How to Retire Early AND Have Health Insurance!

Hi there and welcome to our channel my name is sarah and i'm here today with eye health brokers to talk all about health insurance options for those looking to retire early please make sure to like this video and subscribe as well stay tuned for those looking to retire early there.

Can be a lot of questions and chief amongst those is what do i do about health insurance and that's completely understandable now everybody knows that when you turn 65 you'll become eligible for medicare but what do you do if you're looking to retire early what do you do in the.

Meantime well there actually are a lot of options and we're going to go over those in today's video and please make sure that you do like this video and subscribe as well because there are some other aspects about health insurance that you should understand.

That way when it is time to enroll in medicare you enroll on time and you're not subject to a late penalty nobody wants that now if you have any questions you can reach us in the comments below or you can call us here at i health brokers at 888-410-0344 we're licensed health insurance brokers.

We're licensed in all 50 states so no matter what your question or where you are we can help and of course there is no charge for our services so the first option that i want to talk about is cobra cobra is a way for you to keep your exact same health insurance.

Should you choose to retire early now if your employer offers health insurance to more than 50 full-time employees they are required to offer cobra and that includes if you quit that's a common misconception is that a lot of people think that they're only eligible for.

Cobra if they're laid off but if you quit if you choose to voluntarily leave your company to retire early you're still eligible for cobra the only way that you're not eligible for cobra is if you're fired for gross misconduct for something like stealing and if you want to learn all.

About cobra we have a video that is all about cobra and i'll put that in the description below so like i said cobra will enable you to keep your exact same health insurance so once you've entered that enrollment period which is triggered by a qualifying event.

Which is losing your health insurance you can consider it a new open enrollment period for your health insurance so at this time you can switch options let's say you're currently enrolled on an hmo and your company offers ppos as well and you want to switch.

Or you want to eliminate your dental coverage or whatever whatever you're interested in you can do so during this time period now the only bad thing about cobra is that the costs can be a little restrictive you can plan on paying at least double.

What you're currently paying plus a two percent administrative fee so it can certainly be a little bit restrictive also you're only going to be eligible for cobra for a period of up to 18 months so if you're 64 and you're looking to retire just a little bit early then maybe cobra.

Is an option for you however if you've still got a couple of years to go well you could choose to enroll in cobra for right now but eventually you are going to need another option one more thing that i do want to mention is that cobra is not considered creditable coverage now let me explain.

What i mean when it is time to enroll in medicare sometimes people choose to defer medicare part b because they're receiving creditable coverage elsewhere and they wish to maintain that coverage instead of switching over to medicare.

Cobra is not considered creditable coverage so if you choose to remain on cobra as opposed to enrolling in medicare part b once you've turned 65 you're going to be subject to a late penalty now you may be asking myself why on earth would i do that well some people do because they have dependents.

That are on their plan under cobra but actually you can enroll in medicare and your dependents can still stay on your cobra plan usually this lasts for a period of up to 36 months so that's the first option is cobra you're going to need to contact your.

Company's hr department and make sure that you do now technically they need to contact you within a certain window but it behooves you to be proactive because should they miss that window if there's some kind of miscommunication you're the one that's going to end up in hot water also i do want to remind you.

That cobra is retroactive so if you wait a month to enroll your coverage will go back to the date of that qualifying event but so will your payment you will be responsible for the payment from that qualifying event the next option that i want to talk.

About is marketplace insurance also known as the affordable care act also known as the aca also known as obamacare now all of these plans will cover the essential benefits under the affordable care act and you can find out exactly what those are and more information.

On that's you can enroll in marketplace insurance during the open enrollment period which is every year same time from november 1st to december 15th although some states do offer longer open enrollment periods you can actually check out all the plans on that same website which is. you use the plan finder there and you can filter things out based on the type of plan that you're interested in or any specific benefits that you're looking for however we really suggest that you work with a broker a broker is a third-party liaison who work on.

Your behalf to help you navigate the pretty confusing world of health insurance now a lot of brokers actually don't charge you for their services we certainly don't so if you want our help you can reach us here at i health brokers at 888-410-034 and a lot of people ask us well if you.

Don't charge us for your services how is it that you get paid well there's actually a rate that's already baked into the premiums that you pay so whether you use a broker or you try to go directly to the carrier not something we recommend.

Or you want to do it yourself on you're actually going to be paying the exact same rate but when you work with a broker you have somebody who's working on your behalf somebody who's an expert in their field who can make sure that you get the right plan for you.

Because once you enroll in it you're going to be stuck with it for a year now you also may qualify for a special enrollment period so let's say that you quit your job to retire early well that termination of health insurance is considered a qualifying life event.

Which will trigger that special enrollment period which will enable you to enroll in a marketplace plan outside of that november december window one thing that i do want to mention with marketplace insurance is that when you compare it to that group health insurance that you've had through your employer.

There can be a little bit of sticker shock like cobra it's probably going to be more expensive than your group health insurance that you had through your employer so this is something to be aware of also one more thing in relation to cobra so cobra you can choose to.

Terminate at any time but that elective termination of cobra does not constitute a qualifying life event which means it won't trigger a special enrollment period with marketplace insurance just something to be aware of something really important that i forgot to.

Mention with regards to that sticker shock that can come with the monthly premiums of marketplace plans now you may actually be eligible for a tax credit which will lower your monthly premiums and if you're retiring early and your income falls below a certain.

Level you probably will be eligible for that tax credit which can make marketplace plans much more affordable now if you don't meet the criteria for that tax credit you may actually want to meet with an accountant a one-hour session with an.

Accountant can cost as little as 30 dollars but if they can help you to lower your taxable income to a certain point you can save thousands of dollars in monthly premiums so it's definitely worth it we have a video that's about marketplace insurance and we have a video that's all.

About how to save money on health insurance and i highly encourage you to check those out and i will put those in the description below as well now let's talk about short-term health insurance plans now these types of plans have a pretty undeservedly.

Bad reputation because there's a lot of misinformation out there and short-term medical insurance plans have majorly evolved in recent years they can be a great money-saving option i want to break down the positives and the negatives of these plans with you.

First they're very inexpensive when compared to traditional health insurance in fact a healthy single person can get a plan for less than a hundred dollars a month now they also afford many of the same benefits as aca plans including doctor's visits and prescription drug coverage another positive is that you can enroll.

At any time also they're not so short term in many states you can enroll in a plan for up to 36 months and finally another major positive is that they have nationwide ppo coverage which can be pretty hard to find in a marketplace plan all right now let's talk about the.

Negatives because they're not without negatives if you have many or a very expensive pre-existing condition they may not be ideal for you also pre-existing conditions will not be covered in the first year of a plan and they may never be covered if they're expensive or difficult to treat.

However if it's a pretty common or inexpensive pre-existing condition and you purchase one of those multi-year plans it should be covered in the second and third year another negative pregnancy is not covered by any short-term plans also they're not ideal for people with young children.

Because there's just too many doctors appointments with little kids finally they're not offered in every state short-term medical insurance like cobra is not considered creditable coverage so please do not defer medicare in favor of keeping one of these plans because then you may be subject to a late.

Penalty and nobody wants that however they really are a great option for many people and it's definitely a great way to save money now because these are not offered on the marketplace you'll need to either contact an agent of the carrier or a broker please don't go directly to.

The carrier you're not going to save any money and they can only present you with their company's plans which is going to make it much more difficult to comparison shop use a broker they'll make it easier for you and you absolutely will not pay more.

There are actually many more great options that are state specific so make sure to contact your state's medicaid office to find out what options are available to you because once you retire your income may fall below a certain level which may now make you eligible for some really great programs also make sure to check.

Out our video that's all about dental insurance to learn about your dental insurance options if you have any questions please feel free to leave them in the comments below or give us a call here at ihealthbrokers at 888-410-0344 if there are any other videos you'd like to see let us know.

And please make sure to like this video and subscribe as well to stay up to date thank you so much and have a great day bye you

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