Survey by Nationwide shows most pre-retirees concerned about Affordable Care Act, health care costs spinning out of control
According to the online survey conducted from
“Even America’s affluent workers don’t know how they will fund their health care costs in retirement and they don’t expect ObamaCare will help them,” said
The attention the ACA has received in the past year has increased the percent of pre-retirees who feel very confident to confident that they know their personal benefits and consequences of the ACA (32 percent vs. 24 percent). Yet, pre-retirees are also more likely than last year to say they expect their biggest expense in retirement to be the cost of health care (51 percent vs. 43 percent).
Many Americans like aspects of the ACA, such as guaranteed coverage and access to multiple insurers. However, most affluent boomers (64 percent) believe the ACA will be a significant drain on the U.S. economy and will do more harm than good to their employer (63 percent). More than two in five affluent boomers (45 percent) say they would delay their retirement if they had to buy their own health insurance. Over one-quarter of parents (27 percent) say they would delay their retirement in order to keep their children on their employer-based health insurance plan.
Over three in five affluent pre-retirees (61 percent) wish they understood
However, 77 percent say they have not discussed their health care costs during retirement with a professional financial advisor. Of those who have talked with an advisor, three-quarters (75 percent) discussed health care costs in retirement not covered by
To help simplify this complicated issue and encourage these discussions, Nationwide’s Personalized Health Care Assessment uses proprietary health risk analysis and up-to-date actuarial cost data such as personal health and lifestyle information, health care costs, and medical coverage to provide a meaningful, personalized cost estimate that will help clients plan for medical expenses. For those under 65, it bases its calculations on the average cost of a Silver Plan in the Affordable Care Act exchanges in their state.
“It’s much easier for advisors to have these difficult conversations when they can use a tool to provide a fact-based cost estimate based on their clients’ health risk and lifestyle,” said
Financial advisors can visit www.nationwidefinancial.com/healthcare to learn more.
This survey was conducted online within
Nationwide, a Fortune 100 company based in
The information on the Personalized Health Care Cost Assessment will be kept confidential and used to provide an estimate of a client’s potential health care costs in retirement. The estimate is based on a client’s specific situation and goals, as well as their current overall health condition. The client’s financial situation and health condition may change over time and this may affect their future changes. Please keep in mind that these estimates resulting from this fact finder are for hypothetical purposes and are not guaranteed.
1 Pre-retirees are defined as adults ages 50 or older with at least