Omaha Insurance Solutions - November 2022

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November 2022

Appreciation Grows as Time Passes

their pilgrimage to the hills of Missouri. They had lots of grandkids. That was when I saw my first bobwhite quail, elk, deer, tarantula, and hummingbird. I caught my first fish — a rainbow trout. When I drive by Joe and Hilda Martin’s home

She couldn’t recall. My heart dropped. All that effort to no avail. I was crushed.

I think of my parents often and my grandparents too. The old black-and- white photographs from the ‘60s tell the story of a simpler and poorer time. Looking back, my young parents and grandparents struggled to get by compared to now. Still, I see pictures of happy boys in their Easter best and Halloween costumes or covered in mud. There weren’t many photographs because film and development were expensive then, especially color! It’s not like snapping pics on the cellphone at no cost now. I regret my lack of appreciation. I faintly remember my great-grandfather, Huglin, from when I was 4. I got to stay overnight with him. It was my first time sleeping over somewhere. I was scared. I almost asked to go home. My great-grandpa had a Murphy bed — the kind that folds up into the wall. I had never seen a bed like that before. I thought it was cool until my grandpa told me to stop fidgeting in bed that night. He said the bed would slam back into the wall if I kept moving, and we would be stuck until morning. I froze like an ice cube. A lot goes into raising a child. It has taken me 60 years to appreciate those generous souls who cared for me.

at 31st and Larimore, images of that time together flashback.

I never realized all the effort my parents and grandparents put into me. I never gave it a thought until I had my own. They did so much, sometimes at great sacrifice. I didn’t

recognize their efforts then. I just expected parents and grandparents to do those things. Entitlement can start at an amazingly early age. Only after decades am I finally appreciating their love. The other day I was giving horsey-back rides to my two youngest grandchildren — Samantha, 7, and Jake, 3. Once I was done with one of them, the other wanted to hop on my back. They seemed to know only two words “faster” and “again.” “Run faster, Gramps! Do it again, Gramps!” Gramps was dripping sweat and exhausted in no time. I used to do the same with their older sisters — Madison, 16, and Brooke, 14. I asked Madison if she remembered our horsey-back rides together.

My family never went on vacation when we were kids. Dad took the cash in lieu of time off and worked overtime. The few times he took time off was to paint the house and re-roof it. The one vacation we did take was to Grand Island to see the Stuhr Museum. My parents didn’t dare go any farther in a little 1964 Ford Galaxie with no air conditioning and three screaming boys.

When I was 8, my grandparents took me to the Ozarks to visit my great-grandmother.

–Christopher J. Grimmond

My grandparents took one of the grandkids when they were old enough each year on

Medicare Insurance Made Easy

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THE DONUT HOLE EXPLAINED FALLING INTO THE ‘GAP’

Many people have heard of the Medicare Donut Hole, but even those on Medicare are not familiar with what the donut hole really means unless they fall into it. When you are in the Medicare Donut Hole, you know it and quickly learn what it means. Clients call me every week asking, “What’s going on? My medication jumped from $45 to $145!” I say, “Oh, you’re probably in the Medicare Gap, or the more popular name is the ‘donut hole.”’ They ask, “What’s that?” Even clients I have warned ahead of time usually still call with distressed and perplexed voices. People don’t really grasp what’s happening until it happens to them. How to explain the Medicare Donut Hole? There is nothing logical about the Medicare Donut Hole (or gap). The government actuaries devised this idea to deal with the large number of Medicare beneficiaries who are on lots of extremely expensive medications. Think about it this way: We all pay for auto insurance. Most of us do not get into accidents or kill anyone, thankfully. Over a long driving career, there may be some fender benders, but nothing major. We pay our monthly premium. We complain a little, but we know it is the price of doing business. We understand that more people need to pay in than people take out for accidents and injuries. Medicare Part D prescription drug insurance is similar. We need more people paying in than taking out. When we were working, we and our employers paid a lot of health insurance premiums, including medication copays. The age group for employer plans is 18-64. Not many people were on Eliquis, Toujeo, Xarelto, Jardiance, Ventolin Inhalers, etc.

However, when it comes to Medicare, you have people ages 65-100, and the percentage of persons on expensive medications is enormous. If the cost and risk were evenly distributed among all participants without distinction, Medicare Part D prescription drug plans would be significantly more expensive — so expensive that those who aren’t on medications or very few would never buy a Medicare Part D plan. Remember, you need more people paying into the insurance plan than taking out. The magical actuaries at Medicare came up with an idea. Voila, the donut hole! The Medicare Part D prescription drug program is broken down into four phases. The first phase is the deductible. The deductible for 2023 will be $505. The purpose of any deductible is to ensure that people do not charge recurring and minor costs to the insurance plan. The consumer needs to foot the bill for those low-cost expenditures. All insurance policies have some type of deductible. Otherwise, the premium would be astronomical. In the case of Part D plans, the deductible is usually only for the more expensive Tier 3 medications. The plan entirely or mostly covers minor and inexpensive medications. The second phase is the initial stage. The Medicare Initial Stage is how insurance generally feels to the consumer. There is a claim, and the insurance pays most of the claim. The insured pays a fourth or a fifth of the actual cost. Most people on Medicare never get out of the Medicare Initial Phase. They may even be on a lot of medications, but their cost is not that substantial to drive them into the gap.

when you and the plan have paid at least $4,660 in the insurance company’s cost of the medications. You’ve paid about a fourth of the cost out of your pocket. The insurance companies paid the rest. You have now thoroughly and completely crossed over into the Medicare Gap or Medicare Donut Hole. In the gap, pharmaceutical companies discount the medication cost by 75%. You pay 25% of the actual cost. The reasoning is that now the persons who most benefit directly from the medications should bear the burden of the cost. Again, if it were evenly split among participants, those with no or few medications would opt out of Part D plans and significantly reduce the premium paid into the pool. The final phase is catastrophic. Like it sounds, the costs are catastrophic for most people by this point. You have paid $7,400 out of your pocket. This amount is based on the actual costs of the medications. You need to pay the $7,400 amount out of your pocket to descend to the next level — catastrophic. This phase is probably called catastrophic because you have paid out a lot of money for medications, which is catastrophic for your budget. In this stage, instead of paying the actual cost of the medications, the insurance company and Medicare come back in. Medicare significantly subsidizes the cost. Beneficiaries pay copays of $4.15, $10.35, or 5%, whichever is higher. The cost and tier determine the copay.

Then, the whole process starts over again on Jan. 1.

Because of recent legislation in Congress, this entire system may be significantly altered starting in 2024. Hopefully, for the good, but as it stands, this is what and how the Medicare Donut Hole works.

The third phase is the Medicare Gap (or donut hole). You cross this threshold

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Testimonial

Thanksgiving Is About More Than Food

“‘Time to sign up for Medicare’ are words we all dread. Chris was a godsend. His knowledge and skillful guidance made the whole process easy. He not only answered my many questions but also made sure I considered options I didn’t know about. His assurance of his continuing

IT’S ABOUT SHOWING GRATITUDE

As we prepare for our Thanksgiving feasts, Thursday night football games, and Black Friday shopping, take some time to show gratitude for those around you and for what you have. Here are a few ways to practice gratitude this month. APPRECIATE EVERYTHING. Get into the habit of being grateful for the little things in your life. It can be easy to acknowledge the “big” things, but nothing is too small to be thankful for. You can be grateful the weather is nice and sunny, that you received the package you’ve been waiting for, or that you got out of bed today. Don’t leave out anything when practicing gratitude. PRACTICE MINDFULNESS. Mindfulness is the ability to be fully present and aware of what’s happening around you. So, instead of being overwhelmed by what you need to do tomorrow or next week, focus on the present moment and enjoy the time you spend solo or with your loved ones. Live in the moment and take one day at a time. Tomorrow will surely come, and you only have a limited amount of time in the present. CELEBRATE YOUR CHALLENGES. Sometimes struggles and battles in our lives can weigh us down. But when you persevere and continue to push forward, you will find success. Challenges help you improve your abilities and resilience, so celebrate the progress you’ve made. Showing gratitude for challenges and negative experiences allows us to acknowledge humility and appreciate growth in our lives.

support going forward is wonderful. It lets me chill with a drink and my dog instead of worrying about Medicare. I would always recommend him.” —Meggie O.

Apple Cranberry Crisp

Inspired by TasteOfHome.com

If you’re feeling old-fashioned, treat yourself to this warm and bubbly dish. Nothing says Thanksgiving quite like a classic apple recipe. Ingredients • 3 cups peeled and chopped tart apples • 1 1/2 cups cranberries • 3/4 cup packed brown sugar, divided • 1 tbsp lemon juice • 1/2 tsp ground cinnamon • 1/2 cup all-purpose flour • 1/3 cup butter, cold • Vanilla ice cream (optional) Directions 1. Preheat oven to 375 F. 2. In a large bowl, combine apples, cranberries, 1/4 cup brown sugar, lemon juice, and cinnamon. 3. Grease an 8-inch baking dish and pour the mixture into it. 4. In a small bowl, mix flour and the remaining brown sugar. Cut in cold butter until the mixture is crumbly. Sprinkle this over the fruit. 5. Bake uncovered for 25–30 minutes or until the topping is golden brown and the filling is bubbly. If desired, serve with vanilla ice cream and enjoy!

KEEP A JOURNAL. Writing down the things you’re grateful for will remind you of all the great things you have when other things aren’t going so well. So, keep a journal about what you’re grateful for each day or week —

even if it’s just small things at first. Your perspective on life will change, and it will get easier to see the good things and to feel grateful for things you were likely overlooking. Showing gratitude is something we should do every day, all throughout the year — not just during the holidays. So, try to practice mindfulness and gratitude using these tips! Happy Thanksgiving, everyone!

402-614-3389 • 3

11414 W. Center Rd., Suite 250 Omaha, NE 68144 402-614-3389 OmahaInsuranceSolutions.com

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INSIDE This Issue

Memories Bring Recognition

1

2

What Is the Donut Hole?

3

It’s National Gratitude Month!

3

Testimonial

Apple Cranberry Crisp

3

4

Getting Outdoors Despite the Cold

Staying Active in Cold Weather Come Out and Play

Winter is almost here, and as the weather gets colder, many people use it as an excuse to stay inside and on the couch. But if you don’t want to wonder what happened to your fitness goals when spring comes around,

you probably won’t be hurt by outdoor winter exercise, there’s no denying it can be unpleasant if you aren’t prepared.

don’t trap sweat. Also, remember the wool socks, gloves, and hat.

Another way to keep yourself comfortable during an outdoor workout is to warm up longer before beginning. Exercise in cold weather makes strains and sprains more likely, and a warmup will keep you safer. Plus, the additional movement before heading outdoors will help the temperature change feel less jarring. You’ll want to protect your skin from the harsh air. One of the best ways to do that is by staying hydrated. Though it sounds obvious, many people feel less thirsty when exercising in the cold and don’t drink enough water. Also, moisturize regularly and protect your nostrils and lips from the wind with petroleum jelly or Carmex. Finally, don’t forget the sunscreen — if skiers can get a sunburn, so can you!

One school of thought

suggests there’s no bad weather, only poorly

now is the time to start preparing. Here’s what you need to know to comfortably enjoy outdoor exercise in low temperatures. First, there’s good news: Your chance of frostbite in 5 degree F weather is less than

chosen clothing. So, if you want to exercise outdoors in the winter, you must set yourself up for success with the

proper gear. Dress in layers and put them on in the correct order. Opt for a moisture- wicking material as your

5%. So, outdoor exercise is perfectly safe most days of the year. Just stay inside when

bottom layer, then add a warm insulating layer, followed by

there’s a particularly nasty wind chill and don’t exercise on icy surfaces. But while

a wind and water-resistant jacket on top. Remove items as you get warmer so you

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