| Forty percent of Americans believe that Medicare | | | | however, Medicare stops paying at day 100. It is |
| pays for all healthcare needs after age 65. The | | | | at this point individuals are personally and financially |
| majority of older adults are unprepared and | | | | responsible for their own care. Even if an individual |
| shocked to learn they have to pay out of pocket | | | | does not need an extended skilled nursing facility |
| for expenses they believed to be reimbursed by | | | | stay, Medicare does not pay for home care that |
| Medicare insurance. | | | | is considered non-skilled and custodial in nature. |
| Getting older and having healthcare issues can be | | | | This is actually the type of care that most |
| financially and personally disastrous especially for | | | | individuals need to remain independent at home. |
| those who are unprepared. What happens when | | | | Long term care insurance is the best option to |
| your expenses for maintaining your home and | | | | pay for this type of care, however it must be |
| your healthcare expenses exceed your income? | | | | purchased in advance of the need. |
| What happens when you require a lengthy stay in | | | | In addition to traditional Medicare Parts A and B, |
| a skilled nursing facility and have to pay $128 per | | | | there are two other options. The first is called |
| day out of pocket? Just when you thought things | | | | Part C which is a Medicare Advantage Plan. |
| could not possibly get worse, the costs start | | | | Perhaps the most common recognizable plan |
| adding up quickly. If you have not saved properly | | | | under this option is Kaiser Permanente. Kaiser |
| you may have to re-mortgage or sell your home | | | | offers benefits within a predefined network of |
| to pay healthcare bills. If you are single or | | | | doctors, hospitals and other healthcare providers. |
| widowed and lack a support system, the stress | | | | If you go to an out of network doctor, the plan |
| of the situation can wreak havoc with your life | | | | may pay a lesser benefit or none at all. Some |
| and your health. | | | | Medicare Advantage providers also offer a private |
| Medicare pays for hospitalization and inpatient | | | | fee for service plan which do not limit you to a |
| rehabilitation, hospice (Part A). The hospitalization | | | | specific network of providers. If you are |
| co-pay in 2008 is $1024 for days 1-60; $256 for | | | | concerned about lowering your total healthcare |
| days 61-90; and there are 90 renewable days | | | | costs and do not mind being limited to a network |
| assuming there are at least 60 days without a | | | | of healthcare providers, a Medicare Advantage |
| subsequent inpatient hospital admission. | | | | Plan may be beneficial. |
| Additionally, there are 60 lifetime reserve days | | | | Original Medicare is still the most popular program. |
| when the 90 renewable days are used first. The | | | | As an alternate to Medicare Part C Advantage |
| co-pay for the lifetime days is $512 per day. | | | | Plans, Medigap insurance exists. These plans are |
| After 150 days, coverage ends | | | | labeled A through L and offer various benefits |
| A skilled nursing facility stay is covered if the | | | | depending on the chosen plan. You cannot be |
| patient has been hospitalized three consecutive | | | | denied Medigap insurance if you enroll during the |
| days or if the patient enters the facility within 30 | | | | open enrollment period which is the six month |
| days of discharge from hospital for the same | | | | period beginning the first month you are covered |
| reason hospitalization occurred. Insurance covers | | | | under Medicare Part B and are age 65 or older. If |
| days 1-20 at 100 percent and for days 21-100 the | | | | you miss this window you can be denied |
| individual is responsible for a daily co-insurance | | | | coverage based on pre-existing medical conditions. |
| amount of $128 per day; at 100 days coverage | | | | Depending on the plan that you choose your |
| ends. This coverage is provided only if there is | | | | premiums may increase yearly. Some of these |
| weekly documented improvement in therapy and | | | | plans supplement traditional Medicare by paying |
| health. If documented improvement plateaus, the | | | | for Part A hospital co-pays and daily skilled nursing |
| individual is discharged back home or can continue | | | | facility co-pays. |
| to live in the skilled facility at the current private | | | | The goal is to plan ahead prior to Medicare |
| pay rate which averages $200 per day in 2008. | | | | eligibility to do investigative work to determine the |
| Medicare Part B covers physician and some | | | | best plan for you. And remember it is important |
| preventative services. There is a monthly | | | | to sign up for both Part A and Part B when the |
| payment of $96.40 per month if income is less | | | | eligibility period becomes available. Not doing so |
| than $82,000 per year. The Part B deductible is | | | | may subject you to an increase in Part B |
| $135. | | | | premiums for every period after the initial |
| Most Americans believe that Medicare pays for | | | | enrollment period. |
| long term care in traditional skilled nursing facilities, | | | | |