As you settle into retirement, you may have some big vacation trips planned. Now is the time to explore the places you weren’t able to in your earlier years. As you plan your vacation, there are many things to piece together, so you’re fully prepared. You’ll want to consider transportation, know where you’ll stay and what you’ll do, make a list of the necessities, and have a plan in case of an emergency.
Such emergencies may include losing your luggage, transportation cancellations, and falling ill while outside the U.S. Becoming ill while on vacation is less than ideal. No one wants to spend their time in another country inside or in a clinic. However, it is possible, so you’ll want to know just how your health insurance will cover you.
If Medicare is your primary insurance
When you’re 65 and older, Medicare will likely become part of your health insurance. When you’re choosing a Medicare plan, you may keep Medicare as primary and purchase a secondary plan. If this is the route you go, there are a few things you need to know about your coverage outside the U.S.
Original Medicare Parts A and B provide minimal coverage when you’re outside the U.S. You may have some coverage when flying over Canada en route to or from Alaska or if you’re on a cruise within 6 hours from the U.S. border. If you fall ill in either of these situations, Medicare can help cover the cost of your hospital and medical services.
Suppose you pair your Original Medicare with a Medicare Supplement plan. In that case, your Supplement plan may provide coverage beyond what Medicare provides. Six Medicare Supplement plans offer emergency coverage when traveling internationally.
How Medicare Supplement plans cover you outside the U.S.
The six Supplement plans that can provide coverage outside the U.S. are Plans C, D, F, G, M, and N. Supplement plans are secondary insurance plans you can purchase to help cover costs after Medicare. When you’re in the U.S., your Supplement plan will lower your out-of-pocket costs by paying the Medicare deductibles and coinsurance.
Whenever you’re outside the U.S. and need an emergency medical service, your Supplement plan will cover 80% of that cost after you satisfy the $250 deductible. This means you’ll pay 20% of the cost of that service. However, there are some details you’ll want to keep in mind.
First, the emergency service must be within 60 days of leaving the U.S. for your Supplement plan to help cover the cost. Second, there is a $50,000-lifetime limit, so once your plan has paid $50,000 in foreign emergency costs, you are responsible for all emergency costs. Third, the key with Supplement plans is that it must be an emergency, so life or death. If you need a visit for a sinus infection, then your Supplement plan might not cover that.
Medicare Advantage coverage outside the U.S.
You can enroll in a Medicare Advantage plan to get your Medicare benefits. This means a private insurance carrier will cover your hospital and medical services instead of the federal government. When you sign up for an Advantage plan, you are allowing the plan to manage your care. However, the Advantage plan must offer the same benefits you’d receive from Original Medicare, but they can often provide additional benefits as well.
One benefit that Advantage plans offer is worldwide emergency coverage. If you fall ill while outside the U.S. and are enrolled in a Medicare Advantage plan, you will likely need to pay upfront and then get reimbursed once you return to the U.S. However, if it is an emergency, your plan should help cover your costs. You could contact your plan before you leave for vacation to learn more about the exact process if something happens while traveling internationally.
Traveling safely
Whether you are traveling out of the country soon or thinking about a future trip, being prepared is the best way to be. You never know what can happen, so check with your Medicare plan before you leave so you’re ready to handle any situation that may come your way!
