How to Afford Healthcare on a Tight Budget

Many seniors are worried about rising costs and the impact it is having on their retirement budget. As inflation pushes prices higher for basics such as food, gas, and housing, are you concerned about how you will afford the healthcare coverage you need on your fixed income? Here are some ways you can maximize your coverage and control your costs.

Know How Your Plan Works to Avoid Higher Costs

Whether your plan is Medicare Advantage or Original Medicare with a supplemental plan (Medigap), it’s important to understand how your plan works to avoid higher out-of-pocket costs and denied claims. Here are some tips to keep in mind:

How to Save on Your Prescriptions

Prescription medications can be very expensive, and this can be true even for people with Medicare. Most prescription drug plans use formularies, and drugs that are not on the formulary may not be covered. Plans also often use tiers of drugs with different costs, and drugs in the highest tiers can have expensive copays. Ask your Medicare Health Care Agent where your drugs fall on the formulary and what your out-of-pocket costs will be.

In some cases, people may end up paying more for prescriptions with insurance than they would if they purchased the prescription without coverage. When this occurs, it helps to know what options are available.

Additional Programs to Help with Costs

Medicare Savings Programs

There are four Medicare Savings Programs for people with limited income and resources. These programs can help save money on Medicare costs, and if you qualify you are automatically enrolled in Extra Help for prescription drug cost savings. Seniors who may not qualify for full Medicaid may still be able to enroll in the Medicare Savings Programs.

Special Needs Plans

Special Needs Plans (SNPs) cover the same healthcare services as all Medicare Advantage plans, including Medicare Part A and Part B, and are required to provide prescription drug coverage. There are several types of SNPs

To be eligible to enroll in a Medicare SNP you must meet some requirements. You must be enrolled in Original Medicare Part A and B and live in the service area of the SNP.

If you are struggling with costs and need help finding affordable healthcare coverage, please contact us. Our knowledgeable and experienced team is here to help.

Ricki Williams

Ricki Williams Insurance