Most retired individuals are eligible for Medicare insurance. They earn the right to benefits through years of gainful employment. Non-working spouses can also receive Medicare based on the employment history of their wage-earning spouses.
Most older adults expect Medicare to help cover their health care costs in their golden years. They may not understand the limitations on Medicare coverage. The most vulnerable older adults often have expenses that Medicare cannot cover. Families may need to help older adults prepare for Medicaid eligibility before their health declines.
What are the limits of Medicare?
Medicare does not cover elective treatments, cosmetic procedures or dental work. Additionally, Medicare does not pay for long-term care costs. Even extensive rehabilitation support required after a broken hip could exceed available Medicare coverage. Any long-term care or rehabilitative support that goes beyond 30 days may be ineligible for Medicare coverage.
As such, people who might need in-home support or a room in a nursing home as they age may want to plan in advance to ensure their Medicaid eligibility. Proper planning can help people protect their assets and reduce the risk of a frustrating penalty that delays their coverage when they need it the most.
Transferring assets to trusts and taking on co-owners can make it easier for older adults to qualify for Medicaid when they have significant support needs. Those same efforts can help preserve their resources for loved ones after they die.
Family members may need to encourage older adults to consider their future support needs and plan accordingly. Learning about the limitations of Medicare coverage can help older adults plan for potential future expenses more proactively and effectively.
