Medicare GAO Report on Radiology

Prior Imaging-Authorization Suggested
Staff Reporters
As reported in the Wall Street Journal, on July 14, 2008, Medicare may be soon requiring prior authorization to curtail unnecessary utilization of CT scans, MRIs and other forms of medical imaging, a new Government Accounting Office [GAO] report suggests.
The Medicare Report
To cut imaging costs, Medicare has been reducing certain physician [...]

Physician Malpractice Liability Immunity

Free Charity Medical Care?
Staff Reporters
Sen. Mike Enzi [R-Wyoming], the senior Republican on the Senate Health, Education, Labor and Pensions Committee [HELP], recently introduced legislation that would allow physicians and other medical professionals to volunteer their services at charity clinics and community health centers free from medical liability concerns.
Query
What is your opinion on this idea, given [...]

Baby Boomers Financially Unprepared

Potential Medical Disability Survey
Staff Reporters
According to findings from a recent Harris Interactive survey conducted on behalf of America’s Health Insurance Plans (AHIP) between April 25 - 29, 2008, baby boomers are financially unprepared if they themselves, or the primary wage earner in their household, suffered a medical disability and was unable to work for [...]

Life Insurance Policies and Trusts

Tax and Estate Planning for Doctors
Staff Writers

All subscribers to the Executive-Post know that carefully crafted arrangements may minimize estate and income taxes.
Life Insurance Policies
The simplest way for a medical or other professional to avoid estate tax on the proceeds from life insurance policy death-benefit, is having a properly drafted trust own the life insurance policy. [...]

Financial Advisors Not “Up” on Annuities?

Results of a New Survey
Staff Reporters
In the interactive June edition of Investment Advisor magazine, Savita Iyer-Ahrestani reported on a new study of annuities.
Of course, subscribers of the Executive-Post already know that more and more Americans are counting on financial advisors to help them prepare for a secure retirement; rightly or wrongly. And, this includes [...]

RAC Contractors to be Identified

CMS Aims to Reduce Fraud
Staff Writers
This month, the Centers for Medicare and Medicaid Services [CMS] will name the auditing firms that will review hospitals’ books for payment mistakes, while hospital officials say results in other states suggest the auditors will give priority to recovering overpayments.
The RAC Program
Under the so-called Recovery Asset Contractor [RAC] program, [...]

Economics of Variable Annuities

The “Ups and Downs” of Variable Investments
Staff Writers
The chief advantage of variable annuities is that investment income or gains are not currently taxable. However, when distributions are made, all gain is ordinary income, even if substantially all of the gains realized on the investment were capital gains.
Investments made directly by a Family Owned Business [...]

Living Trust Myth-Busters

Reality Bites for Some Doctors
Staff Writers
Medical professionals are turning to living trusts in increasing numbers for their estate planning needs. But, two major trust myths need to be explored.
Myth 1:  Living trusts save taxes.
Reality: They do not. Income earned by a living trust is taxable to the physician or other grantor, and when he or [...]

Doctors Unite!

On the “Open Letter from America’s Physicians”
By Dr. David Edward Marcinko; MBA, CMP™
Publisher-in-Chief
As we have seen in this healthcare-charged election season, almost every form of political activism or debate has moved online. So, it is no surprise that a coalition of disgruntled physicians would electronically socialize and network together, as seen with www.sermo.com
About Sermo - Peer [...]

Key-Man Life Insurance Proceeds Ruling

IRS Tax Exempt Treatment Ruling
Robert Whirley; CPA
A recent revenue ruling has been issued by the Internal Revenue Service addressing the tax exempt treatment of life insurance policy proceeds on “key-man” policies of Subchapter S-Corporations; medical and/or otherwise. 
Excerpts
Revenue Ruling 2008-42 concludes that premiums paid by the S-Corporation on an employer-owned life insurance contract, of which [...]

Alphabet Soup: Financial Designations & Certificates

financial-designationsjuly
July 2008:
AUTHORS: Dr. David Edward Marcinko; MBA, CMP™ and Hope Rachel Hetico; RN, MHA, CMP™
POSITION: Publisher-in-Chief, and Managing Editor of the Executive-Post, respectively.
TOPIC: Financial Designations and Certifications [Alphabet Soup of Industry Obfuscation and Self-Promotion, or Real Gravitas – You Decide?]
EXCERPT: “Until recently, most financial advisors were regulated by the NASD, the National Association of Securities [...]

Physician Buy-Sell Agreements

A Details Checklist
Staff Reporters
All medical practice and other business agreements that dictate what happens to a physician’s property should be addressed in a document called a “buy-sell agreement.”  
Definition 
A buy-sell agreement stipulates what would happen to your medical practice should you die, become disabled, leave, or wish to retire. The agreement states that your partner or partners [...]

Ask an Advisor

Second-to-Die Life Insurance
QUESTION: Why has second-to-die life insurance become so popular with medical professionals and others?
Conclusion
Your thoughts and comments are appreciated.

Related Information Sources:
Practice Management: http://www.springerpub.com/prod.aspx?prod_id=23759
Physician Financial Planning: http://www.jbpub.com/catalog/0763745790
Medical Risk Management: http://www.jbpub.com/catalog/9780763733421
Healthcare Organizations: www.HealthcareFinancials.com
Health Administration Terms: www.HealthDictionarySeries.com
Physician Advisors: www.CertifiedMedicalPlanner.com
Subscribe Now: Did you like this Executive-Post, or find it helpful, interesting and informative? Want to get the [...]

Survey on Convenient Care Medical Clinics

Possible Solution to the Healthcare Dilemma?
Staff Reporters
Another new survey suggests that convenient care medical clinics (CCMCs) could be a potential solution to health care issues, if fears can be alleviated; at least in the Keystone State.
The Survey
The survey by Widener University in Elder Pennsylvania, found that while baby-boomers aged 43 to 64 were most [...]

Risky Business of Web 2.0 Doctor Bloggers

A Mashed-Up Opinion
By Dr. David Edward Marcinko; MBA, CMP™
Publisher-in-Chief
Today, after personally reviewing far too many blogs, and according to www.NPR.org, there are more than120, 000 health care forums on the Internet with opinions ranging from pharmaceuticals, to sexual dysfunction, to acne.
The same goes for commercial doctor blogs that promote lotions, balms and potions, diets [...]

Secular Annuities

What Exactly is a Secular Hospital Annuity?
Your assistance is appreciated.
Thank you.
Anonymous Physician-Executive
Lake Worth, Florida
 

Split-Dollar Life Insurance Plans for Doctors

A Valuable but Complex Business Arrangement for Physicians
By Gary A. Cook; MSFS, CLU, RHU, CFP® CMP™ 
 
Split dollar arrangements can be a complicated and confusing concept for even the most experienced insurance professionals or financial advisors. 
Moreover, for most physicians and healthcare executives they seem to be fraught with even more confusion. 
The Basic Concept
This concept is, in its [...]

Homeowner Insurance Policy Endorsements

Home Title and Boat Insurance for Physicians
Gary A. Cook; MSFS, CLU, RHU, CFP® CMP™ 
 
The physician homeowner is well advised to consider a multitude of endorsements and/or potential increases in their insurance policy limits. 
Examples include:
· Scheduling personal property, such as jewelry, furs, golf equipment and computers, which have been exempted from coverage, or coverage has [...]

Insurance Terms and Definitions for Physicians

A “Need-to-Know” Glossary for all Medical Professionals
Staff Writers 
 
Attained age: The premium rate charged to an insured at his or her current age on a policy conversion that would be the same as that offered by a company to new insureds who could qualify for standard rates.
Beneficiary: A person or entity named by the policyholder to [...]

Questionable Insurance Policies for Doctors

Beware the Hype of Superfluous Products
Gary A. Cook; MSFS, CLU, RHU, CFP® CMP™
 
The following insurance policies should be carefully considered by physicians before purchase, since they may be unnecessary, too expensive, provide only minimal benefits or be duplicated in other insurance policies.
Avoid or Purchase?
These suspect insurance policy types include credit life or home mortgage insurance [...]

“Umbrella” Liability Insurance

Negligence Based Coverage - Vital for Physicians
Gary A. Cook; MSFS, CLU, RHU, CFP® CMP™ 
 
Negligence is generally the basis for liability “umbrella” insurance.   
Definition of Negligence
Negligence may be defined as the failure on the part of an individual to exercise the proper degree of care required by the circumstances.
It may consist of the failure to do something, [...]

Key-Person Insurance for Physicians

Another Business Use of Life Insurance
Gary A. Cook; MSFS, CLU, RHU, CFP® CMP™ 

If a key physician were to die prematurely, what would potentially happen to the affected medical practice?
In many cases, especially in smaller practices, it would have a devastating affect on the bottom line, or even precipitate a bankruptcy. 
In these circumstances, a form of [...]

Physician Workers’ Compensation Insurance [WCI]

A Necessity for Contemporary Medical Practices
Staff Writers
 
Workers’ Compensation Insurance [WCI] is reported to be the largest line of commercial insurance, possibly because it is also a statutory obligation for most physicians and all employers who have common law employees.
Purpose of WCI
Workers’ Compensation provides coverage for lost income due to on-the-job accidents or work-related disability or [...]

Insurance Agents - Raising the Bar

[Few] Insurance Agents Learn About Modern Health Economics  
Staff Writers 
 
As a registered health underwriter [RHU], insurance counselor, long-term care or life insurance agent, it seems that almost everyone today is also acquiring a general securities license, or becoming a “financial advisor.”
Introduction 
Currently, about 240,000 of the nation’s life insurance agents - down from more than one million [...]

Medical Practice Business Insurance

More Needed than Just Medical Malpractice Insurance
Staff Writers 

There are several insurance, risk management and related liability mattes that physicians face today. These include, but are not limited to the following issues:  
1. New Thoughts on Malpractice Liability Insurance: 
The Capitation Liability Theory of malpractice views liability management and premium costs in light of the managed care revolution. [...]

The CSO Life Insurance Table

Do You Know About the “New-Old” 2001-2009 CSO Life Insurance Table?
By: Dr. David Edward Marcinko; MBA, CMP™
Publisher-and-Chief  
 
As physicians and medical professionals, we know that all life insurance and annuity product pricing is based on mortality – the expectation of when, not if, death will occur.  
But, did you know that at its December 2002 meeting, the [...]

Annuity Insurance Products

A Brief Overview of Annuities for Physicians
By Gary A. Cook, MSFS, CFP®, CLU, ChFC, RHU, LUTCF, CMP™ (Hon)
By Kathy D. Belteau, CFP®, CLU, ChFC, FLMI
By Philip E. Taylor, CLU, ChFC, FLMI

Introduction

Annuities were reportedly first used by Babylonian landowners to set aside income from a specific piece of farmland to reward soldiers or loyal assistants for the [...]