A recent survey found that the percentage of companies participating in the survey that offer employee health benefits for retirees dropped from 32% in 2007 to 25% in 2012. (Other surveys have reported much lower numbers.) To put this disparity in perspective, nearly two-thirds of employers offered retiree group health coverage in 1988. As retiree health benefits continue to wane, advisors are stepping in to provide guidance and advice to their near-retiree clients on making good choices about health care in retirement.
In a Financial Advisor magazine post, Paula Muschler of the Allsup Medicare Advisor (AMA) explains, “Along with Medicare timing and coverage options, financial advisors can help retirees examine their anticipated health care needs and financial resources. Health care is one of the primary financial concerns for seniors, and financial advisors can reassure their clients with careful preparation and expert Medicare assistance.”
Other factors affecting the selection of a Medicare plan and coverage include a spouse’s coverage, if they are still working, their health-condition, anticipated procedures, prescription drug needs, financial resources and plans for travel and relocation in retirement. Those turning 65 have three months before and three months after their birthday to make their Medicare plan selections without penalties. If a client is past the initial enrollment window, a financial advisor can intervene and help him or her make wise choices going forward.
