5 Things You Should Do Now If You Plan To Get on Medicare
Written by
J. Arky
Edited by
Ashleigh Ray
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So many Americans breathe a sigh of relief when they finally reach age 65. That’s because this is the time when they can finally get on Medicare for health insurance.
However, it’s not without some preparation during the years leading up to 65. There are numerous factors affecting how much Medicare covers, such as getting an HSA, purchasing private long-term care insurance or saving up to get the coverage that best fits your health plan in retirement.
GOBankingRates reached out to a few financial and retirement planners to find out what things you should do right now if you plan to get on Medicare in the near future.
Sign Up for Medicare Parts A and B
There’s not just one part of Medicare to enroll in, but several. Parts A and B are essential to sign up for before actually getting on Medicare.
“Make sure you sign up for Medicare Parts A and B during your initial enrollment period,” said Prestizia Insurance founder, John Crist. “Missing this window can result in penalties and gaps in coverage. Meet with an insurance agent to review your options and select plans that meet your needs.”
Marty Burbank, a Medicare expert and the owner of OC Elder Law, strongly advised researching your options and enrolling in Medicare during your Initial Enrollment Period.
“Compare Medicare Advantage plans in your area to find one that suits your needs at an affordable cost,” said Burbank. “These private plans must provide the same benefits as Parts A and B but often include extras like dental or vision.”
Researching Medicare Advantage
Or as it is frequently referred to, Part C.
“Do research on Medicare Advantage (Part C) plans in your area,” suggested Crist. “These private plans must provide at least the same benefits as Original Medicare (Parts A and B) but may offer additional benefits like dental, vision or wellness programs at a lower cost.”
Crist recommends comparing plans each year during open enrollment.
Look Into Buying Medigap
While Medicare is fairly thorough and comprehensive, it does not cover all of your medical and health costs. That’s where Medigap coverage comes into play.
“Consider purchasing Medicare Supplement Insurance (Medigap) to help pay for out-of-pocket costs like copays and deductibles,” Crist said. “A Medigap policy pays secondary to Medicare and can provide peace of mind from unexpected medical expenses.”
Burbank agreed that it’s wise to look into a Medigap policy to cover out-of-pocket costs.
“Medigap pays secondary to Medicare and provides peace of mind from unexpected medical bills,” Burbank explained. “Meet with an insurance agent to determine costs for the plans you’re interested in. They can also help create a healthcare budget for your retirement.”
Create and Review Your Healthcare Cost Budget
Most Americans who are on Medicare might also find themselves on a fixed income due to retirement. This means that you can only stretch your money so far each month, so it’s important to make a budget and go over it often to ensure you have enough funds to pay your medical expenses.
“Create a budget for your healthcare costs in retirement and review it annually,” said Crist. “Medicare covers many services, but you’ll still have premiums, copays and other out-of-pocket costs to account for.
“An insurance agent can help determine your costs based on the Medicare plans you choose.”
Stay on Top of Your Medicare Plan
Medicare is not a set-it-and-forget-it type of health coverage. You will constantly need to be checking in to make sure you do not overlook any details that might affect your enrollment, eligibility or sustained coverage.
“I’ve seen the consequences of missed deadlines and confusion about Medicare options. Don’t make these mistakes,” said Burbank.
“Do your homework, ask questions and choose plans that align with your priorities to enjoy retirement confident in your healthcare coverage. Stay up to date with changes each year during open enrollment to find the most suitable and cost-effective solution for you.”
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