FITNESS INSPIRATION – TILLO
June 30, 2023
Retiring before age 65 presents a unique challenge: how to secure affordable health insurance until you’re eligible for Medicare. This period, often referred to as the “Medicare gap,” requires careful planning to ensure you’re covered. Here are some strategies to navigate this gap:
1. COBRA Continuation Coverage: If you retire before 65 and have health insurance through your employer, you may be eligible for COBRA continuation coverage. This allows you to keep your employer’s health plan for up to 18 months after leaving your job. However, you’ll have to pay the full premium yourself, plus a small administrative fee, which can be costly.
2. Spouse’s Insurance: If your spouse is still working and has access to employer-sponsored health insurance, you may be able to get coverage through their plan.
6. Retirement Health Savings Plan: Some employers offer retirement health savings plans, which are intended to help employees save for healthcare costs in retirement. If you have one of these plans, you can use it to pay for health insurance premiums during the Medicare gap.
Navigating the Medicare gap can be challenging, but with careful planning and research, you can find a solution that keeps you covered without breaking the bank. Remember to consider not only the cost of premiums but also out-of-pocket costs like deductibles and copayments. And, once you turn 65, be sure to enroll in Medicare – even if you have other health insurance – to avoid late enrollment penalties.
