Growing older often leads to a slow decline in overall health. People may develop a host of different physical and cognitive challenges as they age. They may require expensive medical care to ensure their health and safety as their health changes.
While they may qualify for Medicare coverage after they retire, Medicare may not fully cover all of their support needs. Some people have enough resources set aside when they retire to cover major medical costs out of pocket, but others may end up applying for Medicaid.
The significant gaps in Medicare coverage make Medicaid benefits a necessity for many older adults. People generally need to plan ahead of time to qualify for Medicaid when they need it. Otherwise, they are at risk of a penalty that prevents them from securing benefits until they pay for their own treatment for a set number of months.
What care does Medicare not cover?
Medicare does not cover long-term care costs
There are certain niche forms of medical care that Medicare does not cover. For example, standard Medicare does not pay for cosmetic surgery or for podiatry treatments. However, it does cover basic medical care needs for older adults in a variety of situations.
Unfortunately, Medicare also limits rehabilitation support and long-term care coverage. Anyone who requires more than a few weeks at a rehabilitation facility may discover that Medicare only covers a portion of their total expenses. Those who need to move into a nursing home may find that Medicare doesn’t cover their costs at all.
Older adults often need to be able to qualify for Medicaid with little advance warning when their health suddenly changes. Without Medicaid benefits, older adults may not be able to afford the thousands of dollars per month that space in a nursing home usually costs.
Although most older adults would prefer to age gracefully and avoid nursing home care, people don’t control what happens with their health as they age. Even those who have prioritized healthy living may experience various medical challenges later in life.
Integrating Medicaid planning into overall estate planning can be a smart decision. Older adults who prepare ahead of time can qualify for Medicaid when they need it and preserve some of their resources despite requiring benefits.