A Medicare Supplement insurance plan helps cover the costs that are left unpaid after Medicare Parts A and B pay their portion of your healthcare expenses. Unlike a Medicare Advantage plan, which is an alternative to your Medicare Parts A and B benefits, a Medicare Supplement plan is purchased to work in conjunction with your Medicare Parts A and B benefits.

Medicare Supplement policies are standardized into 10 plans - labeled "A" through "N", each with its own set of benefits.

Medicare Supplement policies are sold by private insurance companies. While the costs of these policies may vary, individual insurance companies must provide the same standardized benefits. Some companies may offer innovative benefits. To purchase a policy, in general you must be enrolled in Medicare Part A and Part B. In addition to paying the monthly Medicare Part B premium to Medicare, you will have to pay a premium to the insurance company providing your coverage.

Yes. Medicare Supplement insurance works in conjunction with your primary coverage, which must be both Medicare Part A and Part B.

Depending on the exact Plan Letter chosen, a Medicare Supplement will cover between some and all of the out of pocket costs that Medicare Part A and B leave you with. For example, the most popular plan, Plan F, will cover 100% of your out of pocket costs for hospital stays, in-patient and out-patient surgery, doctor’s office visits, diagnostic tests, medical equipment, plus more.

Medicare Supplement (Medigap) insurance enhances the basic Medicare system. On the other hand, Medicare Advantage is a completely separate program that replaces Medicare Parts A & C. Medicare Advantage plans may include vision, hearing or prescription drug insurance. Even though Medicare Advantage cover some extra things that doesn’t always mean this coverage is the best for you. You can’t use a Medicare Supplement (Medigap) policy in conjunction with this coverage. To find out which Supplemental plan is best for your needs and budget, please reach out to one of our licensed advisers.

Although there are 10 different Medicare Supplement Plans (letters A-N) that are available to consumers, the majority of seniors have either Plan F, Plan G, or Plan N due to their combination of cost efficiency and comprehensive and simple to understand benefits.

Plan F is the most popular plan, with about 50% of Medicare Supplement policy holders having this plan. Plan F is often referred to as the “Cadillac Plan” because it is the most comprehensive in terms of the benefits it offers, since it covers every deductible, copay, and coinsurance that Original Medicare leaves you with. This means you will have zero out-of-pocket liability for all of your benefits under Medicare Part A and Part B, which also gives it the most convenient and simplified experience since there will never be any out of pocket bills that will be sent to you.

Plan G is often considered the best value and most practical plan since it has all the same benefits as Plan F except that, in exchange for a lower premium, it does not cover one small deductible that Medicare leaves you with- your once-a-year Part B deductible of $147 a year. This means that, with Plan G, your first $147 of healthcare costs that fall under Medicare Part B will have to be paid out of pocket, since it will not be covered by Medicare or your Medicare Supplement plan. Once this deductible is met your Plan G will operate exactly like Plan F, with all other deductibles, copays, and coinsurance being covered by your Medicare Supplement plan. Because Plan G leaves the plan holder with this small piece of cost sharing of the once a year Part B Deductible, Plan G will have a lower monthly premium than Plan F, which usually saves more than enough to make up for the out of pocket cost.

For an even lower premium plan that still accomplishes the main features that Medicare Supplements are designed for – protection from high out of pocket costs and uncertainty, clear benefits and ability to budget, lack of confusion and inconvenience of handling complex bills, and access to your own choice of doctors, hospitals, and healthcare providers- Plan N has become an increasingly popular choice. Like Plan G, Plan N also leaves the plan holder with the once a year Part B deductible but also includes an additional $20 copay for doctors office visits, $50 copay for emergency room visits, and also does not cover what is known as Part B excess charges. Part B excess charges are if a doctor does not accept Medicare assignment, then they can charge an "excess" over and above what Medicare Part B pays, in the amount of up to 15%, depending on which state you are in. So, for example, if you have a certain medical test or procedure, and Medicare determines that the reasonable and approved fee is $500, a provider that does not accept Medicare assignment can charge up to 15% in excess, or an additional $75. If you have Plan N, which does not cover this potential excess charge, you would be responsible for that additional $75.

All supplement insurance companies pay claims the same way, and most pay them electronically so you do not have to file any claims yourself.

In General, the top three plans can be summed up as follows:

Option 1 - Medigap Plan F- Most Comprehensive and Convenient

• Most comprehensive coverage- 100% coverage of Medicare Part A and B out-of-pocket gaps

• Most Popular – Almost 50% of Medicare Supplement Policyholders have this plan

• Easiest to Understand

• No deductibles, co-pays, or coinsurance- so no out of pocket at all

• Choose any doctor or hospital that accepts Medicare

• Most Expensive but most predictable and convenient since there is zero out of pocket

Option 2 - Medigap Plan G - Best Value and Most Practical

• Same exact coverage as Plan F except for no coverage of annual Medicare Part B Deductible

• Plan member pays the once-a-year Medicare Part B Deductible ($147 in 2015) when services are received

• No other co-pays or coinsurance

• Choose any doctor or hospital that accepts Medicare

• Lower Monthly Price than Plan F and Lowest Annual Net Cost

Option 3 - Medigap Plan N - Lowest Price but More Cost Sharing

• All major gaps covered but 4 potential sources of out of pocket expenses

• Plan member pays the once-a-year Medicare Part B Deductible ($147 in 2015)

• Plan member pays $20 co-pay for doctor visits, and $50 co-pay for emergency visits

• Plan member is responsible for Part B excess charges (up to 15%) if doctor doesn’t take assignment

• Choose any doctor or hospital that accepts Medicare

• You take on more cost sharing through small copays and deductibles in return for lower premiums

All individuals that are eligible for Medicare Part A and Part B are eligible to apply for a Medicare Supplement plan to work alongside their primary coverage of Original Medicare (Part A and B). However, Medicare Advantage and Employer/Group Plans often have restrictions as to when an individual may disenroll from those plans, and often are structured as 1 year contracts in which the insured commits to staying in that plan. Conversely, a Medicare Supplement offers much more flexibility by allowing individuals to sign up, drop, or change plans at any point during the year.

By law, Medicare supplement insurance plans no longer cover prescription drugs. Prescription drug coverage, also known as Medicare Part D, is available separately through private insurance companies approved by Medicare and can be purchased directly from Medicare.gov. Your Part D prescription plan does not have to be with the same carrier you have your Medicare Supplement with.

No. Your current Medicare Supplement plan continues if you do nothing.

It Depends. All individuals eligible for Medicare have the right to be “Guaranteed Issue” into any Medicare Supplement plan with any insurance carrier if they are within 6 months of their 65th birthday or their Medicare Part B effective date. There are also instances of “Guaranteed Issue” eligibility if an individual’s previous plan had terminated or been canceled involuntarily. Otherwise, if an applicant is not in one of these categories, the answer is “Yes”, the insurance company will require health questions, a prescription check, and often a brief “Personal Health Interview” phone call in order to determine one’s approval for the policy.

No. Even if you are applying in a health underwritten situation (outside of an open enrollment or guaranteed issue situation). There are no in-person exams, or testing required for an approval into a Medicare Supplement plan, however, some carriers will request a brief Phone Call with the applicant to discuss recent health conditions.

Yes, but there’s no guarantee that another insurer will accept your application. It is wise to request coverage and wait for a response before canceling your current plan. Federal law requires other insurers to serve you if your current provider shuts down.

You can do this as often as you want. Although there is a general misconception that you can only change your plan once a year, you can actually change your plan at any time, for any number of times throughout the year. However, your ultimate goal is to select the best policy and commit to it. You can purchase a Medicare Supplement insurance plan from any insurance company that is licensed in your state.

No, your Medicare Supplement Plan is guaranteed renewable and non-cancellable, which means as long as you pay your monthly premium payment the insurance company can never cancel your coverage or single you out in any way due your health. In addition, a Medicare Supplement company can never raise your rates individually based on your ongoing health or claims history. This means your company can never single you out for rate increases based on your own use of the plan or any health issues you had during the year. Even if you have had hundreds of thousands of dollars of medical costs paid for by your Medicare Supplement company, they cannot use this in any way to make you pay a higher rate than the rest of the people in your plan.

When you sign up for your Medicare Supplement insurance with Optavise, you are systematically put in position to receive the highest rated and most competitively priced plans in the marketplace. Optavise has made it our mission to deliver the absolute more clear, convenient, and costs efficient experience for you. Contact us anytime for client support at (856) 580-0801 and or our direct email at info@optavise.net. In addition, any policy facilitated through us will include a 30-day Free Look, which allows you to completely terminate the policy within 30 days of its issuance without incurring any penalty or fees.

Final Expense Life Insurance is a family planning tool designed to protect and benefit your loved ones when you pass away. When an individual passes, a family is faced with a great deal of work and numerous bills and expenses. Final Expense Life Insurance provides an instant death benefit that enables your loved ones to have a clear plan and source of funds to handle these costs, allowing an appropriate and effective environment to come to peace and celebrate the life of their loved one.

• Final expense insurance is always a type of whole life insurance, which is a form of permanent life insurance. Unlike term insurance, which only pays off if you die during the “term” of the policy, a whole life policy remains in effect for your entire life, guaranteeing that the benefit will be there no matter how long you live (as long as you continue to pay your premiums).

• With a level benefit whole life insurance, the premiums and the death benefit are guaranteed to remain the same for as long as you keep the policy in effect.

• A whole life policy also comes with guaranteed cash values that grow over time on a tax-deferred basis. If necessary, you can access your cash account for a variety of purposes. The death benefit paid to your beneficiaries will always be tax free.

The largest single 'final expense' will often be your funeral arrangements. However, a policy may also provide the immediate cash benefit for:

• Medical Bills

• Probate Expenses/ Settlement of Financial Matters

• Past Due Bills, Accounts, Debts

• Continuing Lost Income for Your Family

• Passing on a Tax-Free Inheritance

Easy-to-Use Guide and Calculator to help you determine an appropriate amount for you and your family can be found at: Optavise Family Benefit Calculator

The average face amount (Death Benefit) of a Final Expense Life Insurance policy in 2015 is about $14,776, however, everyone’s situation is unique. A good guide is to start with the estimated cost of the funeral service of your choice and then to add the additional benefits you would like to leave to your loved ones. The calculator above helps you do this. It is important to remember that funeral and burial costs have consistently increased over time.

• The average funeral cost today is $9,343.

• Additional fees for cemetery, monument, flowers, & obituaries can increase this cost to nearly $12,000.

• When considering the cost increases over the past 40 years, with an estimate of 5% inflation per year, by 2030 the cost would rise to $18,276.

• The Social Security Death Benefit only provides a lump sum benefit of $255 for those who qualify.

Rates for a final expense insurance policy will vary depending on several factors; mainly your age, gender, current health, and the amount of coverage being insured. The average premium for policies in 2015 is less than $54 a month.

The sooner the better, and the sooner the cheaper. Life Insurance policy premiums go up in price the older you are at the time that you first initiate your policy. Insurers typically offer Final Expense policies to those between the ages of 50 and 85. A few insurers offer coverage to those who are over age 85. The average issue age for those purchasing Final Expense Insurance in 2015 is 64 years old.

No your premiums are guaranteed to stay the same. Once you have purchased a final expense insurance policy, your premiums will remain fixed for the entire life of the policy. Policies and premiums are issued based on your current age and health and will not change or increase as you get older or if you get sick or injured.

A final expense life insurance policy is permanent life insurance, so the coverage is guaranteed to last for your entire life, no matter what age you live to. Once you pass away, your beneficiaries will receive a cash payout of the amount of your policy (known as the Death Benefit), which can be used to pay for your funeral and memorial services, unpaid bills or debts, other expenses, or can be left as a gift or inheritance. A final expense life insurance policy will not expire and can only be cancelled if you stop paying your monthly premiums.

It is your choice. There are both “Health Underwritten” policies and “Guaranteed Issue” policies. If you have a positive health history it is beneficial to complete the health underwriting, as this will insure your death benefit goes into effect immediately upon approval and will give you access to the lowest priced policies. If you have major health concerns or simply do not want to disclose any of your personal health information, you will still be able to qualify for full and permanent whole live policy at competitive prices with a “Guaranteed Issue” policy, however these policies will often have a reduced death benefit in the first two years.

“Health Underwritten” policies require some basic health questions to be answered and often a brief phone call directly with the insurance carrier- this entire approval process is simplified and streamlined for you by our team at Optavise. If approved for a “Health Underwritten” policy, also known as Level Benefit plans, your full death benefit amount is immediately in force for your loved ones.

“Guaranteed Issue” final expense policies do not require any health information to be provided and guarantee your approval for coverage regardless of your health. In the past it has been very challenging for those with health issues to find an affordable option for coverage. Optavise has engineered our service to specifically fix this problem. With our “Guaranteed Issue Policy MarketPlace” we have organize a service for you to clearly and easily see and view the best prices for all of the top companies offering this type of policy.

No, Final Expense insurance is just a type of whole life insurance with death benefits between $5,000 and $50,0000, and which is primarily aimed at protecting your loved one’s from the burdensome costs that often come with passing away.

Final Expense Life insurance is designed to be a permanent solution to take care of a permanent goal. This means when you put your policy in place it is intended to last your entire life, which could be a very long time, so making sure you get the best price on your coverage when you first put your policy in place can add up to a lot of savings over your lifetime.

In the past it was very difficult for people to make sure, or even identify, if they were getting the best price on their policy. There are a lot of insurance companies and a lot of options to choose from so it was nearly impossible to figure out the prices for each one. Now however, online resources make it easy for you to compare various providers from your home, comfortably, clearly and confidentially.

By researching an securing your policy with an online service, you will benefit from transparency of the marketplace that allows you to compare various insurance carriers and policies and ensure that you have decided on the best priced and most suitable option for you and your family. It also gives more power to the consumer by allowing online consumers to plug in various policy options, plan types, and coverage amounts to really show individuals and families the plans that best fit the needs of their own specific situation and budget. In addition, learning about, identifying and purchasing your coverage online eliminates the distressing pressure of pushy salesman and unwanted strangers in your home who may make you feel rushed into a decision.

The world-changing rise of the Internet has made shopping clear, convenient, and efficient for just about anything you can imagine. Today, people are even purchasing cars and homes online. This world-changing rise has now reached the world of insurance coverage for senior citizens in America.

Best Prices. Best Service. Most convenience.

Optavise is the premier online insurance education and price comparison service for seniors in America. It has been engineered to provide the most clear, comfortable, and effective pathway to truly understanding your options, identifying the most competitively priced plans in the marketplace, streamlining your application and approval process, and providing an unprecedented level of organization and management after your plan is in place.

It Depends. All individuals eligible for Medicare have the right to be “Guaranteed Issue” into any Medicare Supplement plan with any insurance carrier if they are within 6 months of their 65th birthday or their Medicare Part B effective date. There are also instances of “Guaranteed Issue” eligibility if an individual’s previous plan had terminated or been canceled involuntarily. Otherwise, if an applicant is not in one of these categories, the answer is “Yes”, the insurance company will require health questions, a prescription check, and often a brief “Personal Health Interview” phone call in order to determine one’s approval for the policy.

No. Even if you are applying in a health underwritten situation (outside of an open enrollment or guaranteed issue situation). There are no in-person exams, or testing required for an approval into a Medicare Supplement plan, however, some carriers will request a brief Phone Call with the applicant to discuss recent health conditions.

Yes, but there’s no guarantee that another insurer will accept your application. It is wise to request coverage and wait for a response before canceling your current plan. Federal law requires other insurers to serve you if your current provider shuts down.

You can do this as often as you want. Although there is a general misconception that you can only change your plan once a year, you can actually change your plan at any time, for any number of times throughout the year. However, your ultimate goal is to select the best policy and commit to it. You can purchase a Medicare Supplement insurance plan from any insurance company that is licensed in your state.

No, your Medicare Supplement Plan is guaranteed renewable and non-cancellable, which means as long as you pay your monthly premium payment the insurance company can never cancel your coverage or single you out in any way due your health. In addition, a Medicare Supplement company can never raise your rates individually based on your ongoing health or claims history. This means your company can never single you out for rate increases based on your own use of the plan or any health issues you had during the year. Even if you have had hundreds of thousands of dollars of medical costs paid for by your Medicare Supplement company, they cannot use this in any way to make you pay a higher rate than the rest of the people in your plan.

When you sign up for your Medicare Supplement insurance with Optavise, you are systematically put in position to receive the highest rated and most competitively priced plans in the marketplace. Optavise has made it our mission to deliver the absolute more clear, convenient, and costs efficient experience for you. Contact us anytime for client support at (856) 580-0801 and or our direct email at info@optavise.net. In addition, any policy facilitated through us will include a 30-day Free Look, which allows you to completely terminate the policy within 30 days of its issuance without incurring any penalty or fees.

The rules for Medicare Supplement companies are standardized and regulated by the Federal government to provide simplicity and uniformity to make understanding and comparing the plans easier for you, the consumer. This means that all companies must offer the exact same coverage and benefits for a specific plan letter. For example, if a Medicare Supplement Plan F is sold by Company 1, it must have the same exact benefits as Plan F sold by Company 2, and every other company that offers Plan F.

Although all Medicare Supplement plans are standardized and must follow these rules, each insurance company still sets its own prices for its Plans, and these prices can vary dramatically from one company to the next.

The reasons for why one company may charge a higher or lower rate than another company range from the size of the company and how many insureds they have, to the marketing and branding strategy of the company, to the restrictiveness of their underwriting and how efficiently they operate the company. Regardless, the significant difference in price that companies charge for the exact identical plan creates a huge need to compare prices from the marketplace and determine which carrier is going to provide you with the most cost efficient solution.

Although there are 10 different Medicare Supplement Plans (letters A-N) that are available to consumers, the majority of seniors have either Plan F, Plan G, or Plan N due to their combination of cost efficiency and comprehensive and simple to understand benefits.

Plan F is the most popular plan, with about 50% of Medicare Supplement policy holders having this plan. Plan F is often referred to as the “Cadillac Plan” because it is the most comprehensive in terms of the benefits it offers, since it covers every deductible, copay, and coinsurance that Original Medicare leaves you with. This means you will have zero out-of-pocket liability for all of your benefits under Medicare Part A and Part B, which also gives it the most convenient and simplified experience since there will never be any out of pocket bills that will be sent to you.

Plan G is often considered the best value and most practical plan since it has all the same benefits as Plan F except that, in exchange for a lower premium, it does not cover one small deductible that Medicare leaves you with- your once-a-year Part B deductible of $147 a year. This means that, with Plan G, your first $147 of healthcare costs that fall under Medicare Part B will have to be paid out of pocket, since it will not be covered by Medicare or your Medicare Supplement plan. Once this deductible is met your Plan G will operate exactly like Plan F, with all other deductibles, copays, and coinsurance being covered by your Medicare Supplement plan. Because Plan G leaves the plan holder with this small piece of cost sharing of the once a year Part B Deductible, Plan G will have a lower monthly premium than Plan F, which usually saves more than enough to make up for the out of pocket cost.

For an even lower premium plan that still accomplishes the main features that Medicare Supplements are designed for – protection from high out of pocket costs and uncertainty, clear benefits and ability to budget, lack of confusion and inconvenience of handling complex bills, and access to your own choice of doctors, hospitals, and healthcare providers- Plan N has become an increasingly popular choice.

Like Plan G, Plan N also leaves the plan holder with the once a year Part B deductible but also includes an additional $20 copay for doctors office visits, $50 copay for emergency room visits, and also does not cover what is known as Part B excess charges. Part B excess charges are if a doctor does not accept Medicare assignment, then they can charge an "excess" over and above what Medicare Part B pays, in the amount of up to 15%, depending on which state you are in. So, for example, if you have a certain medical test or procedure, and Medicare determines that the reasonable and approved fee is $500, a provider that does not accept Medicare assignment can charge up to 15% in excess, or an additional $75. If you have Plan N, which does not cover this potential excess charge, you would be responsible for that additional $75.

All supplement insurance companies pay claims the same way, and most pay them electronically so you do not have to file any claims yourself.

In General, the top three plans can be summed up as follows:

Option 1 - Medigap Plan F- Most Comprehensive and Convenient

• Most comprehensive coverage- 100% coverage of Medicare Part A and B out-of-pocket gaps

• Most Popular – Almost 50% of Medicare Supplement Policyholders have this plan

• Easiest to Understand

• No deductibles, co-pays, or coinsurance- so no out of pocket at all

• Choose any doctor or hospital that accepts Medicare

• Most Expensive but most predictable and convenient since there is zero out of pocket

Option 2 - Medigap Plan G - Best Value and Most Practical

• Same exact coverage as Plan F except for no coverage of annual Medicare Part B Deductible

• Plan member pays the once-a-year Medicare Part B Deductible ($147 in 2015) when services are received

• No other co-pays or coinsurance

• Choose any doctor or hospital that accepts Medicare

• Lower Monthly Price than Plan F and Lowest Annual Net Cost

Option 3 - Medigap Plan N - Lowest Price but More Cost Sharing

• All major gaps covered but 4 potential sources of out of pocket expenses

• Plan member pays the once-a-year Medicare Part B Deductible ($147 in 2015)

• Plan member pays $20 co-pay for doctor visits, and $50 co-pay for emergency visits

• Plan member is responsible for Part B excess charges (up to 15%) if doctor doesn’t take assignment

• Choose any doctor or hospital that accepts Medicare

• You take on more cost sharing through small copays and deductibles in return for lower premiums

Once you are enrolled in Medicare Parts A and B, Medicare Supplement Plans can be applied for or changed at any time during the year. You do not have to wait until Annual Open Enrollment, or AEP, which is Oct 15th to Dec 7th every year. (That’s when you see all the TV commercials!) That period is only for those who are switching their Medicare Advantage plans (Part C) or their prescription drug plans (Part D). This fact is often unknown, or misunderstood.

Yes. When you have a Medicare Supplement plan you can see any doctor, hospital, or provider that takes Medicare. There are no networks that you must stay and no referrals needed. In addition, there are no state boundaries with a Medicare Supplement plan. All Medicare Supplement plans will work and be taken the same way anywhere in the country. Even medically necessary emergency care outside the US is covered.

If you decide to change MedSup Plans, you can still keep your old plan for up to 30 days before canceling it. You must promise to cancel the old Medigap plan when filling out the application for the new plan, but you're allowed a 30-day "free-look" period, in case you opt against changing Medicare Supplement Plans. This period begins when you start your new policy. You should not cancel your old plan until you are sure that you want to keep the new policy.

Be aware that you're required to pay both premiums during the 30-day "free-look" period.

Yes, many companies now offer a household or spousal discount if multiple members of the same household are enrolled with the same company, which with some companies can reduce your premiums by up to 12% a year.

No. You and your spouse must each enroll in a Medigap plan in order to obtain Medigap coverage. However, some companies do offer substantial discounts for members of the same household who have their Medicare Supplement plans insured with the same company.

You only have to meet your Medicare Part B Deductible, of $147, once a year, even if you switch plans. If you change plans mid-year and have already met your Part B deductible that year then you will not have to pay it again for that year.

In most cases, yes you do. However, there are a few exceptions. When an individual first enrolls in Medicare Part B, they have a 6-month guaranteed issue right to be accepted into any Medicare Supplement plan with any company without any health questions asked. This means that, regardless of your health status, the insurance company is required to accept you.

If you are outside of this 6-month guaranteed issue period, the insurance company will have an underwriting process that includes health questions, and sometimes a phone call, and can use their own discretion whether to accept you based on your health status. However, there are a few situations that allow you to leave a Medicare Advantage plan and join a Medicare Supplement plan without being subject to medical underwriting.

No, your Medicare Supplement Plan is guaranteed renewable and non-cancellable, which means as long as you pay your monthly premium payment the insurance company can never cancel your coverage or single you out in any way due your health. In addition, a Medicare Supplement company can never raise your rates individually based on your ongoing health or claims history. This means your company can never single you out for rate increases based on your own use of the plan or any health issues you had during the year. Even if you have had hundreds of thousands of dollars of medical costs paid for by your Medicare Supplement company, they cannot use this in any way to make you pay a higher rate than the rest of the people in your plan.

No, you do not jeopardize your current coverage in any way by applying for a lower rate with another company. Even if you are denied by the new company you are applying with, this in no way can disrupt your current coverage. You are 100% assured that your existing coverage will continue as normal.

It is your choice. There are both “Health Underwritten” policies and “Guaranteed Issue” policies. If you have a positive health history it is beneficial to complete the health underwriting, as this will insure your death benefit goes into effect immediately upon approval and will give you access to the lowest priced policies. If you have major health concerns or simply do not want to disclose any of your personal health information, you will still be able to qualify for full and permanent whole live policy at competitive prices with a “Guaranteed Issue” policy, however these policies will often have a reduced death benefit in the first two years.

“Health Underwritten” policies require some basic health questions to be answered and often a brief phone call directly with the insurance carrier- this entire approval process is simplified and streamlined for you by our team at Optavise. If approved for a “Health Underwritten” policy, also known as Level Benefit plans, your full death benefit amount is immediately in force for your loved ones.

“Guaranteed Issue” final expense policies do not require any health information to be provided and guarantee your approval for coverage regardless of your health. With this type of the policy the insurance company offering the coverage does not ask you any health related questions at all, not even about tobacco use, or prior declines or rejections of coverage. In the past it has been very challenging for those with health issues to find an affordable option for coverage. Optavise has engineered our service to specifically fix this problem. With our “Guaranteed Issue Policy MarketPlace” we have organize a service for you to clearly and easily see and view the best prices for all of the top companies offering this type of policy.

It depends on the type of policy you would like to apply for and which health conditions are in question. Optavise partners with several providers that offer Guaranteed Issue Whole Life Insurance, which is guaranteed acceptance-no medical questions or health exam. For most other life insurance plans, your health does affect the price. Depending on your health status (which can be quickly outlined by Optavise innovative and convenient health categories system), Optavise was built to intelligently scan the marketplace to find you the best priced options for your specific health scenario. For example, there will be a difference in policies for someone who is a heavy smoker with a heart condition compared to someone who has never smoked but has diabetes.

Since there are some carriers who offer Guaranteed Issue whole life policies, which do not ask any health questions at all, those who have certain adverse health conditions are able to qualify for Final Expense Life Insurance coverage even if they are not able to qualify for other types of life insurance coverage. These policies will have a reduced death benefit in the first two years if a passing occurs as the result of internal causes. If death occurs as a result of an accident at any time- including the first two years- your beneficiaries will receive the full death benefit amount.

Even if you have had a major health issue in the past two years, you will still be eligible for full permanent life insurance through a Guaranteed Issue Whole life policy, which guarantees your acceptance without any health information disclosed. These policies will have a reduced death benefit in the first two years if a passing occurs as the result of internal causes. If death occurs as a result of an accident at any time- including the first two years- your beneficiaries will receive the full death benefit amount. With this type of the policy the insurance company offering the coverage does not ask you any health related questions at all, not even about tobacco use, or prior declines or rejections of coverage.

We work with virtually every top Final Expense Life Insurance company in the marketplace and although the underwriting guidelines do vary from company to company, generally they are:

o Any heart related issues (heart attack, congestive heart failure, bypass etc.)

o Internal cancer

o Major lung issues such as COPD, chronic lung disease, etc.

o Stroke, Parkinson's, any condition related to or affecting the brain

o Diabetes with Complications

o Immune System Disorders

It depends on whether or not health questions were answered by the applicant, and what the underwriting criteria is that the company uses. There are actually two different types of waiting periods – and it is important to understand which type of waiting period exists on the policy that is being applied for. These waiting periods include the following:

• Guaranteed Issued Life Insurance Policies – These types of life insurance policies, also often referred to as graded benefit life insurance policies, are typically provided to applicants who would not qualify for fully underwritten life insurance coverage. In nearly all cases for these plans, no benefits will be paid out if the insured passes away within the first two years of the coverage being issued. In this instance, however, the policy’s premiums will be repaid, oftentimes even with interest.
• Suicide and Contestability Waiting Period with Simplified Life Insurance Policies – Life insurance policies also have two year waiting periods whereby information that is on the application may be further investigated. In addition, during that two year time frame, the insurer may also investigate the cause of death of the insured if there is a claim that is filed by the beneficiary, and the claim may be contested by the insurance company during this two year time period. In addition, the life insurer also has the right to deny a death claim if the insured commits suicide during the first two years in which the life insurance policy is in force.

Ultimately, providing health information to the insurance company is what allows the premiums for life insurance to be more affordable and cost efficient for consumers to put in force. Unlike group or employer coverage, individual life insurance offers a lot of features and benefits that can only exist if everyone’s application is approved on a case by case basis, such as the ability to have your death benefit immediately in force, your ability to take the policy with you wherever you go, and the generation of your own cash value account inside the policy.

In order to join a Medicare Supplement plan you will need to have Original Medicare Part A and B as your primary coverage, which means you must cancel your Medicare Advantage plan. To do this, you must contact your current plan’s insurance company, or call 1-800-MEDICARE.

There are 2 specially designated periods each year. During these periods you are able to disenroll from your Medicare Advantage plan back into Original Medicare Parts A and B for your primary coverage, which allows you to then join a Medicare Supplement plan. The first designated period is from October 15–December 7 and the second designated period is from January 1–February 14.

In addition, under certain circumstances, you may be eligible for a Special Enrollment Period (SEP) to change your health and or drug plan outside of the usual enrollment or disenrollment periods. If you get an SEP, your new coverage will usually start the first of the month after you sign up for or disenroll from a Medicare Advantage plan. One example of when you qualify for an SEP: when your Medicare Advantage plan leaves your area or you move out of your plan’s service area, you can switch to another Advantage plan or to Original Medicare.

Yes. When you have a Medicare Supplement plan you can see any doctor, hospital, or provider that takes Medicare. There are no networks that you must stay and no referrals needed. In addition, there are no state boundaries with a Medicare Supplement plan. All Medicare Supplement plans will work and be taken the same way anywhere in the country. Even medically necessary emergency care outside the US is covered.

No. Your Medicare Supplement company pays your bills directly to your healthcare providers for their services, so you do not have to manage the claims and billing process yourself, creating a more convenient and clear experience.

Only when you are receiving services from that doctor or healthcare provider for the first time since you made the switch. You simply show them your Medicare red, white, and blue card and the card provided to you from your Medicare Supplement insurance company and that will take care of it. Medicare and the Medicare Supplement insurance company work together from there to take care of the rest.

No. You cannot have a Medicare Advantage plan and a Medicare Supplement plan at the same time. Medicare supplements are not intended to cover gaps in Medicare Advantage. Medicare Supplements are created only to work in with your primary coverage of Original Medicare Part A and B.

By law, Medicare supplement insurance plans no longer cover prescription drugs. Drug coverage is added through a Medicare Part D drug plan offered by private insurance carriers and which can be purchased directly from Medicare.gov. Your Part D prescription plan does not have to be with the same carrier you have your Medicare Supplement with. Optavise can help you with this process of identify and enrolling in the optimal Part D prescription plan for you based on your individual situation.

No. A Medicare Supplement policy is a private insurance policy that will work only when you have Original Medicare Part A and B and exists to help pay your share (coinsurance, copayments, or deductibles) of the out-of-pocket costs of Medicare-covered services. A Medicare Advantage plan is replacement coverage for Medicare Part A and Medicare Part B services but provided through a private insurance company under contract with the Medicare program. The Medicare Advantage plan, not Medicare, decides what you have to pay for copayments, coinsurance and deductibles. Medicare beneficiaries who join Medicare Advantage plans enroll based on 1 year contracts with the private insurance carriers and can only be joined and cancelled at certain times of the year, while a Medicare Supplement policy can be added or dropped at any time throughout the year without restriction.

In most cases, yes you do. However, there are a few situations that allow you to leave a Medicare Advantage plan and join a Medicare Supplement plan without being subject to medical underwriting.

• 1. If you joined a Medicare Advantage plan when you were first eligible for Medicare and you aren’t happy with the plan, you’ll have special rights to buy a Medigap policy if you return to Original Medicare within 12 months of joining.
• 2. If you are moving to a different state or part of the state and your Medicare Advantage plan does not serve that area, you also have special rights to return to Original Medicare and pick up a Medigap plan.

No. Your current Medicare Supplement plan continues if you do nothing.

Although there are 10 different Medicare Supplement Plans (letters A-N) that are available to consumers, the majority of seniors have either Plan F, Plan G, or Plan N due to their combination of cost efficiency and comprehensive and simple to understand benefits.

Plan F is the most popular plan, with about 50% of Medicare Supplement policy holders having this plan. Plan F is often referred to as the “Cadillac Plan” because it is the most comprehensive in terms of the benefits it offers, since it covers every deductible, copay, and coinsurance that Original Medicare leaves you with. This means you will have zero out-of-pocket liability for all of your benefits under Medicare Part A and Part B, which also gives it the most convenient and simplified experience since there will never be any out of pocket bills that will be sent to you.

Plan G is often considered the best value and most practical plan since it has all the same benefits as Plan F except that, in exchange for a lower premium, it does not cover one small deductible that Medicare leaves you with- your once-a-year Part B deductible of $147 a year. This means that, with Plan G, your first $147 of healthcare costs that fall under Medicare Part B will have to be paid out of pocket, since it will not be covered by Medicare or your Medicare Supplement plan. Once this deductible is met your Plan G will operate exactly like Plan F, with all other deductibles, copays, and coinsurance being covered by your Medicare Supplement plan. Because Plan G leaves the plan holder with this small piece of cost sharing of the once a year Part B Deductible, Plan G will have a lower monthly premium than Plan F, which usually saves more than enough to make up for the out of pocket cost.

For an even lower premium plan that still accomplishes the main features that Medicare Supplements are designed for – protection from high out of pocket costs and uncertainty, clear benefits and ability to budget, lack of confusion and inconvenience of handling complex bills, and access to your own choice of doctors, hospitals, and healthcare providers- Plan N has become an increasingly popular choice. Like Plan G, Plan N also leaves the plan holder with the once a year Part B deductible but also includes an additional $20 copay for doctors office visits, $50 copay for emergency room visits, and also does not cover what is known as Part B excess charges. Part B excess charges are if a doctor does not accept Medicare assignment, then they can charge an "excess" over and above what Medicare Part B pays, in the amount of up to 15%, depending on which state you are in. So, for example, if you have a certain medical test or procedure, and Medicare determines that the reasonable and approved fee is $500, a provider that does not accept Medicare assignment can charge up to 15% in excess, or an additional $75. If you have Plan N, which does not cover this potential excess charge, you would be responsible for that additional $75.

All supplement insurance companies pay claims the same way, and most pay them electronically so you do not have to file any claims yourself.

In General, the top three plans can be summed up as follows:

Option 1 - Medigap Plan F- Most Comprehensive and Convenient

• Most comprehensive coverage- 100% coverage of Medicare Part A and B out-of-pocket gaps
• Most Popular – Almost 50% of Medicare Supplement Policyholders have this plan
• Easiest to Understand
• No deductibles, co-pays, or coinsurance- so no out of pocket at all
• Choose any doctor or hospital that accepts Medicare
• Most Expensive but most predictable and convenient since there is zero out of pocket

Option 2 - Medigap Plan G - Best Value and Most Practical

• Same exact coverage as Plan F except for no coverage of annual Medicare Part B Deductible
• Plan member pays the once-a-year Medicare Part B Deductible ($147 in 2015) when services are received
• No other co-pays or coinsurance
• Choose any doctor or hospital that accepts Medicare
• Lower Monthly Price than Plan F and Lowest Annual Net Cost

Option 3 - Medigap Plan N - Lowest Price but More Cost Sharing

• All major gaps covered but 4 potential sources of out of pocket expenses
• Plan member pays the once-a-year Medicare Part B Deductible ($147 in 2015)
• Plan member pays $20 co-pay for doctor visits, and $50 co-pay for emergency visits
• Plan member is responsible for Part B excess charges (up to 15%) if doctor doesn’t take assignment
• Choose any doctor or hospital that accepts Medicare
• You take on more cost sharing through small copays and deductibles in return for lower premiums

Medicare is the federal health insurance program for:

• Most people age 65 and over
• People with amyotrophic lateral sclerosis (ALS) , also known as Lou Gehrig's disease
• People with end-stage renal disease (ESRD) , also known as permanent kidney failure

If I am eligible for Medicare, how do I enroll?

• If you have already started receiving Social Security or Railroad Retirement benefits, you will automatically be enrolled and will receive your Welcome paperwork and Red, White, and Blue Medicare card in the mail 3 months before your 65th birthday. Your Medicare coverage will start the first day of the month you turn 65 (if your birthday is on the first day of the month, your Medicare coverage will start the first day of the prior month).
• If you have not yet started receiving Social Security, you can apply online to enroll in Medicare Parts A & B at http://www.ssa.gov/medicareonly/ - you should do this approximately three months before age 65 or three months before you retire. You can also enroll over the phone by calling Social Security at 1-800-772-1213. If you worked for a railroad, call the RRB at 1-877-772-5772. Or, last but not least, you can schedule an appointment to enroll at a local Social Security office. (This also applies if you deferred Medicare Part B in the past due to employer coverage.)
• If you are under 65 and receiving Social Security benefits due to disability you will automatically be enrolled after receiving benefits for 24 months and your coverage will start effective on the first day of your 25th month. If you have ALS you automatically get Part A and Part B the month your disability benefits begin.

There are four different parts to Medicare: Part A- Hospital Insurance, Part B- Medical Insurance, Part C- Medicare Advantage, and Part D- Prescription Drug Coverage:

• Part A (Hospital Insurance) helps pay for inpatient hospital care, skilled nursing care, hospice care and home health care.
• Part B (Medical Insurance) helps pay for doctors’ fees, outpatient hospital visits, some preventive care and durable medical equipment.
• Part C (Medicare Advantage) is an alternative coverage option to Original Medicare that allows you to choose to receive all of your health care services and prescription drug coverage through one plan. Medicare Advantage plans include Part A and Part B covered services, and in some cases includes Prescription Drug Coverage (Part D).
• Part D is a Medicare established and subsidized marketplace of individual prescription drug coverage insurance plans that help cover the cost of outpatient prescription drugs.

In most cases, you will receive your Medicare card about 3 weeks after you apply. If you are already receiving Social Security benefits when you turn 65, your enrollment into Medicare is automatic. Your card will just show up in your mailbox about 2 months before you turn 65.

If you are newly eligible for Medicare, you can enroll three months prior to the month you become eligible and up to three months after the month you become eligible — a seven-month period. Your Part D coverage is eligible to start the first day of your Medicare Part A and B coverage.

As you are learning about your current Medicare coverage options, you will want to keep your current health coverage in mind. If you’ve retired already, this could be retiree health coverage from your former employer or your union, or if you’re still working this might be the health coverage from your current job. You should determine whether you can keep any coverage you currently have and what the overall costs would be. If it’s coverage from an employer or a union, a human resources manager or a benefits specialist should be able to help you. If you don’t have other coverage options and will be starting your Medicare benefits, or have chosen that Medicare benefits are more suitable even if you have other coverage options, then your previous coverage will no longer be in force.

If you or your spouse are still working and are covered by an employer plan or group health plan due to active employment, you may delay enrolling in Part B in order to keep your employer or group plan. You should contact your employer or union benefits administrator to find out how your insurance works with Medicare to determine if this is a more effective option.

If you have creditable prescription drug coverage (meaning it is as good as or better than the standard Medicare Part D drug benefit) through an employer, group, or union coverage, you may decide not to enroll in a Medicare Part D plan or to enroll later. For example, if you have the Veterans Affairs (VA) health care benefits or TRICARE for Life, you have creditable prescription drug coverage.

Medicare offers a range of benefits related to medical and prescription drug coverage although it can leave you exposed to potentially significant co-pays and coinsurance with no limits of financial exposure.

Medicare’s coverage is divided into four parts categorized by letters.

Medicare Part A is your hospital insurance and helps cover medical expenses while you are staying in a hospital setting. Your exposure with Medicare part A includes deductibles, coinsurance, and co-pay expenses that can become pretty significant if you do not have supplementary coverage to Medicare. You will automatically be entitled to, and enrolled in, part A at age 65 if you worked 40 quarters in the United States. You can also qualify for coverage through a spouse that worked 40 quarters.

Medicare Part B is coverage for outpatient medical services. You are exposed to a deductible, coinsurance, co-pays, and excess charges if you don’t have a supplement for Medicare. This coverage is elective but most Medicare recipients take it. You will pay a monthly premium for Medicare part B that will be based on your income level. If you make more per year you’ll pay more for part B. The current premium most beneficiaries pay is $104 a month.

Medicare Part C is a privatized plan that is also known as Medicare Advantage. You can choose to take this plan offered by private health insurers instead of regular Medicare. Although there are some benefits to this plan in that is required to cover you as good or better than Medicare, you will typically find that there are far fewer doctors and hospitals that accept this type of policy and that there isn’t a reliable way to supplement the financial exposures in this coverage. You will still have to make your Medicare part B premiums to own this type of policy and may pay anywhere from an additional $0 to over $150/month for this type of plan. If you have this type of plan you will not be able to buy a Medigap (Medicare Supplemental Insurance) plan as Medicare supplements are not intended to cover gaps in Medicare Advantage.

Medicare Part D is a marketplace of prescription drug coverage plans that are offered by private insurance companies, who contract with the federal government, to help cover your prescription drug costs only. This coverage is available as a stand-alone plan or as part of a Medicare Advantage plan (MA-PD).

Medigap (Medicare Supplement Plans) is supplemental coverage offered by private insurance companies like to cover the out of pocket liabilities not covered by Original Medicare (Parts A and B). Medicare Supplement do not cover prescription drugs and cannot be combined with a Medicare Advantage (Part C) plan. All Medicare Supplement plans are standardized by plan letter, so are easy to compare.

With a Medicare Advantage plan you are replacing your Medicare Part and Part B coverage with a private insurance plan that operates within a specific health care network of doctors, hospitals and providers. With a Medicare Supplement plan you keep your Original Medicare Part A and B and your supplement plan works alongside your primary coverage to fill in your out of pocket gaps and liabilities.

Medicare Supplement/Medigap policy is a private insurance policy that will work only with Original Medicare and will help pay your share (coinsurance, copayments, or deductibles) of the costs of Medicare-covered services. A Medicare Advantage plan is coverage for Medicare Part A and Medicare Part B services but provided through a private insurance company under contract with the Medicare program. The Medicare Advantage plan, not Medicare, decides what you have to pay for copayments, coinsurance and deductibles.

No. If you have a Medicare Advantage plan, you can’t buy a Medicare Supplement plan.

Yes. You will have to pay your monthly Medicare Part B premium to Medicare alongside the monthly premium you pay to your Medicare Advantage plan or Medigap plan.

Yes. You will have to pay your monthly Medicare Part B premium to Medicare alongside the monthly premium you pay to your Medicare Advantage plan or Medigap plan.

Once you are enrolled in Medicare Parts A and B, you can apply for a Medicare supplement insurance plan at any time. If you apply for a Medicare supplement plan within six months of your 65th birthday or Medicare Part B enrollment, you are considered to be in your Open Enrollment period and your acceptance into a Medicare supplement insurance plan will be guaranteed. This means all insurance companies that offer plans are required to approve you for coverage without asking any health questions. If you apply for a Medicare Supplement plan after your initial Open Enrollment period your approval is subject to a health underwriting process determined by the individual insurance companies offering the plans.

If you are new to Medicare, most counselors recommend applying for your Medicare Supplement policy approximately 2-3 months before your Medicare Part A and B effective date. This allows you to secure your coverage inside your Open Enrollment period which guarantees you will be accepted by any Medicare Supplement plan and insurance company regardless of your health.

Medicare supplement insurance plans are guaranteed for life, regardless of age or health, as long as your premium payments are up-to-date and you have made no material misrepresentation on your enrollment application.

No. With a Medicare supplement plan, you have the flexibility to choose any doctor, specialist, or hospital that accepts Medicare patients.

No. Instead, a Medicare supplement insurance plan works with Medicare Parts A and B to help cover some of the out-of-pocket health care costs. For instance, Medicare Part B generally covers 80 percent of expenses. The rest is up to you. Purchasing a Medicare supplement plan to go with your Medicare Parts A and B coverage may help with medical costs not paid by Medicare alone.

Your Part B premium amount will be deducted from your Social Security benefit check before it's mailed to you. If you have Part B but aren’t yet collecting Social Security, you’ll get a bill from Medicare.

Although there are 10 different Medicare Supplement Plans (letters A-N) that are available to consumers, the majority of seniors have either Plan F, Plan G, or Plan N due to their combination of cost efficiency and comprehensive and simple to understand benefits.

Plan F is the most popular plan, with about 50% of Medicare Supplement policy holders having this plan. Plan F is often referred to as the “Cadillac Plan” because it is the most comprehensive in terms of the benefits it offers, since it covers every deductible, copay, and coinsurance that Original Medicare leaves you with. This means you will have zero out-of-pocket liability for all of your benefits under Medicare Part A and Part B, which also gives it the most convenient and simplified experience since there will never be any out of pocket bills that will be sent to you.

Plan G is often considered the best value and most practical plan since it has all the same benefits as Plan F except that, in exchange for a lower premium, it does not cover one small deductible that Medicare leaves you with- your once-a-year Part B deductible of $147 a year. This means that, with Plan G, your first $147 of healthcare costs that fall under Medicare Part B will have to be paid out of pocket, since it will not be covered by Medicare or your Medicare Supplement plan. Once this deductible is met your Plan G will operate exactly like Plan F, with all other deductibles, copays, and coinsurance being covered by your Medicare Supplement plan. Because Plan G leaves the plan holder with this small piece of cost sharing of the once a year Part B Deductible, Plan G will have a lower monthly premium than Plan F, which usually saves more than enough to make up for the out of pocket cost.

For an even lower premium plan that still accomplishes the main features that Medicare Supplements are designed for – protection from high out of pocket costs and uncertainty, clear benefits and ability to budget, lack of confusion and inconvenience of handling complex bills, and access to your own choice of doctors, hospitals, and healthcare providers- Plan N has become an increasingly popular choice. Like Plan G, Plan N also leaves the plan holder with the once a year Part B deductible but also includes an additional $20 copay for doctors office visits, $50 copay for emergency room visits, and also does not cover what is known as Part B excess charges. Part B excess charges are if a doctor does not accept Medicare assignment, then they can charge an "excess" over and above what Medicare Part B pays, in the amount of up to 15%, depending on which state you are in. So, for example, if you have a certain medical test or procedure, and Medicare determines that the reasonable and approved fee is $500, a provider that does not accept Medicare assignment can charge up to 15% in excess, or an additional $75. If you have Plan N, which does not cover this potential excess charge, you would be responsible for that additional $75.

All supplement insurance companies pay claims the same way, and most pay them electronically so you do not have to file any claims yourself.

In General, the top three plans can be summed up as follows:

Option 1 - Medigap Plan F- Most Comprehensive and Convenient

• Most comprehensive coverage- 100% coverage of Medicare Part A and B out-of-pocket gaps
• Most Popular – Almost 50% of Medicare Supplement Policyholders have this plan
• Easiest to Understand
• No deductibles, co-pays, or coinsurance- so no out of pocket at all
• Choose any doctor or hospital that accepts Medicare
• Most Expensive but most predictable and convenient since there is zero out of pocket

Option 2 - Medigap Plan G - Best Value and Most Practical

• Same exact coverage as Plan F except for no coverage of annual Medicare Part B Deductible
• Plan member pays the once-a-year Medicare Part B Deductible ($147 in 2015) when services are received
• No other co-pays or coinsurance
• Choose any doctor or hospital that accepts Medicare
• Lower Monthly Price than Plan F and Lowest Annual Net Cost

Option 3 - Medigap Plan N - Lowest Price but More Cost Sharing

• All major gaps covered but 4 potential sources of out of pocket expenses
• Plan member pays the once-a-year Medicare Part B Deductible ($147 in 2015)
• Plan member pays $20 co-pay for doctor visits, and $50 co-pay for emergency visits
• Plan member is responsible for Part B excess charges (up to 15%) if doctor doesn’t take assignment
• Choose any doctor or hospital that accepts Medicare
• You take on more cost sharing through small copays and deductibles in return for lower premiums

No problem! Optavise is built for your convenience and to be used in whatever way is most valuable to you. We understand the process of searching for, understanding, and deciding on a policy may take time, and we want that process to be as comfortable and pressure-free for you as possible. Feel free to use any of the services on Optavise site as well as call in to speak with a counselor directly to answer and particular questions.

Yes, fortunately you have found the right place! Optavise was actually founded on and specializes in this particular need- a clear, convenient, and private process for those with current health concerns, or who have been denied in the past, to easily understand the options available to them based on their health or recent history and navigate through the entire marketplace to determine the best prices for those options.

You only give the information that you are comfortable with. The amount and type of information that is requested is dependent on what type of policy and which companies you would like to be approved with. For Medicare Supplement insurance, unless you are in an Open Enrollment or Guaranteed Issue period, this usually includes general health history questions as well as a brief phone interview, and sometimes your current prescriptions. When applying for final expense life insurance, this will usually just entail a series of general health history questions, and only rarely a brief phone interview.

To officially apply and submit your application to the carrier of your choice, the required forms include your full legal name, date of birth, address, citizenship and social security number.

Every policy facilitated by Optavise Services carries with it the ability to completely refund the policy within 30 days of its issuance without any penalty or fee whatsoever. The 30 days starts at the time the coverage goes into effect and allows the Policy Owner to continue to review the policy and ask the insurer or Optavise Services any additional questions. If you are not 100% satisfied we will facilitate your return of the policy and refund of any paid premiums with the same service as all of our valued clients.

• Go to www.AMBest.com

• Click on the blue rectangular box on the right side of the home page that says “consumer”

• On the next screen, in the top, middle blank, type in the name of the company you want to look up

• Click the green “find” button

• Then you will see the company name

• Click on the company name and it will give you their financial grade, financial outlook and the states they do business in

We’ve managed to make it quite simple! If you’d like to go through our self-directed online program, just ‘Start Now’, on our homepage or you can simply call (215) 454- 6154 and one our registered counselors will walk you through the easy process over the phone.

Optavise has managed to make the whole process streamlined! Your best priced and most suitable policy can be identified and applied for within 10 minutes! Depending on the amount of education you would like to engage in during your consultation, the entire process can be anywhere from 6 minutes to about 25 minutes. And remember, you are always able to easily save your progress within your consultation and come back to that same point whenever you like! Once a policy has been applied for, you will receive confirmation of the approval of that policy within 7 days, although you are always able to set a date in the future that you would like to start your policy.

No you do not. Neither Final Expense life insurance nor Medicare Supplement policies require a medical exam for approval. You do not even have to answer a single health question if you don’t want to, although in certain circumstances it may help you to receive a better rate. Our counselors will be able to help you fully understand all of these options.

If you would like, yes, there is an option for you to have what is known as a ‘Temporary Insurance Agreement’. This provides temporary coverage during this evaluation period. A TIA typically includes certain conditions. For instance, if the applicant for a life policy dies during the application process, the company may provide coverage only if the underwriting process eventually determines that he would have been eligible for permanent coverage had he lived. If the applicant was struck and killed by a car due to no fault of his own, for example, the company would honor the agreement.

Yes, of course. That is what our non-commissioned counselors are for! We would be happy to take a look at any other coverage you have in place, see if it still fits your needs, and compare it to what else is available in the marketplace.

Great Question. First step is to not cancel your current coverage until you have received official declaration from your Optavise counselor that your newly applied for policy has been approved. Once your new policy is 100% in force, your personal Optavise Counselor will guide you through the process of cancelling your old policy and redeeming any refunds or cash value that is owed you in the most beneficial way.

1. Go to www.NAIC.org

2. Click on the consumer resource section

3. Type in the name of the company

4. Select “closed complaint”

5. Look at the “closed complaint ratios”

*A company ratio of less than 1 means they have less than the average number of complaints. Greater than 1 means more than the average number of complaints.

Yes, but you may be subject to additional underwriting.

Just call us, or your insurance carrier, and we will get it updated for you immediately!

Just call us, or your insurance carrier, and you will be able to have a new one sent to you.

Most carriers have the same rules in regard to the payment of premiums on insurance policies. The only way to make monthly payments these days is to authorize a monthly automatic draft from one’s checking or savings account. For those that do not like automatic payments, there are some other options. One can receive a bill by mail if they elect to pay either quarterly, semi-annually, or annually. The main reason applicants choose the automatic bank payment option is that they don’t want their policy to cancel for non-payment.

You do not have to send a payment with your application, unless you want to be covered during the underwriting process (under a Temporary Insurance Agreement). The majority of applicants choose to wait until their application has been approved to make a payment and begin coverage. For those that want to secure temporary insurance and be covered during the underwriting period, simply include a payment for two months premium. This premium is refundable if one decides against taking out a policy based on the final approved rate.

All Policies provide a 31 day grace period in which a scheduled payment can be delayed without any loss of coverage. Grace period starts on the due date of premium.

There are over 1,000 life insurance carriers and over 250 Medicare Supplement carriers in the country, so which one do you chose? Insurance carriers all have different strengths and weakness, including underwriting requirement, price competitiveness and customer service. Using the carrier comparison tools referenced in the answers above, or speaking with a Optavise Counselor directly, will help you find the carrier that is best for you.

That is a great position to be in. Now, the goal is to determine if you have the right type of plan, the right amount of coverage, and the best price the marketplace can offer for that coverage.

When applying for a Medicare Supplement or final expense insurance, a medical exam is not typically required. This means that the applicant will not need to submit a blood and urine sample.

Applicants will, however, be asked certain questions on the application. For example, the insurance company will want to know information regarding:

• Age

• Gender

• Height

• Weight

• Smoking habits / tobacco usage

• Alcohol usage

• Occupation and income

• Health history

• Lifestyle / dangerous hobbies

Because there is no medical exam requirement, applicants can usually be approved quite quickly. Insureds will also usually have a choice in how they make their premium payment on these insurance policies.

Optavise was built on a grand goal of bringing convenience, transparency, and price efficiency to the insurance consumers who deserve it most. Optavise has engineered a process that delivers a new way of searching for, learning about, comparing, and applying for your insurance coverage. The entire process has been intentionally engineered to eliminate the conflicts of interest that still riddles and pollutes the traditional insurance model that incentivizes commissioned salesman fighting to sell you the policy that is in their best interest, not yours.

Optavise works with just about every highly rated life insurance company in the marketplace. Our organization serves as a licensed broker to be able to connect you to the best priced and most appropriate policy in the marketplace, no matter what your situation. Is there a company you know of that you haven’t seen on our service? Let us know and we will do our very best to connect with them and put them on our platform.

All of the services that Optavise has engineered and designed for you are offered completely free of any fees or costs to you- no matter what your situation is, Optavise will never take additional costs from you. This is because Optavise has innovated on the traditional insurance brokerage model to provide these services. When you apply, are approved and secure an insurance policy through Optavise Client Services, we are paid the standard fees directly from the insurance company for our services as any other insurance brokerage.

Superior results for your family, and savings back in your pocket. Independence and technological efficiency to find you the optimal price in the marketplace allows Optavise to deliver you superior results. Best Price, Access to All of the Highest Rated Insurance Providers, and Unprecedented Ease of Use and Convenience from Start to Finish. Independence. Efficiency, and Optavise. These are what Optavise Services was built on, which allows us to systematically deliver the three most crucial aspects of the proper life insurance experience: Price. Suitability. Convenience.

Optavise Services is currently licensed in Pennsylvania, New Jersey, and Delaware, but is currently in the process of obtaining license in every state.

Fortunately, no. The way Optavise was built was specifically to engineer a solution that would eliminate this problem for consumers. Since we are an independent broker, that means we work on your behalf, not the insurance companies. We represent virtually all of the highest rated Medicare Supplement and Final Expense life insurance carriers in the marketplace and are not biased toward any specific one. Our systematic approach is to search through all your options in the marketplace from all of the carriers in order to find you the highest rated, most suitable and best priced insurance options available.

We do much more than that! We do of course provide you with the best and most clearly formatted quotes in the marketplace, but we also do everything else that you would want from your insurance agency! We organize, clarify, and facilitate every step of the insurance buying process for you so you never have to worry that you are missing out on options or ways to understand those options! Amazing convenience is what we were intentionally designed for.

No. Medicare Supplement prices are fixed by law. The insurance company charges the exact same price, regardless of how you purchase or sign up for a policy. So you are only benefited by applying for your policy through an organization like Optavise which not only delivers you the best prices, but is also able to provide superior organizational features for you to manage and understand your entire process.

When you sign up for your insurance coverage through an independent agency organization like Optavise, you will not only receive more independent and transparent education and policy pricing, but also will receive far higher level of customer service and policy management than you will receive anywhere else. Additionally, Optavise specializes in senior insurance coverage and education. We systematically strive to know all of the latest changes and updates that our clients should be aware of, and provide those updates to you on a consistent basis. We are also always available for immediate customer support should you ever experience any problems or have any questions regarding your policy.

Optavise has built a relentless approach to bringing insurance education and financial decision making to a point where anyone can clearly and conveniently secure the optimal insurance coverage and carrier for them and their families.

Fully. Optavise does not share your personal information with any other organization and uses the most advanced encryption and security software and processes to make sure your utilization of our program, and all of your information, is kept completely confidential.

The oldest and worst problem in the insurance industry has been fixed! Our innovative organizational structure re-engineers insurance compensation in a way that systematically ensures complete independence and objectiveness in your consultation and recommendation. While the organization as a whole will be paid a commission if one of our clients gets approved and keeps a policy, our registered counselors and product consultants are salaried and never paid any commission based on the type or amount of policy they help you with! We use a much better aligned system that is based on your personal rating of the counselor’s service and value that has been delivered to you- which includes any personal referrals from you that we are able to connect with and help. The only mechanism for our counselors and consultants to earn more is by providing the absolute highest quality service and earning your endorsement.

We know you like to save money. We know we do, and most likely your friends and family do too! This is why we have designed and engineered the industry’s most easy-to-use and effective referral system that not only makes it ultra-convenient to share this incredible resource that Optavise has built, but also to be rewarded handsomely for it every time your connection leads to us helping another person with their policy. You will be issued a unique personalized link that you can send to any of your friends and family in any way that’s convenient for you, and if that leads to them receiving a consultation from Optavise then you will receive a $25 gift card for each person.

The answer depends on your individual needs and circumstances. Buying LTC insurance is part of a planning process for life and retirement. You need enough income to pay the premiums for the rest of your life regardless of premium increases or life changes, such as the death of your spouse. You need to consider how long the benefits should last in relation to the premium you will pay. Most people with modest resources may be better able to pay for a policy with 1, 2 or 4 years of coverage rather than one with benefits that last as long as they need care. Also, if you have few assets, it may not make sense for you to buy LTC insurance. Other options for paying for LTC include investments, savings, home equity credit and reverse mortgages.

What is best for one person may not be good for another. The benefits and amount of coverage an individual or couple needs depends on their unique circumstances. A single or widowed woman may need very different benefits than a married man, particularly if their economic circumstances are different. Women are more likely to live longer than men and more likely to live alone at the end of their lives. Without family members willing to provide some home care and support services, women are more likely to receive LTC in a nursing home or assisted living facility.

Companies that sell LTC insurance in California vary widely. Some have decades of experience, while others are relatively new to the market. Some are large companies with many other products and subsidiaries; others are smaller and specialize in LTC insurance. Some that have sold LTC insurance in the past have recently stopped selling these policies, leaving fewer companies from which to choose.

Rating services such as AM Best and Standard and Poor provide information to help you evaluate the financial strength of companies that sell LTC insurance. The State Insurance Commissioners for each state usually publishes data showing which companies have raised their LTC insurance premiums during the last 10 years, the amount of the increase and which states were affected.

Yes, however, your policy's definitions of the places and people that provide LTC services may differ between states. For example, the assisted living facility definition in your policy may be unique to your current stat, and may not accurately describe assisted living facilities in other states. If you move, you should contact the company that issued your policy to understand what services and facilities will be covered in your new home state.

Not necessarily. Although companies base their premiums on age (the older you are, the more you will pay), the difference in premium from one year to the next may not be significant. If the only reason you are buying a particular policy is to lock in a lower premium, you may not know enough about the policy. If you are feeling pressure from an agent to make a decision before you fully understand the product just to save a few dollars, you should find another agent. Professional LTC insurance agents understand that this type of policy is one you will have for the rest of your life, and it's important that you understand how it works and be comfortable with the decision you make. It's always a good idea to bring along a friend, relative or other advisor when you meet with an insurance agent to discuss buying an LTC policy.

Fortunately, no. The way Optavise was built was specifically to engineer a solution that would eliminate this problem for consumers. Since we are an independent broker, that means we work on your behalf, not the insurance companies. We represent virtually all of the highest rated Medicare Supplement and Final Expense life insurance carriers in the marketplace and are not biased toward any specific one. Our systematic approach is to search through all your options in the marketplace from all of the carriers in order to find you the highest rated, most suitable and best priced insurance options available.

This is an individual decision, based on many factors. Most people think about LTC insurance when they are close to retiring. Others buy it through an employer much earlier. Premiums are much lower for people in their 40s and 50s than for those over age 65. In addition, as people age, they are more likely to develop health conditions that may make them uninsurable. After age 60, premiums for LTC insurance begin to rise steeply. On the other hand, LTC services and places where people receive care are changing, and may not be the same services or places described in an LTC policy purchased 40 years earlier.

In general, yes. Inflation protection should be included in every LTC insurance policy because these policies pay a fixed dollar amount for each day of care. Most people are buying these policies decades before they will need care. A fixed daily benefit loses buying power each year. In 14 years, it will only pay for half the care it pays for today, while the cost of care continues to inflate each year. The difference between the LTC insurance benefit and the cost of care will come out of your own pocket. Inflation protection will help your benefits keep up with inflation. As the number of people needing care grows, the competition for caregivers and care facilities will fuel cost increases.

Not necessarily. Having an LTC insurance policy may not keep you out of a nursing home if that is the only place that can provide the appropriate care. Around-the-clock care at home is generally more expensive than nursing home care and may require more than one caregiver. If you have a comprehensive LTC insurance policy, it should provide you with protection in any setting, including care at home, in assisted living facilities and in nursing homes. While most people prefer to receive care at home, they may have no choice if their condition requires care in a facility.

How Are Benefits Paid?

Either by each expense or by a set dollar amount.

What Services Are Covered?

Policies vary and may cover nursing home care, home health care, personal care in your home, services in assisted-living facilities, services in adult day care centers and/or services in other community facilities.

Where Are Services Covered?

Insurance policies cover different types of facilities. If your facility is not covered, the insurance company can refuse to pay for eligible services.

What Is Not Covered (exclusions and limitations)?

Most policies usually do not pay benefits for a mental or nervous disorder or disease, other than Alzheimer's or other dementia; alcohol or drug addiction; illness or injury caused by an act of war; treatment the government has provided in a government facility or already paid for; or attempted suicide or intentionally self-inflicted injuries.

How Much Coverage You Will Have?

A policy may have a maximum benefit limit or a daily/monthly benefit limit.

When Are You Eligible for Benefits (benefit triggers)?

Some policies use more than one way to decide when to pay benefits, while some states require certain benefit triggers. Benefit triggers may include:

The inability to do activities of daily living such as bathing, continence, dressing, eating, toileting and transferring (most common benefit trigger).

Cognitive impairment/mental incapacity

Doctor certification of medical necessity

Prior hospitalization. Most companies no longer sell policies that require a hospital stay, although Medicare requires a three-day hospital stay to be eligible for Medicare payment of skilled nursing facility benefits.

When Do Benefits Start?

Most policies have a waiting period, or elimination period, of 0, 20, 30, 60, 90 or 100 days before benefits start.

There are several ways to pay for long-term care. These include:

• Medicaid,

• Medicare,

• long-term care insurance,

• long-term care riders attached to a life insurance policy or annuity,

• accelerated death benefits from life insurance, and

• personal cash, savings, or other liquid assets.

Medicaid is a state and federal assistance program that pays health care and long-term care expenses for eligible people with low incomes.

To qualify for Medicaid, you must meet income and asset guidelines. Assets are cash and the things you own -- such as cars and stocks -- that you could convert into cash. Many people pay for long-term care with their own money until they become eligible for Medicaid. To learn more about Medicaid eligibility, call your local Area Agency on Aging.

Medicare may pay some long-term care costs. Medicare is a federal program that pays for health care for people over age 65 and for people under age 65 with disabilities. If you meet all the necessary requirements for Medicare, it will cover up to 100 days of skilled care in a nursing home, per benefit period. Medicare pays the full cost for the first 20 days and then requires you to pay a copayment for days 21 to 100.

Life insurance or annuities can provide for long-term care services in two ways:

• An accelerated death benefit provision in your life insurance policy that may allow you to receive part of your stated death benefit to use as you choose, including long-term care.

• A rider that you buy to add on to your life insurance policy or annuity that provides coverage for long-term care.

Long-term care insurance helps provide skilled care or personal care and may help you to preserve your assets against the high cost of an extended long-term care need. Long-term care insurance usually makes sense if you have more assets than a house, car, or a small amount of cash that you want to save

It might be difficult for you to buy a long-term care if you use most of your to pay for utilities, food, or medicine.

To qualify for Medicaid, you might have to pay for your care out of pocket until you spend down your assets to meet the eligibility requirements.

To decide whether long-term care insurance is right for you, consider your personal risk factors, assets, income, and available alternatives.

Consider the following factors before buying long-term care insurance:

• Life expectancy. The longer you live, the more likely you will need long-term care. Consider whether your family has a tendency for long life expectancy.

• Gender. Women might need long-term care insurance more than men because they usually live longer.

• Your family situation. If you have a spouse, adult children, or other family members who can care for you at home, you might not need a policy that pays for home health services. Instead, you might want to consider a policy that pays only for nursing home care.

• Family health history. You may have a greater need for long-term care if chronic or debilitating health conditions run in your family.

Long-term care insurance is typically less expensive if you buy it when you're younger. Consider talking to a trusted financial adviser for help deciding whether long-term care insurance meets your needs. Ask yourself the following questions about your finances:

• What are my assets (not including my home, car, and $2,000 cash)? Will they change over the next 10 to 20 years? Are my assets large enough to justify the expense of a long-term care policy?

• What is my current annual income? Will it change over the next 10 to 20 years? Will I be able to afford the policy if my income decreases or if the policy premiums go up significantly?

• If I retire, how will retirement affect my ability to pay premiums?

• How much does the policy cost? Will I pay the premiums from my income, savings, or investments? Will my family help with the cost?

• How much will the policy premium increase if I wait until I'm older to buy a policy?

If you are a retired senior or planning retirement, you should evaluate your home mortgage and any other debt you have. You may find that refinancing a home mortgage better fits your current and future retirement financial planning needs.

If you refinance home mortgage loans you can:

Lower payments: Refinancing can lower your monthly payments. This can result from choosing a lower interest rate or changing the length of your home mortgage loan term – or a combination of both.

Save money over time: If you lower your home mortgage interest rate, you can lower your interest payments and save money over time.

Generate cash: Cash out some of your home equity to generate upfront cash to pay off other higher interest debt or for other purposes.

Home mortgage refinancing can enable a variety of retirement financial planning goals. You can refinance home mortgage loans to:

Reduce Monthly Expenses: Reduce your monthly payments by taking advantage of lower interest rates on a new home mortgage or extending the repayment period of your mortgage.

Reduce Risk Exposure: Reduce your interest rate exposure to avoid the risk of higher interest payments in the future. You could switch from an adjustable-rate mortgage to a fixed-rate home mortgage loan or from a balloon home mortgage to a fixed-rate mortgage.

Adjustable-rate mortgages and balloon home mortgages could lead to dramatically high monthly payments if long-term interest rates rise.

Reduce Long-term Expenditures: Reduce your interest cost over the life of your mortgage by taking advantage of lower rates or shortening the term of your loan. Total interest payments over the life of a home mortgage are the largest single cost of a mortgage.

Increase Total Assets: Increase your total assets available for retirement planning by paying off your home mortgage faster (accelerating the build-up of home equity). This is accomplished by shortening the term of your loan. Free up cash for major expenses such as long term care or remodeling your home.

Pay-off High Interest Debt: Reduce expenses with debt consolidation loans. Often called a debt consolidation refi – typically the purpose is to pay off high interest, high cost credit card debt with the cash from a home mortgage refinance.

Lower Taxes: Lower your taxes by exchanging non-tax deductible credit card or car loan debt for tax-deductible home equity debt. The cash generated in a mortgage refinance can be used to pay off the non tax-deductible debt.

Points are an upfront cash payment required by the lender as part of the charge for the loan. Points are expressed as a percentage of the loan amount. For example, "three points" means a charge equal to 3 percent of the loan balance.

Generally, when you pay points, you are paying some money upfront in exchange for lower monthly payments and/or a lower interest rate.

Most loan companies will offer a range of point and interest rate combinations. For example, if you are only paying one point, then you are likely getting a higher interest rate than if you were paying three points.

In most cases, it is a good idea to pay points if you plan to be in your home for a very long time. If you are only going to be in the home for a short period, then you should not put money toward points. Conversely, if you believe that you will remain in your house for a long time, then it may be worthwhile to pay additional points to obtain a lower interest rate. Point can be paid using cash generated from the mortgage refinance.

In some situations, the loan company will finance the points for you – offering you a negative point loan. Positive and negative points are sometimes termed "discounts" and "premiums", respectively.

The decision to pay points is unique to each consumer, and involves the tradeoff of upfront cost verses lower monthly payments.

NOTE: If your objective is to raise cash or increase your income and you have significant home equity built up, you may want to evaluate using a Reverse Mortgage instead of refinancing your home.

Home mortgage refinancing is not without risk. Be careful of the following scenarios:

Increasing your loan amount when refinancing a home: If you increase the amount of your home mortgage by cashing out home equity, you increase your financial risk due to the larger debt amount and, possibly, the longer term on your loan.

Mortgage refinancing closing costs could outweigh savings: Because there are transaction costs to refinancing a home, there is a risk that if your gains from mortgage refinancing are small, these will not outweigh the closing costs on taking the new home loan.

Choosing riskier loan terms: There are innumerable ways to structure a loan and some of these strategies can leave you open to a lot of risk. For example, if you use an Adjustable Rate Mortgage or a Home Equity Line of Credit that has a variable interest rate, then your monthly payments will rise if interest rates go up.

In general, the loan process will take you through the following steps:

Step 1: Understand your needs and goals – consider both financial and quality of life issues. How long would you like to stay in your house? Will the house work for you in case of a disability? Do you want to cut your monthly expenses or generate cash?

Step 2: Gather all the information you will need, such as home value, current mortgage information, income, credit history, etc.

Step 3: Research the different loan types available in the market, and have an idea of which ones you might want.

Step 4: Speak with at least three different lenders to get advice on loan structure and competitive rate and terms quotes. Decide on which lender, structure, and terms works best for you.

Step 5: Complete paperwork. Once you've been approved, you and your mortgage lender will:

Have your home appraised.

Set a closing date and location.

Review the Good Faith Estimate and other closing documentation prepared by your mortgage lender. This helps you anticipate costs that might be due at closing.

Arrive at the closing, where you will need to provide any outstanding information and sign your loan papers. At that point, you may also need to bring a certified or cashier's check for any closing costs that are your responsibility. This meeting generally takes less than one hour. Often, when you refinance, your closing costs are included in the total loan amount so you won't be expected to pay these fees out of pocket.

Once the loan papers have been signed, the "period of rescission" begins. You have three business days to decide whether to proceed with the loan. After that, the funds are released by the mortgage lender and your loan is complete. If you're receiving cash at closing, this is when your check will also be released.

It just seems logical that it would be easier and less expensive for your existing lender to refinance your home. After all, the lender knows both your payment history and the property.

The lender may not need a new property appraisal, a title search or other items that would normally be required on a new loan. The lender should also be willing to offer a better price because it's easier to keep a good customer than it is to find a new one.

The holy grail of refinancing is when the lender just reduces your interest rate and doesn't require you to close on a new loan. This can only happen if you are just rolling your existing balance and aren't looking for a cash-out refinancing.

So, why doesn't it happen more often? The problem is that the mortgage market is divided into three lines of business: mortgage origination, mortgage servicing and mortgage lending.

If the firm that originated your existing mortgage didn't retain the servicing, you aren't a current customer. If the firm servicing the mortgage doesn't do originations in your market, then they may not be interested in your business.

Finally, mortgage investors are looking for packaged or securitized mortgages that are part of a pool of mortgages, so they aren't interested in your stand-alone business.

Ask your current servicing provider what cost savings they offer to current customers who refinance with them. You also need to find out what terms competing lenders offer.

Saving a few hundred dollars in closing costs doesn't mean much if you can get a lower interest rate from another lender. Shop rates on optavise.net before talking to your current servicing provider, so you will be able to recognize a good deal and use Optavise refinancing calculator to determine your refinancing savings.

If you are going to apply at several lenders, you should do it within a 30-day period. Your credit score won't be hurt by comparison shopping for a mortgage if you concentrate your applications within this time frame.

That's because Fair Isaac Corp. (the company that works with the credit reporting agencies to provide your credit score to lenders) considers these multiple mortgage inquiries as one inquiry when calculating your credit score.

The annual percentage rate adjusts the mortgage interest rate to reflect estimated closing costs, including points paid at closing and mortgage insurance.

The Truth in Lending Act requires lenders to provide the APR when advertising a mortgage loan and provide prospective borrowers with the loan's APR upon request. APRs aren't perfect, since closing costs are estimated and the lender can round off by up to a quarter-percent.

In general, neither the lender nor anyone else may charge you a fee until you have received this information. The Federal Trade Commission has a mortgage shopping work sheet that can help you lay out the costs associated with several loans and identify the loan that is best for you.

Optavise also provides you with an estimate of a loan's APR when you search for mortgage loan rates.

With so much refinancing taking place, you need to have confidence that your lender will be able to complete your loan origination in a timely and efficient manner. Ask the lender

Restructuring your debt load to pay off your car loan with mortgage debt can make sense if: (1) you can use the mortgage interest deduction on your taxes; (2) the after-tax rate on the mortgage loan is less than the interest rate on the car loan; (3) there isn't a prepayment penalty on the car loan; and (4) you have sufficient equity in your home that borrowing the additional $27,000 won't cause you to pay private mortgage insurance on the mortgage debt.

There are some drawbacks. Paying off your car over 15 to 30 years will negate any savings from a lower interest rate, not to mention the debt hangover you'll have when you go to buy your next car and you're still paying off the old one.

Both auto loans and car loans are secured loans. If you don't make your car payment, the lender can have your car repossessed, but if you don't make your mortgage payments the lender can foreclose on your home.

When deliberating about whether to take this step, look at the refinancing as a stand-alone decision. Does it make sense to refinance to capture an interest rate 1.25 percent lower than your current mortgage? It may not if you only plan on being in the house for a few years and closing costs are expensive.

Optavise refinancing calculator will help you determine how long it will take you to recoup your closing costs from the lower monthly mortgage payment.

A reverse mortgage lets you use the value of your home to provide a source of income while allowing you to stay in the home. It may be an effective way to benefit from the money you’ve invested in your home over the years.

Yes/Sorta. There are 3 types of reverse mortgage, however, the vast majority of reverse mortgages today are part of the government-sponsored Home Equity Conversion Mortgage (HECM) program and are insured by the Federal Housing Administration (FHA). If you apply for a HECM loan, you can choose from the following options:

1. Payment of loan proceeds. You can receive loan money as a line of credit, monthly installment, a combination of these, or a lump sum.

2. Interest rate. You can choose between a fixed interest rate and an adjustable interest rate. Fixed interest rates are only available with the lump-sum payment option.

*Currently, HECMs make up most reverse mortgages offered in America. HECMs come with rules and regulations that include a requirement that the borrower receive third-party counseling.

Non-HECM Reverse Mortgages

Single-purpose reverse mortgages are also offered by some state and local governments and non-profit organizations. These are used only for the purpose specified by the lender (for example home repairs or property taxes). They may only be available in some areas for homeowners with low to moderate income. These non-HECM reverse mortgages are not federally insured.

Proprietary Reverse Mortgages

Some lenders also offer proprietary reverse mortgages, which are not federally insured. These are typically designed for borrowers with higher home values. Proprietary reverse mortgages are privately insured by the mortgage companies that offer them. They are not subject to all the same regulations as HECMs, but as a standard best practice, most companies that offer proprietary reverse mortgages emulate the same consumer protections that are found in the HECM program, including mandatory counseling.

To be eligible for the FHA HECM, your home must be a single family home or a 2-4 unit home with one unit occupied by the borrower. HUD-approved condominiums and manufactured homes that meet FHA requirements are also eligible. The borrower must also have the financial resources to pay ongoing property charges including taxes and insurance. You are also required to receive consumer information free or at very low cost from a HECM counselor prior to obtaining the loan.

With a second mortgage, or a home equity line of credit, borrowers must make monthly payments on the principal and interest. A reverse mortgage is different, because it pays you – there are no monthly principal and interest payments. With a reverse mortgage, you are required to pay real estate taxes, utilities, and hazard and flood insurance premiums.

The amount varies by borrower and depends on:

• Age of the youngest borrower or eligible non-borrowing spouse

• Current interest rate; and

• Lesser of appraised value or the HECM FHA mortgage limit of $625,500 or the sales price

If there is more than one borrower and no eligible non-borrowing spouse, the age of the youngest borrower is used to determine the amount you can borrow.

For adjustable interest rate mortgages, you can select one of the following payment plans:

• Tenure- equal monthly payments as long as at least one borrower lives and continues to occupy the property as a principal residence.

• Term- equal monthly payments for a fixed period of months selected.

• Line of Credit- unscheduled payments or in installments, at times and in an amount of your choosing until the line of credit is exhausted.

• Modified Tenure- combination of line of credit and scheduled monthly payments for as long as you remain in the home.

• Modified Term- combination of line of credit plus monthly payments for a fixed period of months selected by the borrower.

For fixed interest rate mortgages, you will receive the Single Disbursement Lump Sum payment plan.

• Single Disbursement Lump Sum - a single lump sum disbursement at mortgage closing.

Having a reverse mortgage, you are required to:

• Pay your property-related expenses on time. Property-related expenses include: real estate (property) taxes; utilities; homeowner’s (sometimes referred to as “HOA” fees) and/or condo association dues; homeowner’s insurance (also referred to as “hazard” insurance); and flood insurance premiums (if applicable).

• Maintain the property’s condition. You must maintain the condition of your home at the same quality as it was kept at the time you took out the reverse mortgage loan.

• Live in the property as your primary residence. You are required to certify this on an annual basis.

You may qualify for a reverse mortgage even if you still owe money on an existing mortgage. However, the reverse mortgage must be in a first lien position, so any existing indebtedness must be paid off. You can pay off the existing mortgage with a reverse mortgage, money from your savings, or assistance from a family member or friend.

For example, let's say you owe $100,000 on an existing mortgage. Based on your age, home value, and interest rates, you qualify for $125,000 under the reverse mortgage program. Under this scenario, you will be able to pay off ALL the existing mortgage and still have $25,000 left over to use as you wish.

No. The funds can be used without restriction. However, there is one exception. The borrower may be required to set aside additional funds from the loan proceeds to pay for taxes and insurance.

No, banks and other lenders are interested in originating loans and earning interest. Rather than owning the home, the bank or lender adds a lien in the form of a reverse mortgage loan onto the title so they can eventually collect the amount loaned plus interest.

The estate does inherit the home, but there will be a lien on the title. If your heirs wish to retain the property, then the full amount of the loan must be paid regardless of property value. The amount due at loan maturity is the principal borrowed plus any accrued interest and mortgage insurance premium.

For example, if someone with a $250,000 home passes away and leaves a reverse mortgage loan balance of $80,000, then the estate would sell the home for $250,000, repay $80,000 to the bank, and keep the $170,000 difference.

As a non-recourse loan, lenders can only look to the value of the home for repayment; no other assets may be attached if the loan balance grows beyond the mortgaged home value. You or your heirs will not be required to pay more than the value of your home at the time the loan is repaid; even if your loan balance exceeds the value of your home provided you or your heirs decide to sell the home.

The FHA reverse mortgage loan exists to help the homeowner to stay in their home. The loan typically does not become due, as long as the borrower meets the loan obligations. For example, the homeowner must reside in the home as their primary residence, pay their property and homeowners insurance and maintain the home according to FHA guidelines. In the event the borrower does not adhere to these responsibilities, HUD guidelines may require the servicer to initiate foreclosure proceedings.

Entitlement programs like Social Security and Medicare typically are not affected. However, need-based programs like Medicaid can be affected. You should consult your financial advisor and appropriate government agencies for any effect on taxes or government benefits.

Loan proceeds are not considered income and are not taxable. Consult a tax advisor for more information.

As long as the property is sold for at least the lesser of the mortgage balance or 95% of the current appraised value, in most cases the Federal Housing Administration (FHA), which insures most reverse mortgages, will cover amounts owed that are not fully paid off by the sale proceeds. No debt is passed along to the estate or your heirs.