Inflation ticked up again in August, and interest rates could be heading higher later this year (they’re already at a 22-year high). Against this backdrop, consumers need to be judicious about how they spend their money and where they keep it in the interim.
For older adults, many of whom rely upon retirement savings and Social Security, it’s particularly important to get the mix right. Seniors don’t want to pay for an extra bill if they can avoid it. But they also don’t want to leave themselves vulnerable and unprotected, particularly when it comes to their health and wellbeing.
This is where Medicare supplemental insurance comes into play. This additional insurance policy, purchased through a private company, can help fill the gap left by your other insurance types, thus avoiding unnecessary out-of-pocket costs. These policies can extend coverage protections, too, leaving policyholders with peace of mind by knowing that they’re thoroughly protected.
Should seniors buy Medicare supplemental insurance?
Every senior’s personal financial situation is different, and the benefits of one insurance type may not be applicable to another. That said, there are some compelling reasons seniors may want to buy Medicare supplemental insurance now. Here are three to know:
It can help with the remaining costs
While Medicare can be sufficient in many circumstances, it may not always cover everything the insured needs covered. And while Medicare supplemental insurance won’t necessarily offer any new protections, it can greatly assist in covering the remaining balance of your healthcare. This can include, but is not limited to, Medicare Part A and Part B deductibles, copays and any other coinsurance you may have that hasn’t completely paid for your care.
You’ll have multiple provider options
Provided that you already have Medicare, a Medicare supplemental insurance policy won’t limit your network of providers. You won’t be restricted by network guidelines and the stressful decision to use in-network or out-of-network providers. This will help keep your care cohesive and consistent. If you like your provider, you can keep your provider (again, assuming they’re already working with Medicare patients).
You’ll have flexible coverage
Unlike many other insurance types, with Medicare supplement insurance, users will be able to change or enroll in a plan at any time of the year — not just during select enrollment periods. And they’re guaranteed to be renewable. This is a major advantage for those who have pre-existing medical conditions or those who develop these issues while enrolled. These users can rest easy knowing that any adverse medical conditions that arise won’t wind up jeopardizing their coverage.
Don’t discount other help
While Medicare supplemental insurance can be a major help for many older adults, it’s not the only insurance type worth exploring. Long-term care insurance, meanwhile, could also be helpful for those seniors who need financial assistance covering items like nursing homes, assisted living facilities and even home caretakers. While it doesn’t cover the same exact realm a Medicare supplemental policy does, it could still be worth it, particularly if you can get a cost-effective and valuable policy.