You’ve probably seen the news over the past few weeks about the flooding along the Mississippi River.  First upriver, now in Memphis, and then in Mississippi and Louisiana. Now we're seeing flash flooding in parts of the midwest. 

Well, you should know that flooding is not only an issue for those living near the water, but a common loss for many areas of the country.  Here are a few facts from the National Flood Insurance Program (NFIP) regarding flooding:

• It’s the most common and costly natural disaster in the United States.
• Flash floods, inland flooding and seasonal storms can bring flooding to almost any area.
• Over 20% of all NFIP claims come from areas that are not in high risk flood zones.

So you’re probably asking, why is this a concern to me?  The answer is simple. The Homeowners’ Policy or Renters’ Policy doesn’t cover losses from flood.  The same is true of the standard property policy for commercial businesses.   So if flooding is a concern in your neighborhood, a flood policy through the National Flood Insurance Program (NFIP) might be right for you to supplement your Homeowners’ or Renters’ policy.  For businesses, it may be possible to endorse flood coverage onto your existing policy, or purchase a separate policy to provide flood coverage. 

The flood maps in many areas of the country have been updated in the last few years, and areas that were on not in flood zones are now considered to be in low to moderate flood zone areas.   This applies to several areas in Fairfax County in Northern Virginia.

With the spring rains here, and hurricane season starting (which is when much of the local flooding occurs), is it time for you to consider flood insurance?  Call or write us and we can get you a quote, and explain what’s covered under the flood policy. 

Charlie Venus  cvenus@jsinsurance.com

A health savings account can be funded with your tax-exempt dollars, by your employer, or both, to help pay for eligible medical expenses not covered by an insurance plan, including the deductible, coinsurance, and even in some cases, health insurance premiums.

Who is eligible for an HSA?

Anyone who is:

•          Covered by a High Deductible Health Plan (HDHP);

•          Not covered under another medical plan that is not an HDHP;

•          Not entitled to Medicare benefits; or

•          Not eligible to be claimed on another person’s tax return.

What is a High Deductible Health Plan (HDHP)?

A High Deductible Health Plan is a plan with a minimum annual deductible and a maximum out-of-pocket limit as listed below. These minimums and maximums are determined annually by the Internal Revenue Service (IRS) and are subject to change.

What are the pros and cons to establishing a HSA?

Pros:

•     Greater individual control over health care dollars

•     Increased consumer decision-making, potentially leading to healthier lifestyle

•     Incentives for individuals to save for health care expenses they will encounter in retirement

•     Better tools for making more informed health care choices

•     Debit cards and checking accounts to speed reimbursement for employees, save paperwork for employers

•     Savings for employer on HDHP premiums. Companies often save enough through the higher deductible that they are able to contribute to the savings accounts.

•     For employers, HDHP design preserves distance from first-dollar coverage.

Cons:

•     Tremendous communication challenges in shifting costs, risks and responsibilities to employees

•     Time-consuming effort for a company to implement

•     Continuing administrative hassles and some state laws to be addressed