Older adults face significant concerns about the cost of health care, as rising expenses for services, therapies, housing, food, and other essentials weigh heavily on their minds. A recent poll by the University of Michigan’s National Poll on Healthy Aging revealed that over half of respondents aged 50 and older are “very concerned” about medical care costs, long-term care, prescription drugs, health insurance, Medicare, and dental care. This anxiety is not unfounded, as one in 10 seniors have incomes below the federal poverty level, and about one in four rely solely on Social Security payments.
The affordability squeeze for older adults is due in part to traditional Medicare not covering essential services such as dental care, vision care, or home aide assistance. While private Medicare Advantage plans offer some coverage for these services, benefits are frequently limited. As a result, many older adults struggle to pay for needed care, with nearly a third reporting difficulty affording health care expenses. One in seven older adults spends a quarter or more of their average monthly budget on health care, and 44% spend between 10% and 24%.
The need for new dental, vision, and long-term care benefits for older adults is widely acknowledged, but the question of how to pay for them remains unanswered. The burgeoning aging population will make this issue even more pressing in the coming years. However, some relief is on the horizon with the implementation of the 2022 Inflation Reduction Act, which allows Medicare to negotiate the price of prescription drugs and will limit out-of-pocket drug costs for most beneficiaries to a maximum of $3,800 this year, with a $2,000 cap taking effect next year.
Older adults who are struggling to afford health care can check their eligibility for programs that help with Medicare out-of-pocket costs by contacting their local Area Agency on Agency, State Health Insurance Assistance Program, or benefits enrollment center. Persuading older adults to seek help can be difficult, as many feel pride in their ability to pay their bills and do not want to be considered poor. However, it’s important to remember that these programs are designed to help those who have paid taxes and contributed to the government throughout their lives.
