It's all of your business - Professional Resources - insurance for self-employed music teachers

American Music Teacher, Feb-March, 2003 by Tammy Wallace, Robert H. Clarkson

Insurance Checkup

After a period of relative stability throughout the 1980s and early 1990s, health care costs in the United States have been on the rise. The Centers for Medicare and Medicaid Services (formerly HCFA) report that total health care expenditures have increased from an annual figure of $887 billion in 1993 to more than $1.2 trillion in 1999, with the common factor of double-digit annual increases in health care costs.

Consumers are bombarded by the media about the rising insurance premium rates, but often get very little information about the underlying factors that generate rate increases. These factors include pharmacy and hospital costs, new medical technology, government legislation and the aging population. To help reduce health care costs, the nation's top-ranked health carriers are changing the benefit structure and allowing more flexibility in plan designs to accommodate the individual purchasing the coverage. This affords the insured specialized coverage that meets his or her personal needs.

Directors and officers of companies face unique liability exposures including, but not limited to, liability from other companies or the public. Between 1996 and 2001, the director and officer insurance industry experienced approximately a 200 percent increase in exposure. Past company actions and board members will become even more meaningful as we move forward to reduce this trend. Similarly, as a music professional, your most valuable form of protection may only be in the form of professional liability and/or general liability coverage. A careful analysis of your overall insurance needs will keep you on target and provide your family with security and peace of mind.

Today, more than ever, consumers are requesting advice and direction on all services ranging from retirement planning to corporate finance to life insurance. Fiduciary advisors and plan sponsors are becoming increasingly concerned that consumers do not have access to or do not use the appropriate educational or advisory services. Obtaining educational information and comparing coverages at least once a year can make or break a person's financial success.

As a busy music professional, you may not have the time to compare your current coverages with other insurance plans. By assuming that you are properly covered, you may be putting yourself at risk--or even out of business. The beginning of a new year is a great time to review your insurance needs and coverages. The Robert H. Clarkson Insurance Agency offers MTNA members a free "Insurance Checkup" with just one phone call or e-mail.

As the exclusive MTNA-endorsed agency, the Clarkson Insurance Agency offers every type of insurance coverage needed by an MTNA member. These insurance products are designed specifically for music professionals and are provided through the nation's top-ranked insurance carriers such Fortis, Humana, Progressive, Allstate and GE Capital.

An "Insurance Checkup" allows the Clarkson Insurance Agency to provide every MTNA member with a coverage comparison for all of their insurance needs. The comparison can include health, dental, vision, general and/or professional liability, automobile and homeowners, instrument coverage, sexual abuse defense and several others. The best part is this is a free service for MTNA members.

As an MTNA member and music professional, you deserve the best coverage available, and the experienced team at Clarkson Insurance Agency is ready to work for you. Lighten your hectic schedule this year by allowing the Clarkson Insurance Agency to provide this valuable service. To request your free "Insurance Checkup," contact an agent at (800) 338-7148 or by e-mail at mtna@rhcgroup.com.

Health Care Expenditures.

1993                         $887 billion

1999                        $1.2 trillion

Health Care Expenditures    $1.2 Trillion
Annual Premiums

* As Reported by the Centers for Medicare and Medicaid Services

Note: Table made from bar graph.

--Tammy Wallace Robert H. Clarkson Financial Services, Inc. Louisville, Kentucky