We are in a new era of healthcare and health insurance. Our nation’s population is aging. The healthcare industry is scrambling to adapt and form new care models which will both increase the quality of care and decrease cost. The American health insurance industry is undergoing a complete overhaul as a result of the passage of the Affordable Care Act – most of which did not start taking effect until late 2014 or 2015. While debates can rage about what healthcare and health insurance reforms may be needed, the reality for those who need extensive in-patient treatment is that healthcare costs are at an all-time high. Therefore, it is critical that seniors purchase hospital and indemnity coverage in order to pay for the true cost of healthcare during hospitalization and recovery. All Americans, but especially seniors, are in a difficult position when it comes to healthcare costs. It is well established that Medicare does not pay for the entire cost of care, which is why supplemental coverage is often needed. But even this supplemental coverage is often insufficient in the face of a major medical incident. Part of the problem is that government programs like Medicare and Medicaid often do not provide enough reimbursement to healthcare providers to cover the cost of healthcare services. Therefore, healthcare providers are in the difficult position of taking a loss on the services or only applying the reimbursements to certain services. This can create large bills for both the senior receiving services and the bills of all other patients.
While it was thought that the Affordable Care Act would lower healthcare costs for seniors, the results are not as promised. The Affordable Care Act’s Platinum, Gold, Silver, and Bronze plans have featured extremely-high deductibles, many co-pays, and disappointing benefits when weighed against high premiums. Furthermore, the promise of “you can keep your plan if you want to” is only true if your insurance plan is completely self-funded. Because so many seniors have other types of insurance, along with Medicare, their insurance costs have risen while many benefits have decreased. Therefore, they are on the hook for thousands of dollars until their coverage applies in the event of a major medical event.
Hospital and indemnity coverage provides the cushion you need when facing high medical costs, high deductibles, and an uncertain array of future services and equipment you will need. You should always consult tax and insurance professionals to understand the implications of purchasing such coverage. Luckily, the hospital and indemnity coverage specialists at Senior Health Solutions, LLC are standing by to assist you. Contact us by phone at (636) 244-4415 or online . If you cannot come to us, we can come to you.
