Insurance to Consider When Retiring

As you approach retirement age, it’s important to evaluate all health care insurance options that may become available. After leaving your job, you will no longer be eligible to receive coverage through an employer-sponsored plan. It’s a good idea to apply for Medicare and receive maximum coverage for your healthcare expenses. However, Medicare does not cover 100 percent of all bills for senior citizens.

A supplemental insurance plan from AARP may have to be purchased in order to cover the bills that aren’t picked up by Medicare. Such a secondary plan takes care of all co-payments that are typically due before major appointments. As a matter of fact, Medicare might not even fully cover visits to the emergency room or hospitalization. Supplementary insurance packages are designed to help retired individuals save significantly on major medical expenses such as stays at the hospital or surgical procedures.

Medicare may not fully cover prescription medication. Retired individuals, who take drugs for chronic conditions, should buy a prescription plan that can reduce or eliminate hefty co-payments at pharmacies. Some chain drug stores and department stores offer their own prescription insurance that can save hundreds if not thousands of dollars per year for senior citizens.

Senior citizens might also consider buying long-term care insurance plans. Such coverage is used to pay for temporary stays at rehabilitation centers or nursing homes. For example, an elderly person might need to spend several weeks at an inpatient facility in order to recover from a major surgery. Long-term care insurance also covers some of the expenses at assisted-living facilities. Additionally, this type of plan usually offers 100 percent coverage for home care services as recommended by a physician. In-home nurse visits are sometimes included in home care services for seniors who live independently in their own properties or with some family members.

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