Health Insurance for Seniors – Reviewing Your Choices
Health insurance for seniors should be a primary concern and top priority, especially as you approach your twilight years. Not only will being covered considerably lessen your expenses for any sicknesses or ailments that you encounter as you age, having health insurance will give you peace of mind, and ultimately, a better quality of life. You will be able to live secure in the knowledge that you won’t be burdened by excessive hospital expenses should your health ever take an unexpected turn for the worse.
If you want to get health insurance to secure your retirement, you should start by preparing for it before you actually retire. This is the wisest decision you can make considering that the older you get, the more difficult it is going to be for you to get insured on your own. It might seem a bit unfair, but the reality is your age and preexisting medical conditions are going to be hindrances whenever it comes to obtaining the kind of coverage you want. Health insurance for seniors is an important topic that can have an enormous impact on one’s life, so let’s take a look at what’s available.
Health Insurance for Seniors – Medicare
Any discussion about health insurance for seniors should begin with Medicare. This is the federal insurance program covering people 65 years old and above. Disabled individuals or those who have End-Stage Renal Disease (even if they are below the retirement age) are also eligible to become Medicare beneficiaries. However, if you’re nearing retirement, you should begin looking at your Medicare options a few months before you actually stop working.
Medicare Part A, or Hospital Insurance, is available for all senior citizens of retirement age who have paid their Social Security System contributions for ten years or more. If your Social Security payments have not reached ten years, however, you can still buy Part A coverage. For 2011, you can expect to pay as much as $450 if you don’t get premium-free Medicare.
With Medicare Part B, or Medical Insurance, all beneficiaries have to pay a monthly premium to take advantage of the benefits. If your individual income in 2009 was $85,000 or less, or joint income was $170,000 or less, your 2011 monthly premium is $115.40. Those with higher incomes can expect their monthly premiums to be higher. Part A and Part B comprise the original senior insurance Medicare plan.
Part A Medicare health insurance for seniors gives hospitalization benefits, post hospital skilled nursing care, home health care, hospice care, and blood. Part B covers medical expenses like physician’s services, outpatient medical and surgical services and supplies, clinical laboratory services like blood tests and urinalysis, home health care, outpatient hospital treatment, and blood. Should you want prescription drug coverage, you can also enroll in a Part D or a Medicare Prescription Drug Plan.
Should you decide that you want more than what the Original Medicare plans offer, you can always decide to enroll in a Part C or the Medicare Advantage Plan that offers both Hospital and Medical Insurance and other additional benefits, such as prescription drug coverage (depending on the plan).
Medicare Advantage Plans are offered by private companies approved by Medicare, and you will have to use the doctors and hospitals in the plan’s network in addition to paying another premium aside from the Part B premium. Because the costs vary by plan, you will have to check with different insurance carriers to get for the most competitive prices.
It is usually recommended that Original Medicare Plan holders enroll in a Medigap or Medicare Supplement Insurance policy provided by private insurance carriers to fill in the items not covered by your original policy. In most cases, those enrolled in a Medicare Advantage Plan won’t need a supplemental policy or can’t be sold one. As of 2010, there are 10 supplemental plans that Medicare beneficiaries can choose from, each giving different benefits that would not normally be covered under Plan A or B. These would include skilled nursing facility coinsurance and foreign travel emergencies under selected supplemental plans.
Senior Citizens Health Insurance – Other Options
But what if you weren’t able to pay Social Security taxes and are thus not eligible for Medicare at all? Are there still viable options to be considered when it comes to affordable elderly health insurance?
Don’t despair as there are still senior medical insurance options available to you.
Health Insurance for Seniors – Other Alternatives
- Fee-for-Service Insurance
- Managed Care Plans
- Association-Based Health Insurance
- Pre-existing Condition Insurance Plans
Fee-for-Service Insurance pays a portion of physician’s fees or other medical service you receive. You have the choice of going to your doctor or hospital of choice but then you’ll have to fork out more for premiums than if you had Medicare or are part of HMO or PPO plans. HMOs (Health Maintenance Organizations) and PPOs (Preferred Provider Organization) are known as managed care plans. You will also have to spend money out of pocket for copays each time you visit your physician if you’re under a managed care plan, but are typically limited to the network of providers by your chosen HMO or PPO.
If you belong to any religious or professional association, you can always ask if they offer some form of discounted health insurance for seniors. Association-Based Health Insurance has the advantage of offering cheaper premiums, although you may want to clarify how extensive the coverage is. This is often an excellent option when it comes to health insurance for seniors.
If you haven’t been insured for at least six months, have a pre-existing condition, and have been denied insurance because of this health condition, don’t despair. You can go for Pre-existing Condition Insurance Plans which give you the chance to enroll until January 2014.
In the event that you cannot really find the insurance that’s right for you, you can always talk with a few health insurance providers who may have something that will suit you. However, note that not all brokers sell certain kinds of insurance and not all of them will work with your best interest at heart. They may also cost more than if you would do the insurance-hunting yourself. Organizations like AARP also have different kinds of insurance products for their members, so it would be well-worth your while to check out what they have to offer.
As it goes with car insurance for seniors and every other type of coverage on the market today, there’s bound to be an option that fits your needs. It is now easier than ever to get health insurance for seniors so you can continue to enjoy what life has to offer.
