Navigating Senior Health Insurance Options
As the baby boomer generation reaches retirement age, many find themselves overwhelmed by a new level of health care complexity. This is especially true when it comes to navigating senior healthcare and Medicare insurance options. Thankfully, help is available.
The most popular option for seniors is Medicare, a federal health Learn more insurance program designed to cover some of the cost of medical care for people over the age of 65. There are several different components of Medicare, including Part A (hospital stays), Part B (physician visits), Part D (prescription drug coverage) and Part C (Medicare Advantage plans). In addition to these plans, many seniors choose to add supplemental coverage through a Medigap policy. These policies, offered by private insurance providers, can help cover costs that are not covered by Medicare, such as deductibles and copays.
During our research, we found that the majority of seniors who participated in focus groups were satisfied with their Medicare coverage, but many also struggled to make well-informed and financially sound choices. Some found the number of options confusing, and others were frustrated by the lack of a clear and consistent process for making plan changes. In addition, some beneficiaries reported relying on input from an agent or plan representative, suggestions from family and friends, or advice from online resources to help them make decisions.
Another issue that our research revealed is the amount of confusion and misinformation regarding Medicare Advantage plan benefits, coverage and provider networks. Some seniors also expressed concerns about the quality of coverage provided by Medicare Advantage plans. Additionally, many Medicare Advantage plans require members to use doctors and services within their network, meaning that seniors may end up paying more for out-of-network services.
Many seniors also have concerns about the potential for a large increase in prescription drug costs under Medicare Part D. As a result, some seniors are opting to switch their plans or even leave Medicare altogether for a different one that offers lower prescription drug prices.
Some seniors with limited incomes are eligible for Medicaid, a joint state and federal program that covers healthcare expenses for low-income individuals. Although state Medicaid programs vary, they are required to comply with federal guidelines.
When it comes to long-term care, it is vital that you consider your options and prepare for the unexpected. This is why it is important to talk to an experienced advisor who can help you understand the different types of insurance available and provide guidance as you navigate your options.