The number of retirees in “health care limbo” is rising, and could rise quite a bit over the next few years.
Health care limbo is that period when a retiree is not covered by an employer or other private health plan and is too young to apply for Medicare. People get in health care limbo because they took early retirement, lost their jobs through downsizing, or their former employers cut back on retiree health benefits. Health insurance for anyone is expensive. The cost rises as you age, and can be very expensive and difficult to even get if you have a pre-existing medical condition.
The number of people effected could rise in the next few years. Since Medicare is scheduled to run out of money in a few years, there is talk of raising the eligibility age to 67. That potentially would put everyone who retires at 65 in health care limbo. President Clinton made a proposal earlier this year that would have given these people the option of buying into Medicare. But that proposal would bankrupt Medicare sooner and isn’t going anywhere.
Fortunately, you can find private sector solutions to this health care dilemma.
There are a number of options open to those in health care limbo. It might take some scratching to find coverage in your price range. but coverage is available.