Category Archives for Consumer Issues

Better Business Bureau Resource Book Offers Seniors Valuable Tips

Published in Pawtucket Times on March 29, 2004

Everyone has probably heard the old adage…If you don’t pay for it, you won’t appreciate it.”

Maybe this is true in some situations, but this is not the case should you pick up a “free” issue of the Rhode Island Senior Citizens Edition 2004, published by the Better Business Bureau Book (BBB) series.

The 53-page resource book is free and available at local grocery stores and retail sites throughout the state. It was written to address special needs of seniors by using reliable information.

Seniors and caregivers can become savvy shoppers by simply skimming through this annually updated publication when they seek out products and services.

Do you need to modify your home to adapt it to promote greater independence or to prevent falls?  BBB’s 2004 senior edition gives you sound advice when you begin your home fixups.

When shopping around, make sure the contractor you will use is both licensed and bonded.  Always get a written down payment and only make it a small down payment.

Your final payment should be made when the contractor completes the project to your satisfaction. Always contract Rhode Island’s Better Business Bureau (785-1212) for a reference.

While many may consider BBB’s useful recommendations as common-sense advice, sadly some seniors don’t follow the advice and become victims to unscrupulous contractors.

BBB’s 2004 senior edition is jam-packed with useful information, from outlining senior housing choices to tips on choosing a nursing home, medical insurance and long-term care insurance, eye care and dental prosthetics.

Do you need help with managing your assets or spending within your means?  Are you seeking a lawyer to write your will , creating a trust, durable power of attorney or advance directives?  Have you considered pre-planning your funeral. Yes. BBB’s senior 2004 edition gives timely suggestions on hiring financial planners, lawyers, or even choosing a funeral home.

About 30 percent of the nation’s seniors and 50 percent of those over 85 suffer from hearing impairment. Buying a hearing aid can be a frustrating, intimidating experience for many seniors.  BBB’s 2004 senior edition walks seniors through the process of purchasing a hearing aid.

The publication gives an easy-to-understand explanation of the types of hearing losses and where to turn to for treatment – an otologist, audiologist or a hearing aid retailor. Seniors can turn to page 27 to learn the  specifics about hearing aid products, what to expect during the hearing examination, what to look for in contracts and warranties and service and repair issues.

BBB’s 2004 senior edition warns that Rhode Island is now considered a “target state” for scams because of the state’s high percentage of seniors – 16 percent of the Ocean State’s population is over age 55. The resource book warns about seniors about Canadian telemarketing scams, thieves posing as utility workers or inspectors or Nigerian “fund transfer” scams and how to avoid them.

Finally, seniors are taught how to successfully complain via writing effective complaint letters.  Effective complaining begins by sending a letter addressed to the person in charge of the company, not the consumer protection agency. Always allow the company an opportunity to fix the problem.

When corresponding be courteous, describe the problem clearly and be reasonable when requesting your solution, and enclose “copies” of all appropriate documents. Most importantly, always give the company a reasonable amount of time to respond to your complaint. These are not bad suggestions for seniors or caregivers to follow when attempting to resolve a consumer issue.

In his forward to BBB’s 2004 senior edition, A. Michael Marino, BBB’s president, calls on the reader to keep this handy resource book in a very convenient location for easy reference.  You’ll be able to truly appreciate the sound advice and information this free BBB publication offers, despite the old adage about appreciating only the things we pay for.

Call 785-1212 for a copy of BBB’s senior edition, for pickup locations or for detailed information on how seniors can access BBB services.

Aging Baby Boomers Woefully Unknowledgeable About Services

Published in Pawtucket Times on December 31, 2001

Are you a savvy shopper for services that you might one day need to purchase?

Many Americans are especially savvy when they purchase cars, electronic equipment or clothing.  But most are not when it comes to their knowledge of purchasing needed long-term care services, says a report recently released by AARP.

More than half (60 percent) of aging baby boomers age 45 plus say they are at least “somewhat familiar” with long-term care services currently available. However, they are woefully uninformed about the costs of, and funding sources for, long-term care services.

Yet with the graying of America’s population, the need for these services is expected to increase in the upcoming years. According to the 2000 U.S. Census Bureau projections, today’s 65 or older population numbers are expected to double to about 70 million in 2030, and the 85 and older population will also nearly double to about 8.5 million.  Those 85 years and older will be in the greatest need for nursing facility care.

“With the onset of the aging demographic revolution, essential that the general public not only learn about the long-term care options but understand their costs, and begin planning for their future care requirements,” said AARP CEO Bill Novelli. “Unfortunately, most of us pay little attention to the cost of such care until we or our loved ones needed it.  AARP sees  our role as informing and assisting people to make good choices.”

The AARP telephone survey asked a random sample of 1,800 Americans ages 45 and older questions  designed to measure their knowledge and understanding of the continuum of long-term care services, ranging from in-home care, assisted living to nursing home care.  In addition, to the national survey, five state-specific surveys were conducted with a random sample of 400 people age 45 and over in California, Florida, New Mexico, Washington and Wisconsin.

The survey findings suggested that aging baby boomers and seniors are generally not familiar or knowledgeable about the costs of long-term care services.  Only 15 percent could identify the cost of nursing  home care within plus or minus 20 percent of the national average of cost (about $ 4,654 per month).  Even 24 percent of those participating in the survey admitted that they did not even know the cost. And that’s not all – 51 percent estimated the cost too l ow.  So much for those savvy shoppers.

As for assisted-living facilities, one in four (27 percent) were able to come within a plus or minus 20 percent of the estimated median cost of care in an assisted-living facility while 38 percent said they did not know the national estimated median cost for assisted living per month, ranging from $ 2,000 and 2,500.

Meanwhile, survey participants continued to reveal their lack of knowledge by being generally unaware of how much an in-home visit from a skilled  nurse or aide costs.  The average Medicare reimbursement is $ 109 per a skilled nurse visit and $ 64 for a home visit by an aide.  The survey findings reported that they gave a wide range of answers, with no real consensus.  Thirty three percent even admitted they did not know the cost.

So, what about the aging baby boomers knowledge of long-term care insurance, one viable option to pay for the cost of long-term care services? About 31 percent said they have insurance that covers the cost of long-term care, when they probably didn’t.  Maybe it’s time for people to read the very small print in their insurance policies.  The Washington, D.C.-based Health Insurance Association of America estimates that only about 6 percent of Americas purchased such insurance.

Additionally, the survey respondents who said that they had insurance coverage for long-term care services were more likely to say they feel better prepared to meet the financial challenges of paying for care than those who say they do not have coverage (7 percent versus 39 percent).  This finding suggests that people who say that they long term care coverage when they do not may have a false sense of financial preparedness.

According to the new study, there is also a discrepancy between what people think Medicare and Medigap cover and what they actually cover.  More than half (55 percent), including those who say they are “very familiar” with long term care (58 percent), believe Medicare covers long-term nursing home stays.  And nearly a quarter say they would rely on Medicare to pay for such stays.  This is not the case.  Medicare does not cover long-term care nursing home stays.

The survey noted that 41 percent thought Medicare also covered assisted living care and more than 34 percent know whether it does or does not.  Medicare does not pay for assisted living.  And 57 percent correctly said that Medicare covers the cost of in-home visits from a skilled nurse. However, many respondents did not understand the difference between a home visit from a skilled nurse and a home visit by a home health aide.

More than half (52 percent) thought Medicare covers aide visits. In fact, Medicare covers only home health aide services for care that is medically necessary, not custodial care.

Kathleen S. Connell, AARP State Director, notes that this research study highlights the big gap between consumers understanding of long-term care services and its associated costs.  She adds that the findings reveal a great deal of confusion as to what long term care services are covered by Medicare and Medicaid.

“Aging baby boomers are now facing decisions regarding the purchase of long-term care services for their older parents. They will also be forced to deal with their need for services as they age and as longevity increases,” Connell says. “Consumers need to be come better informed about what Medicare and Medicaid pays for available long term care options for services that are actual costs of care.  They need to investigate different long term care insurance options, too,” she urges.

In Rhode Island there is a general recognition in agencies assisting seniors of the need for educating consumers and putting information into the hands of people who need it, Connell notes, adding that information specialists are available in local senior centers to assist in this effort.

Don’t wait until a sudden health crisis forces you to shop around for long-term care services.  Start today Become a savvy shopper by increasing your knowledge and understanding of different long-term care service options and  their associated costs.  Learn more about government financing programs, specifically Medicare and Medicaid, and private senior financing with long-term care insurance and Medigap policies.

Seniors Should Beware of Charity Scams

Published in the Pawtucket Times on October 1, 2001

Following on the heels of last month’s deadly terrorist attacks on the World trad towers and the Pentagon, AARP has issued a warning to seniors to watch out for scam artists seeking to make a fast buck on the horrific national tragedy.

The Washington, DC-based senior watchdog group urges older persons to be very cautious when responding to charitable solicitations. “In this time, we need to be alert to stop those who would divert charitable donations away from those who have been victimized by the tragedy in New York and Washington, DC., states Kathleen S. Connell, AARP’s Rhode Island Executive Director.

Charities have historically targeted seniors, Connell says, making seniors especially vulnerable to scam artists.  AARP research shows that, even in ordinary times, Americans age 65 and older receive more telephone and mail solicitations for charitable donations than any other age group. “Older Americans may become particularly receptive to appeals that benefit police and firefighters who were victims of the recent terrorist attacks,” Connell says.

According to AARP experts, charity scams may take various forms, but certain elements can be warning sign. Red flags indicating the signs of a scam include: the use of a similar sounding name that suggests a well-know charity; a request for your credit card number or cash; an offer to send someone to pick up your contribution; and failure of the solicitor to explain the charity’s administrative costs and programs.

Connell recommends that donations be given to recognized organizations such as the Red Fross or Salvation Army or any charitable groups that the giver is familiar with.

Are scam artists targeting Rhode Island seniors using the backdrop of a national tragedy for fraudulent charity appeals?  No, says Connell.  She is unaware of any scams in Rhode Island being directed specifically at seniors. “It appears that the public relations campaigns raising the visibility of telephone scams have been successful and seniors are being more than careful when making donations.

Jim Martin, spokesperson for the state Attorney General’s Office told All About Seniors, “There is no substantial evidence of any scam artists collecting money under the guise of a charity purporting to assist the victims of the Sept. 11th tragedy.”  If this occurred, he says, State Attorney General Sheldon Whitehouse would not hesitate to use any means at his disposal to stop it and hold those who do it accountable.”

State charity regulator David Briden, of the Department of Business Regulation, also is not aware of any charity scams sweeping through the Ocean State targeting seniors.

Briden states that hundreds of charities raising money across the nation, soliciting funds for the victims of the terrorist attacks, his staff is attempting to monitor their efforts.

Briden urges seniors to take precautions when making a donation to charitable causes.  Write a check instead of using cash, making out the check to the organization. “Never give out your credit card number, Social Security number or any other personal information over the phone,” he says.

Weeks after the terrorist attack, contributions are pouring into the American Red Cross of Rhode Island. Individual and group contributions, from the Boy Scouts, neighborhood children who banded together to raise funds, to donate received from a growing number of major corporations, like Textron, Inc., and MetLife, have raised nearly $ 1 million for relief efforts, states Sara Bilossky, the group’s communication director.

Even with state regulators acknowledging little reporting of scam operations in Rhode Island, Bilossky is aware of a few callers who have contacted her agency attempting to determine if solicitation calls, they have received on behalf of the American Red Cross were really legitimate. But these calls quickly tapered off, she said.  Any donation to the American Red Cross can either be delivered directly to the nonprofit agency or mailed, she recommended, suggesting that donation checks to be made out directly to the Red Cross Disaster Relief Fund.”

Hundreds of millions of dollars have ben raised nationwide by charities for the victims of the terrorist attacks and their families. It is the donor’s responsibility to make sure that his or her hard-earned money gets into the right hands. If solicited, always ask about the group’s fund-raising goals, find out how the collected money will be spent and request a list of the board of directors.  Does the group have written materials? Give smartly and generously.

For questions concerning charities that have been registered by the State of Rhode Island or to file complaints, call the state’s Department of Business Regulation at 401 222-3948.