One of the most imperative topics relating to retirement is the cost of healthcare. While most pre-retirees know they will face increased medical expenses, very few have factored in the impact it will have on their retirement income. Many also mistakenly believe Medicare will cover the cost of long-term care. That’s why it is crucial to get the facts now and understand why it is important to include healthcare
coverage as part of your retirement planning. UNDERSTANDING MEDICARE COVERAGE OPTIONS
WHILE MOST PRE-RETIREES KNOW THEY WILL FACE INCREASED MEDICAL EXPENSES, VERY FEW HAVE FACTORED IN THE IMPACT IT WILL HAVE ON THEIR RETIREMENT INCOME.
Medicare is the federal health insurance program for people age 65 or older. Certain people younger than age 65 with disabilities can also qualify for Medicare. The program is designed to help with the cost of healthcare, but it doesn’t cover all medical expenses or the cost of most long-term care. Rules and coverages vary by state. MEDICARE COVERAGE PLANS
Part A: (Hospital insurance)
Inpatient hospital care or skilled nursing facility (following a hospital stay), some home healthcare and hospice care. Services from doctors and other medical providers, outpatient care, home healthcare, durable medical equipment, and some preventive services.
Deductibles, coinsurance and copays.
Part B: (Medical insurance)
Monthly premiums, deductibles, coinsurance and copays.
Part C: (Medicare Advantage plans) Part D: (Prescription Drugs)
Private single provider option.
Various costs determined by insurers.
Brand name and generic drugs.
Monthly premiums, deductibles and copays.
When you apply for Medicare, you have choices for how you receive and pay for your coverage.
Wealth | Investments | Planning Commerce Trust Company
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