FAQ — Beacon Insurance Solutions

Question 1

What's the difference between an HMO and a PPO?

Accepted Answer

An HMO (Health Maintenance Organization) requires you to choose a primary care physician and get referrals to see specialists. Care is generally limited to in-network providers, which keeps costs lower. A PPO (Preferred Provider Organization) gives you more flexibility — you can see any doctor or specialist without a referral, including out-of-network providers, though you'll pay more for that flexibility. The right choice depends on how often you use specialists and how important flexibility is to you.

Question 2

When can I enroll in or change my health insurance plan?

Accepted Answer

Most people can enroll or make changes during Open Enrollment, which runs November 1 through January 15 for ACA marketplace plans. Outside of that window, you may qualify for a Special Enrollment Period if you've experienced a qualifying life event — such as losing job-based coverage, getting married, having a baby, or moving to a new area. We can help you determine whether you qualify and what your options are.

Question 3

What does a deductible mean, and how does it affect my costs?

Accepted Answer

Your deductible is the amount you pay out of pocket for covered services before your insurance starts sharing costs. For example, if your deductible is $2,000, you pay the first $2,000 of covered medical expenses each year. After that, your plan typically covers a percentage of costs (coinsurance) until you hit your out-of-pocket maximum. Plans with lower premiums usually have higher deductibles — we help you find the right balance based on how often you actually use healthcare.

Question 4

Can I keep my current doctor if I switch plans?

Accepted Answer

It depends on the plan's network. Before recommending any plan, we check whether your current doctors and specialists are in-network. Keeping your care team is a priority — we won't suggest a plan that disrupts that without telling you first. If your preferred doctor isn't in a plan's network, we'll help you weigh whether the cost savings are worth the trade-off.

Question 5

What is a Health Savings Account (HSA) and should I have one?

Accepted Answer

An HSA is a tax-advantaged savings account available to people enrolled in a High Deductible Health Plan (HDHP). You contribute pre-tax dollars, the money grows tax-free, and withdrawals for qualified medical expenses are also tax-free. HSAs are a powerful tool if you're generally healthy and want to save for future medical costs. We can walk you through whether an HDHP/HSA combination makes sense for your situation.

Question 6

What are the different parts of Medicare?

Accepted Answer

Medicare has four main parts. Part A covers hospital stays, skilled nursing facility care, and some home health services — most people don't pay a premium for it. Part B covers outpatient care, doctor visits, and preventive services, and does have a monthly premium. Part C (Medicare Advantage) is an alternative to Original Medicare offered by private insurers that often bundles Parts A, B, and D together. Part D covers prescription drugs and is offered through private plans. We help you understand how these parts work together and which combination fits your needs.

Question 7

What's the difference between Medicare Advantage and a Medicare Supplement (Medigap)?

Accepted Answer

Medicare Advantage (Part C) replaces Original Medicare with a private plan that often includes extra benefits like dental, vision, and prescriptions — usually with lower premiums but more network restrictions. A Medicare Supplement (Medigap) works alongside Original Medicare to cover costs it doesn't pay, like copays and coinsurance. Medigap plans typically have higher premiums but give you more flexibility to see any Medicare-accepting provider nationwide. The right choice depends on your health needs, budget, and how much you travel.

Question 8

How does Social Security timing affect my Medicare enrollment?

Accepted Answer

If you're already receiving Social Security benefits when you turn 65, you're automatically enrolled in Medicare Parts A and B — you don't need to do anything. However, if you're not yet collecting Social Security, you must actively enroll during your Initial Enrollment Period (the 7-month window around your 65th birthday). Missing this window without qualifying coverage from an employer can result in permanent late-enrollment penalties on your Part B and Part D premiums. We help you understand exactly when to enroll based on your Social Security plans.

Question 9

What are Medicare late-enrollment penalties and how do I avoid them?

Accepted Answer

If you don't enroll in Medicare Part B when you're first eligible and don't have qualifying employer coverage, you'll pay a 10% penalty on your Part B premium for every 12-month period you were eligible but didn't enroll — and that penalty lasts for life. Part D has a similar penalty for going without creditable drug coverage. The key is knowing your enrollment window and having a plan before you turn 65. We walk through this with every Medicare client to make sure no one gets caught off guard.

Question 10

Can I have Medicare and employer coverage at the same time?

Accepted Answer

Yes, and it's more common than you might think. If you or your spouse is still working and covered by an employer plan, that coverage is typically considered 'primary' and Medicare is 'secondary.' In many cases, you can delay Part B enrollment without penalty as long as you have qualifying employer coverage. The rules depend on the size of your employer, so it's worth reviewing your specific situation with us before making any decisions.

Question 11

How many employees do I need to offer group health insurance?

Accepted Answer

Most group health plans are available to businesses with as few as 2 full-time employees. Some carriers offer plans for sole proprietors as well. The requirements vary by state and carrier, but in most cases small businesses have more options than they realize. We work with businesses of all sizes to find plans that fit both the employer's budget and the employees' needs.

Question 12

How much does group health insurance cost for a small business?

Accepted Answer

Costs vary based on the number of employees, their ages, the state you're in, and the level of coverage you choose. Employers typically contribute a percentage of the premium — often 50% or more for employee-only coverage. We help you compare plans and structure your contribution strategy so you can offer meaningful benefits without overextending your budget.

Question 13

Are there tax advantages to offering group health insurance?

Accepted Answer

Yes. Employer contributions to group health premiums are generally tax-deductible as a business expense. Employees also benefit because their share of premiums is typically paid pre-tax, reducing their taxable income. Small businesses may also qualify for the Small Business Health Care Tax Credit if they meet certain criteria. We can walk you through the financial picture so you understand the real cost — and the real savings.

Question 14

What is mortgage protection insurance and how does it work?

Accepted Answer

Mortgage protection insurance is a type of life insurance designed to pay off your mortgage balance if you pass away. Some policies also cover disability or involuntary job loss. The benefit goes directly to paying your mortgage, ensuring your family can stay in the home without financial strain. Unlike traditional life insurance, the payout is specifically tied to your remaining mortgage balance.

Question 15

Is mortgage protection insurance the same as PMI?

Accepted Answer

No — these are very different products. PMI (Private Mortgage Insurance) protects the lender if you default on your loan and is typically required when your down payment is less than 20%. Mortgage protection insurance protects your family by paying off the mortgage if you die or become unable to work. PMI benefits the bank; mortgage protection insurance benefits you and your loved ones.

Question 16

What is an annuity and is it right for me?

Accepted Answer

An annuity is a contract with an insurance company where you make a lump-sum payment or series of payments in exchange for regular disbursements beginning immediately or at some point in the future. Fixed annuities offer a guaranteed interest rate and predictable income. Indexed annuities tie growth to a market index with downside protection. Annuities can be a valuable tool for creating guaranteed retirement income, but they're not right for everyone — we help you understand the trade-offs before making any decisions.

Question 17

How does life insurance factor into retirement planning?

Accepted Answer

Permanent life insurance policies — like whole life or indexed universal life — build cash value over time that you can access tax-advantaged during retirement. This can supplement other retirement income sources and provide a death benefit for your heirs. It's not a replacement for a 401(k) or IRA, but for the right person it can be a powerful addition to a diversified retirement strategy.

Question 18

When should I start thinking about retirement planning?

Accepted Answer

The honest answer is: as early as possible. But it's never too late to start. Whether you're 10 years from retirement or already there, there are strategies that can improve your financial picture. The earlier you start, the more options you have — but even clients in their 60s and 70s can benefit from a clearer plan around income, taxes, and healthcare costs in retirement.

Question 19

How much does it cost to work with Beacon Insurance?

Accepted Answer

Nothing. Our consultations are completely free. We're licensed agents compensated by the insurance carriers — so you get expert guidance at no cost to you, and the plan price is the same whether you buy through us or directly from the carrier.

Question 20

What happens after I enroll in a plan?

Accepted Answer

We stay with you. If you have questions about your coverage, run into a billing issue, or need to make changes during open enrollment, we're here year-round — not just during enrollment season. You'll have a direct line to a real person who knows your situation.

Question 21

What states do you serve?

Accepted Answer

We're licensed to serve clients in multiple states. Contact us directly to confirm coverage in your area — we'll let you know right away whether we can help or point you in the right direction.

Frequently asked questions

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