Health insurance is important to all of us, and Medicare stands out as our option as we get older so we don’t have to rely on our employer to provide medical insurance. Beyond looking forward to it, many people don’t understand how Medicare works. Do you know what it will cover in your golden years? Unfortunately, Medicare and health insurance are not the silver bullet that retirees hope it will be. By the time you realize what Medicare and health insurance do not cover, it is often too late to make alternative plans ahead of time. Let’s discuss some things that are NOT covered by Medicare and typical health insurance plans.
Medicare Doesn’t Cover…
When learning about Medicare, it is like learning the ABC’s all over again. Part A, Part B, Part C and Part D all cover different aspects of healthcare. Part A and B cover a large portion of medical expenses after someone turns 65. But just because it covers a large part, doesn’t mean it covers what is important to everyone. Many new enrollees are surprised to discover that basic Medicare (Part A and B) does not cover a variety of health-care expenses that can hit retirees pretty hard in the wallet.
A big gap in Medicare coverage is long term care (LTC). Medicare provides some coverage for short term skilled nursing services but not for custodial care, such as help with performing activities of daily living like bathing, dressing and eating. Medicare covers acute medical issues. It does not cover the long term custodial care that many people need in order to stay in their home. Medicare also doesn’t cover Assisted Living or Personal Care Homes. According to the Administration for Community Living, someone turning 65 has a 70% chance of needing advanced health care services for an average of at least two years. These services are not covered by Medicare or private health insurance.
Additionally, comfort items such as a hospital phone, TV or private room aren’t covered should this be needed.
Health Insurance Doesn’t Cover…
Since most adults are familiar with health insurance, many know that plans are medically focused- they cover the medical care that you prove to need.
Like with Medicare, health insurance doesn’t cover private nursing or LTC. Whether we are talking about a nursing home, assisted living facility, or care at home, those expenses will likely be coming out of your own pocket. These LTC expenses quickly add up.
The Bottom Line Is…
There are always options when researching the best way to spend the latter years of your life. Planning for the future can begin at any time, especially with Providence At Home. Strategically mapping out the future provides a clear path for your way of living, especially if extra help is needed. Our team can guide, care for, and support you whenever you need it.