Volume 2 Number 40 October 3, 2005

Health insurance open-enrollment begins today for thousands of Floridians. Understanding and reviewing your health insurance each year and making changes as needed is a vital part of family financial planning.   This year, you may want to consider a health savings account (HSA).  An HSA accumulates money tax-free to cover medical or health-related expenses.  Many Florida employers are now making HSA-compatible plans an option for 2006.  The HSA comes with an accompanying health insurance policy with a higher family deductible than a traditional plan, which the HSA is designed to cover.  As a result, your monthly health insurance premiums could be significantly lower.  Employers, workers or both can contribute to your HSA. Whatever is not spent in the HSA rolls over each year and earns interest tax-free. If you change jobs, your HSA may be transferred to your new employer if they offer a similar plan, or you can keep or spend they money you’ve saved in the HSA as long as it is spent on health services.  Money from an HSA can also be saved into retirement. Take a look at your current health plan and compare the dollars - you may be surprised at the bottom line.

COMMITTEE TO SIMPLIFY HOMEOWNERS INSURANCE POLICIES FOR FLORIDIANS ANNOUNCED First Meeting Slated For October 4th, Report Due January 15th Tom Gallagher, Florida’s chief financial officer, announced a ten-member committee tasked with developing a standard homeowners insurance policy for Floridians that is both easy to understand and offers comprehensive coverage.  State lawmakers called for the committee in response to Gallagher’s concern that many victims of the 2004 hurricanes were not adequately protected because they either did not understand the complex language in their insurance policies or had not updated their policy limits to keep pace with increasing property values.  “Time after time, in the hurricane recovery town hall meetings I held around the state and in calls to my office, Floridians said they were surprised at what their policies didn’t cover or that their coverage was not enough to rebuild their homes,” said Gallagher, who oversees the Florida Department of Financial Services. “The committee is tasked with developing a simple, plain-language homeowners insurance policy with the consumer in mind. CONTINUED

DO YOUR RESEARCH BEFORE INVESTING When a consumer complains about an investment, an investigator asks, "Did you receive a prospectus?" Then the question is, "Did you read it?"   Unfortunately, the answer to the first question is often "yes" and the answer to the second is usually "no." Where you put your money matters. Be sure to invest with reputable, licensed companies and individuals so you can be assured that your assets are there when you need them. Verify before you buy. In other words, make sure that the company, broker or agent is licensed to do business in Florida.  Before you sign a contract or write a check, click on these links to verify through our records that the entity is authorized and licensed to transact business in Florida or with Florida residents. Many investors simply rely on verbal promises made by the securities seller. The fact is, a prospectus should be filled with information to help you evaluate the investment. A flimsy prospectus is a red flag. CONTINUED