When you enter retirement, you’re probably going to see a change in your medical insurance policies, and if you’re under 65, you won’t yet qualify for Medicare. That’s why it’s a good idea to give yourself a health insurance audit now and find out whether you’ll be able to carry into retirement any group health benefits you now receive through your employer.
If understanding and managing health costs in retirement causes you confusion, you’re not alone. According to a recent study conducted by Voya Financial, 42% of pre-retirees would like advice on planning for health care costs in retirement. So, sometime soon, sit down (ideally with your financial advisor) and study the health policies you now have. By determining which of your employer’s health benefits you’ll be able to keep in retirement, you may be able to maintain favorable premium rates and co-payments rather than paying more by purchasing a new policy on your own.
Finally, since your out-of-pocket health costs will more than likely rise when you enter retirement, take advantage of your employer’s medical benefits before you leave your job. Make those elective visits to your doctor, dentist, and optometrist that you’ve been putting off before there are any changes to your coverage.