While employed full-time, many Canadians are in the fortunate position of having company-provided health and dental insurance to help offset the costs of these services that fall outside the provincial and territorial government plans.

Canadians reaching the age of 60 who have not already left the workplace are eligible for retirement pension and may choose to stop working. While it’s thrilling to reach the next chapter in one’s life, there are some less exciting new challenges. One of those challenges is finding personal health insurance coverage to pick up where government plans leave off.

Do Seniors need Health and Dental Insurance?

As part of the Canadian Medical Association (CMA) National Listening Tour, a 2019 survey found that

  • Canadians are feeling nervous about the future of their health and Canada’s health system
  • Health and healthcare top the list of personal worries and worries for Canada.
  • When asked what emotions describe how they feel when they think about the future of healthcare in Canada, 62% feel nervous, afraid or distressed about the future of healthcare
  • Canadians are concerned they will have to pay more for healthcare down the road.

And concerns about the cost of healthcare during retirement are not new. A 2014 poll published by Global News indicates that many Canadians fear the costs of health expenses as they age. That fear is well founded; the report findings indicate that, on average, respondents expect to pay $5,391 in out-of-pocket medical expenses every year after the age of 65. Average life expectancies continue to rise, and currently many healthy Canadians can expect to live for at least 15 years after retirement. It doesn’t take a lot of financial planning experience to see that high medical expenses can leave a huge hole in the retirement savings plans of many Canadians.

Prepare for your future with Health Insurance

The first and easiest consideration when preparing to offset the high costs of out-of-pocket medical expenses in retirement is to purchase health and dental insurance coverage.

At first glance, the cost of health and dental insurance premiums for older Canadians may seem high, but when stacked against the high cost of prescription drugs to manage chronic health conditions, paramedical services, and medical supplies, it becomes clear that health insurance is a necessary investment in a senior’s future well-being.

Now is the Time to Apply

While it is true that most applicants will be considered for health insurance coverage with SBIS’ wide range of options, it is best to apply as soon as possible when you learn that you are losing your health insurance benefits. Additional options are available to those who apply for benefits within 60 to 90 days of losing their group coverage. The peace of mind that comes with having insurance coverage to protect your physical and financial health simply cannot be measured.

Want to learn more?

At SBIS we have the information you need to help you make your best decisions, like these helpful articles:

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