Unexpected Expenses Not Included in Medicare's Coverage: Discover How Retirees Can Secure Reimbursement for These Four Items
Unexpected Expenses Not Included in Medicare's Coverage: Discover How Retirees Can Secure Reimbursement for These Four Items
A significant number of elderly individuals in America obtained healthcare coverage through Medicare. Without it, their medical expenses could potentially escalate significantly.
Medicare often takes care of the majority of your health needs during retirement, but it's crucial to be aware of the services it doesn't cover. Here are four such services:
- Medicare won't cover eye examinations and the purchase of eyeglasses.
- It also doesn't cover hearing examinations and hearing aids.
- Dental care is another service not covered by Medicare.
- Lastly, Medicare does not pay for long-term care.
Given the importance of these services for seniors, it might come as a shock to learn that Medicare does not cover them. If you opt for original Medicare, you'll be responsible for these costs.
How to acquire the necessary coverage
Even though original Medicare won't cover the services mentioned above, it doesn't mean you're out of options. Given that Medicare Advantage is an alternative you can sign up for as a senior, some plans may cover these costs.
Advantage plans function much like private insurance many people have while working. These plans must at least match the level of coverage offered by original Medicare. Most Medicare Advantage plans offer additional benefits beyond what original Medicare does.
As of 2024, 99% of Medicare Advantage plans covered eye examinations and glasses, while 98% covered dental care and 96% offered hearing examinations and aids, according to the Kaiser Family Foundation.
However, if you're looking for long-term care coverage, you'll likely need to purchase a separate insurance policy. Medicare Advantage plans typically do not cover long-term care.
Long-term care insurance may not cover 100% of the cost of a home health aide, assisted living facility, nursing home, or other services. However, it may cover a significant portion of your annual bills, which could otherwise be exorbitant. For example, the average cost of an assisted living facility was $64,200 last year, according to Genworth.
Of course, the cost of long-term care insurance can be prohibitive. But if affordability is a concern, apply early. If you purchase a policy during your 50s, you might be eligible for discounts based on your age and health.
Though Medicare is an invaluable program for many seniors, its coverage might be more limited than you'd expect. Familiarizing yourself with the services Medicare does and does not cover can help you avoid unexpected financial surprises in retirement. Additionally, the more you know about Medicare's limitations, the better you can plan, whether that means exploring your options for coverage with a Medicare Advantage plan or shopping for long-term care insurance well in advance.
In retirement, managing finances effectively becomes crucial, especially when considering the costs of services not covered by Medicare. While Medicare does not cover services like eye examinations, eyeglasses, hearing examinations, hearing aids, or long-term care, there are alternative options available. For instance, some Medicare Advantage plans may provide coverage for these services, and purchasing long-term care insurance can help cover a significant portion of the expenses.