will replace a portion of your income during this time.

Dental hygienists are predominately female, and when you enter the growing family life stage, short term disability insurance will cover your pregnancy and maternity leave as well. Your benefit for normal delivery may greatly exceed the premium you pay, helping you to create maternity leave income.
But short term disability insurance with pregnancy and maternity leave benefits are not sold direct. Your opportunity to create maternity leave income for a planned event is a bad bet for the insurance carrier – especially when you consider the exposure for hand and finger problems.

Insurers sell these policies only through groups of three employees or more, but on a voluntary basis – meaning dental hygienists pay the premium themselves, not the dental practice. Many women work for large school or hospital systems, and these large bureaucracies often won’t respond to employee requests for voluntary benefits.

But as a dental hygienist, you may be working for a smaller practice and can speak directly to the business owner about the value to you, and the benefit to the practice of expanding employee choice without adding to direct costs. For many hygienists, all you have to do is ask for family health insurance benefits!

Federal Government Maternity Leave Pay

Fri, 20 Aug 2010 20:35:08 GMT

Federal Government maternity leave pay belongs in the ranks of infamous oxymorons like: military intelligence, congressional ethics, and so many more. Besides cashing in on accumulated sick days, there is no such animal. In the U.S. Federal Government workers do not have paid maternity leave entitlements, nor do all have access to short term disability insurance.

Short term disability insurance can create government paid maternity leave. The benefit for normal delivery may greatly exceed the premium, plus you are covered in case of pregnancy complications, delivery complications, accidents and illnesses. The Federal Government does not offer short term disability insurance to its employees.

But members of the National Treasury Employees Union (NTEU) can purchase short term disability insurance to cover pregnancy and maternity leave. The NTEU offers Voluntary Employee Benefit options as a member benefit.

The NTEU represents over 150,000 federal employees in over 30 different federal agencies. If you work for one of the following federal agencies you have the opportunity to create your own federal government paid maternity leave:

Department of Agriculture
- Farm Service Agency (FSA)
- Food and Nutrition Service
Department of Commerce
- Patent and Trademark Office
Department of Energy (DOE)
Department of Health & Human Services
- Administration for Children and Families
- Food and Drug Administration (FDA)
- Health Resources and Services Administration
- National Center for Health Statistics
Office of the Secretary/Administration on Aging
- Program Support Center
- Substance Abuse and Mental
Health Services Administration (HSA)
Department of Homeland Security
- U.S. Customs and Border Protection
- Transportation Security Administration (TSA)
Department of the Interior
- National Park Service
Department of Justice (DOJ)
Department of the Treasury (DOT)
- Bureau of Engraving and Printing
- Bureau of the Public Debt
- Departmental Offices
- Financial Management Service
- Internal Revenue Service (IRS)
- Office of the Comptroller of the Currency
- Office of Chief Counsel
Tax and Trade Bureau
Environmental Protection Agency (EPA)
Federal Communications Commission (FCC)
Federal Deposit Insurance Corporation (FDIC)
Federal Election Commission
National Credit Union Administration
Nuclear Regulatory Commission (NRC)
Securities and Exchange Commission (SEC)
Social Security Administration (SSA)
- Office of Disability Adjudication and Review

Finding Employers Who Offer Infertility Health Insurance Coverage

Wed, 02 Jun 2010 17:00:52 GMT

If you are trying to conceive you may have already discovered that having the right health insurance coverage is very important - and very hard to find. Fourteen states mandate some level of coverage for infertility treatments. But what if you live in one of the thirty six states with no mandate? If you understand how insurance laws get exported, you can find the right insurance coverage by finding the right employer.

State Insurance Laws

Fourteen states mandate some form of infertility insurance coverage. But these laws only apply to companies headquartered in the state, not every employer. This can be both a problem for some, and a windfall for others.

Employees in states with the mandate may not have coverage if their employer is headquartered in another state with no mandate. If this applies to your situation, your health plan may not have infertility coverage because your employer only needs to follow the laws in its home state.

On the flip side, employees in states with no mandate may have infertility coverage if their employer is headquartered in a state that does have a mandate. This is the key to finding the right coverage: find an employer headquartered in one of the mandated states with branch locations in your area.

Find Employers with Exported Infertility Coverage

Many of the states with infertility mandates are states with the highest number of company headquarter locations: California, Illinois, Massachusetts, New Jersey, New York, and Texas. The companies in these states employ a large number of people in other states. Many of these other states have no infertility mandate.

But because the laws apply to employers headquartered in a certain state, the branch office employees of these employers benefit from the home state rules. In this case, couples trying to conceive who need infertility coverage might consider looking for a new job: at a branch location of a company headquartered in a state with favorable laws.

Hidden Costs of Multiple Birth: Twins, Triplets

Fri, 24 Jun 2011 21:08:42 GMT

I was at a networking event recently, and introduced myself and ASK Benefit Solutions, explaining that we help couples create maternity leave income and create security for the unexpected. A woman in the group interjected and stated “I was born weeks premature, and my family finished paying the hospital bills on my 25^th birthday”. This quote illustrates why we are in business.

Pregnancy and child birth can be risky business. Couples are waiting longer to get married and start families. I was as guilty as any other foot dragging man, but was fortunate to naturally conceive two healthy terrific kids despite starting in my mid-thirties. Others are not so lucky, and turn to infertility treatments to help them conceive. Fertility drugs, intrauterine insemination, and multiple embryo transfer IVF have helped to boost the number and frequencies of multiple pregnancies and delivery. Hospitals have built Neo Natal Intensive Care Units (NICU) to treat an increasing number of twins and triplets born pre term and in need of specialized care.

The costs of health insurance premiums keep rising to pay for all this extra care. Many couples opt for higher deductible plans to keep premium costs affordable. Meanwhile they may be reaching into their own pocket to pay for infertility treatments; most insurance plans won’t cover IVF or any other infertility treatment unless compelled by state law.

These trends all point to a perfect storm that causes financial havoc for many: depletion of savings followed by increased debt to pay for infertility treatments, followed by lost income due to a high risk pregnancy, followed by extra medical bills for multiple infants in the NICU, followed by further lost income when the new parents take an unpaid medical leave to care for sick infants at home. Then the mortgage and care payments come due as well.

If you are considering infertility treatments and thinking that twins or triplets are a great way to create an instant family, hedge your bets and look into a couple of cost saving ideas.

Look for infertility health insurance wherever you can find it. It won’t be easy to find, but creativity and flexibility can make a difference.

Learn how the tax code can cut your infertility and IVF costs. Your un-reimbursed medical expenses are tax deductible, but IRS rules need to be understood to maximize your savings.

Purchase supplemental maternity insurance before getting pregnant to replace income during maternity leave, in case of complications, and gain extra benefits if a multiple pregnancy translates into twins or triplets in the NICU and left over medical bills.

How Disability Coverage Creates Maternity Leave Pay

Tue, 22 Jun 2010 21:42:51 GMT

Short term disability insurance is a great way to create maternity leave pay, while also protecting your income in case of complications, accidents, and illnesses. Your benefit for normal delivery can greatly exceed the premium you pay when you time the start of coverage properly. Unfortunately, most women wait until it's too late to apply for coverage, and miss out on a golden opportunity. Consider your projected date of conception, the possibility of pre-term labor, and the chances of suffering an accident or illnesses.

Use Disability to Create Maternity Leave Pay

Short term disability insurance is a great way to create maternity leave income. It pays a six week benefit for your normal vaginal delivery, and an eight week benefit for your normal c-section delivery - less the elimination period. Your benefit for normal delivery can greatly exceed the premium you pay, thereby creating maternity leave income. For example, a woman earning $54,000 per year qualifies for a $3,000 per month benefit. Her benefit for a c-section delivery would be $4,100 compared to a monthly premium around $150. A pretty sweet insurance bargain for something you were planning to do anyway: have a happy healthy pregnancy and new baby!

Apply for Coverage at the Right Time

Coverage needs to begin before getting pregnant in order to qualify for the benefit for normal delivery. Most policies contain a nine month exclusion for normal delivery. Plus, pregnancy is considered a pre-existing condition. If you wait until you are already pregnant to apply for coverage you will miss out in two ways: you will not qualify for the benefit for normal delivery, and any missed work due to pregnancy complications will not be covered. Avoid missing both of these important benefits by applying for coverage before conception. Don't wait until it's too late.

Another nuance that many women overlook is the possibility of pre-term labor and delivery. As mentioned above, most policies contain an exclusion for normal delivery during the first nine months of the policy effective date. It is possible for your policy to begin before getting pregnant, but for your normal delivery to occur inside the nine month exclusion. If this happens you may miss out on your benefit. For example, you conceive during the first week after your policy becomes effective, and you deliver two weeks early. Your normal delivery just occurred inside the nine month exclusion - no maternity leave benefit. Avoid this dilemma by applying for coverage several months before your expected date of conception. Your return on premium paid will still be well into the positive range.

Remember Accidents and Illnesses

The amazing part of buying short term disability insurance to cover your pregnancy and maternity leave is that it also protects your income in case of accidents and illnesses. You could get sick or hurt at almost any time. Should this happen, you will be very happy that you applied for coverage.

So if you think you may be getting pregnant anytime soon, apply for coverage now. An accident or illness could occur to any of us at any time. Don't wait until after getting sick or hurt. Not only will you miss out on the income protection benefit, you may no longer qualify for coverage.

IVF Financing - Proceed with Caution

Wed, 30 Jun 2010 20:35:42 GMT

Are you considering financing your infertility treatments by using an IVF refund or rebate program? These programs offer to refund a portion of your IVF treatment costs if you fail to conceive or deliver a baby. Rebate programs appeal to the smart consumer in us. After all, who wants to fork over huge sums of money, only to be left empty handed?

Look at little more closely before making up your mind. An alternative strategy emerges you consider: the fertility clinic will pre-qualify you medically, if approved they believe you will probably conceive, if you conceive your costs are just beginning, and supplemental IVF insurance pays off when you deliver.

You Must Pre-qualify Medically

Most rebate programs for in vitro fertilization procedures begin with a thorough medical evaluation of both prospective parents. If you qualify medically, your fertility clinic will offer you an opportunity to participate. The couple bears an additional cost in exchange for a partial refund if the IVF procedure does not result in conception or delivery.

Think about what the clinic is doing before moving ahead. Fertility clinics are experts when it comes to predicting which couples have the greatest chance of conceiving via IVF. If they think your odds are good, they offer you the rebate. If they think the odds are bad, they decline the rebate offer.

IVF Success Costs More

Now consider that conceiving and having a baby costs much more than a failed IVF cycle. With a failed IVF cycle, there are your infertility treatment costs. Yes, it seems like a waste of resources to pay thousands of hard earned dollars on a course of treatment that may not work, but think ahead just a little bit further.

When you conceive, your costs are just beginning. First, there is no rebate of your infertility treatment costs when you deliver. In addition to your infertility treatment costs there will be extra medical costs associated with pregnancy, lost income during maternity leave, along with the costs of feeding, clothing, and raising your child. And that is when things go well with your pregnancy. Many couples undergoing infertility treatments move on to have high risk pregnancies. Many women are nearing the end of child bearing age, or experience a multiple pregnancy. Mom can miss months of work, spend significant time in the hospital, and if your child is born too early there may by left over medical costs

Bet With Your Fertility Clinic

Why bet against your fertility clinic when they have greater experience and better data? Why compound this error by hedging against your smallest cost exposure - a failed IVF cycle?

If your fertility clinic approves you medically, believes you probably will conceive, and offers you a rebate, then bet with them not against them. Supplemental IVF Insurance allows you to bet with your fertility clinic, and covers your greatest exposure: you get pregnant and have a baby.

Supplemental IVF Insurance pays cash benefits directly to you when you delivery a healthy baby, plus it may pay additional benefits should you experience pregnancy complications, delivery complications, or premature birth.

Out of Network Hospital & NICU Bills

Thu, 05 Aug 2010 15:32:52 GMT

I recently underwent a surgery that required a five night hospital stay. The final bill from the hospital sheds light on an often misunderstood and potentially crippling aspect of medical billing: allowed charges, or usual customary and reasonable fees. If you are considering delivering your baby at an out of network hospital, make sure you understand your possible financial obligations.

My surgery was performed at an in network hospital, and my insurance paid 100% of the “allowed charges”, after I made a daily co payment. The total hospital charges were $61,000, while the allowed charges were only $13,000. The hospital credited a $48,000 contractual adjustment – that’s a 78% discount off the retail cost!

You may be considering an out of network hospital if you are in a high risk category, or you suspect that your child may need special care in the NICU. Sometimes our health comes before money. You get the best possible care, and then worry about how to pay the bills afterwards. Your contractual adjustment – the amount you owe after your insurance pay – may be much higher than mine.

When you use out of network providers you lose cost containment: the contractual rate. If this hospital was out of network my insurance would have paid 80% of the allowed charges – or $10,400 leaving me with an unpaid hospital bill of over $50,000.

For many, an out of network hospital may be the best option for a healthy outcome. Make sure you know the real cost before making your choice. Hospital indemnity insurance can help fill some of these holes, as long as your coverage begins before getting pregnant. Consider increasing your flexible spending account limits as well. A newborn child meets the “qualifying life event” criteria, and allows you to make changes to your elections during the plan year.

Placenta Previa: How to Manage Your Income

Mon, 30 Aug 2010 20:42:58 GMT

I recieved an email today that highlights why we publish this website, and work so hard to get the word out about short term disability for women planning a pregnancy. Things can and do go wrong during pregnancy, and many women miss unplanned time away from work before delivery. Many women fret about how to deal with normal maternity leave expenses, then complications arise.

This message speaks for itself:

"I was just diagnosed with Placenta Previa and my doctor required that I take a leave of absence from work. I am wondering if there were any programs to where I could get some help because I am in fear of losing my home."

If only we had been able to connect before she got pregnant. She could have learned how short term disability insurance can help to create maternity leave pay. After seeing the numbers, she might have been motivated enough to ask her employer to provide to provide voluntary employee benefits. Then she could have enjoyed maternity leave pay for her normal pregnancy and delivery, with extra security just in case.

The extra security would make a huge difference. Short term disability for pregnancy also replaces lost income for missed work due to pregnancy complications: like placenta previa. She might be resting comfortably at home knowing that she had the income to pay her mortgage. Instead her worry is compounded.

Should I wait for my employer's open enrollment?

Wed, 01 Jul 2009 20:07:58 GMT

My employer offers short term disability, but I was told to wait for open enrollment to apply. I'm afraid that I might get pregnant before the open enrollment period comes around. What should I do?

The Perfect Valentine's Day Gift for Your Wife - Insurance

Thu, 10 Feb 2011 16:28:27 GMT

Okay guys. Are you looking for the perfect Valentine’s Day gift? Does the regular set of traditional gifts seem empty and hollow? Are you looking for something that says “I love you and our family” in a truly meaningful way? If so consider buying your wife the right type of insurance.

The usual set of traditional Valentine’s Day gifts seem empty and hollow. How many times can you give your wife flowers, jewelry, or chocolates before she begins to think you are just going through the motions. Companies keep coming up with new ideas for us guys, but they seem just as empty and devoid of meaning. A few years ago it was teddy bears. This year you keep hearing about hoodie footie pajamas. Are you kidding? And jewelers keep upping the ante with new designs, and ever more expensive ways to say I love you with a rock.

But what do women really want? Women want security. They want to know that you are thinking about her and the security of the entire family. They want to know that you are thinking of their needs above your own. Nothing makes a stronger connection with these themes than the right insurance purchase.

If you are planning to expand your family and your wife is working outside the house buy her short term disability insurance. Not only will she genuinely appreciate your desire to provide for her security, she will also see how you value her time spent at work. And you may receive back more in benefits than you pay in premium.

Short term disability insurance is a gift that gives in many ways. First there is the message you are sending her. Then there is the benefit for her normal labor and delivery. And if complications arise she can leave work and rest at home without the financial worry. Plus, she is also covered in case of accidents and illnesses.

If you already have a family, make sure that her needs and your children’s needs are squared away in case you die early. Buy a life insurance policy covering you, and naming her as beneficiary. And if affording the premiums is a challenge, consider putting away some of your boy toys: golf, boating, football tickets, etc. A sacrifice of one of your prized activities in exchange for her security says “I love you” in ways a box of chocolates or a bouquet of roses never can.

U.S. Maternity Pay Debate Sounds Like a Teen Lament

Tue, 08 Mar 2011 21:49:28 GMT

The U.S. maternity leave pay debate, if there is such a thing, sounds much like a common teenage lament: “It’s not fair, all my friends get to go”, or “Everyone else is doing it, why can’t I”. If you have teenage children you might have heard these phrases multiple times. If your children are younger or you are just starting family you will soon.

The parental response for decades remains the same: If you all your friends jumped off a cliff, should we let you do that?”

Much of the talk about maternity leave pay in the U.S. sounds eerily familiar to this common teenage lament. And like this lament, there is a built in preconception that there is only one right answer, when an alternative does exist. And the focus on the lament obscures the alternative, causing millions to miss out on an important benefit.

The Human Rights Watch recently published a report entitled “"Failing its Families: Lack of Paid Leave and Work-Family Supports in the US." The facts and the implications are not in dispute. Only 11 percent of U.S. workers have paid family leave. Many who take an unpaid leave are forced to take on debt and find themselves in a financial bind.

The U.S. is one of only a handful of industrialized nations without a comprehensive government mandated paid maternity leave policy. “At least 178 countries have national laws that guarantee paid leave for new mothers, and more than 50 also guarantee paid leave for new fathers. More than 100 countries offer 14 or more weeks of paid leave for new mothers.”

The presupposition that government mandated paid leave is the right answer is disputed. Everyone else is doing it. It must be the right thing to do. Does this sound familiar? Why isn’t an alternative discussed?

Which gets me to the main point: an alternative to government mandate maternity pay is available today in the U.S. through a private sector solution. But this fact is almost always overlooked by those seeking to expand government reach, and impose their values on others. The discussion centers on what the government does or does not do, and ignores a solution already in existence.

This omission does huge harm to the population most at risk: young couples with growing families. The private insurance marketplace provides short term disability insurance which covers mom’s maternity leave, along with time missed from work due to complications. The problem is that this population is almost completely unaware that the solution is right at their fingertips.

The short coming is that coverage must begin before getting pregnant. We field untold emails and phone calls from women who are already pregnant who are desperate for maternity leave income. They were totally unaware that coverage even existed until it was too late.

What Card Counters Teach Us About Maternity Leave Pay

Tue, 05 Oct 2010 19:38:44 GMT

If you are planning a pregnancy now is the time to take steps to maximize your maternity leave pay. Take a page from card counters who turn the tables on casinos to put extra money in their pockets. You have a once in a lifetime opportunity to buy insurance for a planned event: your normal labor and delivery. The odds are stacked heavily in your favor, so maximize your bets by purchasing multitple policies, and paying for the premium after tax.

Casinos love inviting high rollers onto their black jack tables where the odds are stacked in favor of the ownership. Customers bet that they can beat the odds in the short term. But over many bets the casinos always come out ahead because they stack the odds.

Card counters are hated by casinos. Card counters change the odds by tracking cards dealt. When the remaining deck of cards is rich in face cards the odds turn in favor of the gambler. To leverage the change in odds card counters vary their bets. They bet less when the odds are poor and more when the odds are favorable.

Working women planning a pregnancy have the same opportunity. The odds of getting more back in benefit than you pay in premium are very high. Your normal delivery is a covered benefit, plus you may experience complications which may result in additional benefits being paid.

When the odds are in your favor bet more. Buy multiple policies. Purchase short term disability for maternity leave and your benefit for normal delivery may greatly exceed the premium you pay.

Also purchase hospital indemnity insurance which pays a lump sum benefit upon admission to the hospital for your normal delivery. Once again your benefit for normal delivery may greatly exceed the premium you pay. Also purchase a hospital sickness rider attached to an accident policy. Your will receive benefits based upon the number of nights spent in the hospital.

Finally maximize your bets by paying your premium with after tax rather than before tax dollars. When you pay after tax your benefit for short term disability comes to you completely tax free. While you lose tax savings on the premium, you avoid paying taxes on the much larger benefit.

When to Apply for Short Term Disability Insurance

Thu, 01 Jul 2010 13:32:55 GMT

Short term disability insurance is a great way to create maternity leave income, while also protecting your income in case of complications, accidents, and illnesses. Your benefit for normal delivery can greatly exceed the premium you pay when you time the start of coverage properly. Unfortunately, most women wait until it's too late to apply for coverage, and miss out on a golden opportunity. Consider your projected date of conception, the possibility of pre-term labor, and the chances of suffering an accident or illnesses.

Use Disability to Create Maternity Leave Pay

Short term disability insurance is a great way to create maternity leave pay. It pays a six week benefit for your normal vaginal delivery, and an eight week benefit for your normal c-section delivery - less the elimination period. Your benefit for normal delivery can greatly exceed the premium you pay, thereby creating maternity leave income. For example, a woman earning $54,000 per year qualifies for a $3,000 per month benefit. Her benefit for a c-section delivery would be $4,100 compared to a monthly premium around $150. A pretty sweet insurance bargain for something you were planning to do anyway: have a happy healthy pregnancy and new baby!

Apply for Coverage at the Right Time

Coverage needs to begin before getting pregnant in order to qualify for the benefit for normal delivery. Most policies contain a nine month exclusion for normal delivery. Plus, pregnancy is considered a pre-existing condition. If you wait until you are already pregnant to apply for coverage you will miss out in two ways: you will not qualify for the benefit for normal delivery, and any missed work due to pregnancy complications will not be covered. Avoid missing both of these important benefits by applying for coverage before conception. Don't wait until it's too late.

Another nuance that many women overlook is the possibility of pre-term labor and delivery. As mentioned above, most policies contain an exclusion for normal delivery during the first nine months of the policy effective date. It is possible for your policy to begin before getting pregnant, but for your normal delivery to occur inside the nine month exclusion. If this happens you may miss out on your benefit. For example, you conceive during the first week after your policy becomes effective, and you deliver two weeks early. Your normal delivery just occurred inside the nine month exclusion - no maternity leave benefit. Avoid this dilemma by applying for coverage several months before your expected date of conception. Your return on premium paid will still be well into the positive range.

Remember Accidents and Illnesses

The amazing part of buying short term disability insurance to cover your pregnancy and maternity leave is that it also protects your income in case of accidents and illnesses. You could get sick or hurt at almost any time. Should this happen, you will be very happy that you applied for coverage.

Which Supplemental Health Insurance Fits Best?

Fri, 05 Nov 2010 23:56:49 GMT

I heard from one of our first customers today. She asked many very sharp and astute questions before introducing us to her employer, and purchasing our recommended supplemental maternity package: short term disability, and hospital indemnity insurance. Her questions helped us create much of the content you see today on our site.

Her employer is a leading general agent marketing health insurance programs - hence her ability to ask probing on-target questions. It also illustrated for us that even people from inside the industry did not understand how to use these everyday insurance programs to solve a common and vexing problem for many growing families: maternity leave pay, and security for complications.

She wrote in to cancel her policies. She stressed how happy she was with our service, but she was no longer working. Short term disability insurance would no longer help her. Her young daughter was diagnosed with a brain tumor, and she had to stop working to take care of her at home.

So many women find us to create maternity leave income. We present a package of programs that specifically address the original need, and just happen to cover accidents and illnesses as well. We also point out the need that they and their co-workers share to protect their lifestyle against accidents and illnesses that might affect their entire family.

Perhaps we should stress other programs beyond those directly addressing pregnancy and maternity. A family cancer insurance program was the right choice using our 20/20 hindsight. But you make choices based upon your lifes tage and medical history. Maybe a greater emphasis on purchasing hospital indemnity insurance for the entire family might have made a difference. We don't know if her daughter's condition required a hospital stay, but is so a few extra dollars to cover the entire family might be a more suitable choice.

At times like these I realize how important it is to be passionate about how we serve families - so our customers are less prone to save a few pennies. Our hearts and prayers go out to her family.