Should Financial Advisors Care about Medicare?
At Doctor’s Choice we understand that finding you the right plan is important, but we also know the cost of Medicare can be scary. This opens a chance for you to consult a Financial Advisor who can help you navigate the costs of Medicare like we help you navigate plan and coverage selection. We know why you as the client care about Medicare, but what about Financial Advisors?
A typical person who is eligible for Medicare has about 50 plans to choose from. Not only are people selecting plans based on their health conditions, what they expect for the future, their drug costs or anticipated drug costs, if they will live in one state or split their time between multiple states, the list goes on and on. That’s what Doctor’s Choice specializes in. We provide clients with an understanding of the best plan to match their unique situations while being as transparent with the costs of the plan options as possible. But one thing we can’t do, help you organize your finances to afford the plan you choose. This is where financial advisors come in.
For those 65 and up, affording Medicare or healthcare in general, is one of the number one stressors in retirement. Financial Advisors can provide solace and guidance. So this article is for clients to seek out financial help from a Financial Advisor and also for Financial Advisors to get a tip that you’re needed!
First, Financial Advisors need to be aware of several important times of the year where these financial and health decisions are made: enrollment periods. Open Enrollment lasts from January to March and this is where Medicare beneficiaries can keep their plan or they can change if they are unhappy. If someone has just turned 65 they have special enrollment periods they need to follow in order to make sure they have coverage and are not charged a penalty. Annual Enrollment Period takes place from October to December and this is where people are notified of any changes to existing plans as well as the announcement of plans for the coming year. People can choose to switch plans or stay on their existing plans, taking into account any cost changes from one year to the next.
There is a financial risk with selecting a Medicare plan, or not for that matter. If an individual is 65 years old, they will need to be enrolled in Medicare (all qualifying parts) in a timely manner or else they will face penalties for life. Aside from this, selecting the wrong Medicare plan will have significant financial implications. If the coverage is not enough to match the needs of the individual, they will spend a great deal of money to cover things that may have been covered under a better fitting plan. Insurance companies charge very different premiums for policies with identical benefits. Plans cover different doctors, hospitals, prescriptions and specialists depending on the type. On top of all the differences, the plans change every year and thus what they cover and the cost of what they cover also changes annually. If someone selects a suboptimal plan, they will have to use personal savings to cover their costs. This can be devastating for routine healthcare, never mind an emergency.
Luckily Doctor’s Choice clients don’t need to worry about bias in the plans they are offered. Doctor’s Choice is an independent company that is entirely transparent in our methods. We do make commission on signing someone up for a plan, but the commission is the same for each plan and our staff is salaried to remove any bias. We use technology to take all your information and filter it through our system to find the best possible plan options. We then work with the client to sort through the costs and benefits of their options, ultimately helping them select a plan and enrolling them in the plan. We will keep them updated with any changes or adjustments to the plan and help them navigate any changes. This process for people who do not have Doctor’s Choice on their side can be scary, confusing and overwhelming. For those people they have to sort through everything on their own and can end up making the wrong decisions for their health and pockets.
What’s the solution? Well, working with Doctor’s Choice is the first step for individuals to make sure their healthcare is covered. The second step is to find a Financial Advisor to help you sort through the financial planning aspect of your healthcare. Just like Doctor’s Choice removes the concern from your plan selection, a Financial Advisor can remove the worry of “what if” and help you secure your funding for the future.
Source: https://www.thinkadvisor.com/2021/01/07/why-financial-advisors-should-take-another-look-at-medicare/