Help Protect Your Retirement Savings from High Medical Costs

Don’t let a stint in the hospital or a care facility put a big dent in your savings.

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by NEA Member Benefits

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You dedicated your life to one of the most important fields you could’ve chosen: education. Now, it’s time to relax and enjoy the benefits that come with retirement.

Of course, the last thing you want to think about is spending this precious time laid up in a hospital bed. Let’s face it: Although Americans understand the importance of a healthy lifestyle, accidents happen. In 2015, the total medical costs of falls totaled more than $50 billion dollars.1 Insurance, such as The Hospital Income and Short Term Recovery Insurance Plan, can help you mitigate these costs.

Sticker shock: Can you afford a care facility or hospital stay?

If you haven’t priced a care facility lately, you may want to make sure you’re sitting down for the next statistic: In 2018, A private room in a skilled‐nursing long‐term care facility averages $275 a day, or $100,375 a year.2 Remember, you might not be able to count on health insurance to cover that huge expense, either.  

Health insurance will, however, pay for a good portion of a hospital stay, which is fortunate considering that a day in the hospital now costs nearly $4,300 on average.3 But remember, you’ll have to meet your deductible first. A study done by the National Health Expenditure Accounts estimated that out‐of‐pocket spending was approximately $338.1 billion in the U.S. in 20154.

Reality check: How would your retirement funds hold up if you landed in the hospital tomorrow? 

Your retirement savings may not provide enough of a cushion

Hopefully you’ve entered retirement feeling good about the nest egg you’ve accumulated. But despite our best intentions, life often gets in the way. Retirement savings can get sacrificed for emergencies and unexpected expenses.  

Being hospitalized is stressful enough. Add mounting medical bills to the situation and your savings may not see you all the way through your retirement years.  

Ready for the good news?

You’re a member of NEA, which provides you with valuable group insurance products. You’re backed by an organization dedicated to your well-being—even after you’ve retired. The National Education Association is committed to helping you ensure the lifestyle your family has grown accustomed to, even—and especially—when your health takes a hit.

Your safety net: The NEA CarePlus Hospital Insurance Plan

The NEA has collaborated with The Hartford to create this program that can help reduce the worry surrounding the costs of a hospital stay. 

Exclusively for NEA members and their spouses over age 65, NEA CarePlus Hospital Insurance Plan complements Medicare and your regular medical insurance by paying you (or someone you choose) a lump sum of cash that can be used to help pay medical bills that health insurance doesn’t cover.

Imagine the financial hardship, not to mention physical and mental stress, felt by a spouse who is unprepared to care for an unexpected illness or injury of the other. That’s why the NEA makes this valuable plan available to spouses of members—because the unexpected expenses that arise due to an illness or injury can be devastating if one spouse isn’t capable of caring for the other.

The best part…. Your acceptance is guaranteed*:

Here’s how this plan works to help with your medical expenses and provide additional peace of mind:

  • Pays up to $9,450.005 cash benefits for hospital and home recovery. First, pays up to $1,450.00 cash benefits for hospital and/or skilled nursing facility stays.  This means you can collect $750.00 for your covered hospital or skilled nursing facility stay starting on day one, an additional $500.00 if you’re in there for 14 days and an additional $200.00 if hospitalized or in a nursing home for more than 31 days.
  • You’ll then receive a lump‐sum cash benefit up to $8,0005 ($200 a day), payable to you or someone you choose, for home recovery expenses, in addition to your hospital benefits.
  • The plan pays a benefit for any inpatient hospital stay, not just critical illness.
  • The plan covers an unlimited number of hospital stays as long as your periods of confinement are not due to the same or related causes and are separated by 90 days.
  • You’ll never lose coverage due to health or age.
  • Your spouse or domestic partner can continue coverage—even if you die—as long as he or she meets eligibility requirements.

Claim payments to members to date exceed $250,000—more than a quarter of a million dollars in benefit checks for NEA members to use however they choose.

You may have dreamed about retirement since you cashed your very first paycheck. Do you want to jeopardize the future you’ve planned for yourself and your family by hoping you can beat the odds of needing hospitalization?

Act now: Learn more about the NEA CarePlus Hospital Insurance Plan.


NEA CarePlus Hospital Insurance Plan Fast Facts

  • Open to all NEA members and their spouses, over age 65.
  • You’ll receive a lump-sum cash benefit up to $8,0005 ($200 a day), payable to you or someone you choose, for home recovery expenses, in addition to your hospital benefits.
  • Pays in addition to Medicare and health insurance.
  • Guaranteed acceptance* without medical questions, exams or tests.

(NOTE: This insurance does not pay Medicare deductibles or coinsurance and is not a substitute for Medicare Supplement insurance. Consult https://www.neamb.com/products/nea-careplus-hospital-insurance-plan/nea-careplus-hospital-insurance-medicare-notice for details on how this plan works with Medicare.) 

In CA a/b/a Mercer Health & Benefits Insurance Services LLC.  
AR Ins. #303439  
CA Ins. Lic. #0G39709 

73273 MOM Project (12/18) Copyright 2018 Mercer LLC. All rights reserved. 

1 Centers for Disease Control, viewed at https://www.cdc.gov/homeandrecreationalsafety/falls/adultfalls.html on 12‐3‐18 
2 Genworth Financial, “Genworth 2018 Cost of Care Survey,” based on the reported average daily cost of $245. Genworth 2018 Cost of Care Survey,” https://www.genworth.com/aging-and-you/finances/cost-of-care.html viewed on 12‐3‐18 
3 “International Federation of Health Plans 2012 Comparative Price Report,” viewed at http://hushp.harvard.edu/sites/default/files/downloadable_files/IFHP%202012%20Comparative%20Price%20Report.pdf 12‐3‐2018 
4 Health Insurance Out‐of‐Pocket Costs‐ Healthpocket viewed at  https://www.healthpocket.com/individual-health-insurance/out-of-pocket-costs#.XD49RVxKhaR  12‐3‐18  
5 At age 80, home recovery benefits reduce to a maximum of 20 days per accrual year (one benefit period), and the maximum benefit is $4,000 for recovery benefits. 

THIS IS A HOSPITAL CONFINEMENT INDEMNITY POLICY.  THE POLICY PROVIDES LIMITED BENEFITS.   
This limited health benefit plan (1) does not constitute major medical coverage, and (2) does not satisfy the individual mandate of the Affordable Care Act (ACA) because the coverage does not meet requirements of minimum essential coverage.  

For residents of New York ‐ This policy provides limited benefits health insurance only. It does NOT provide basic hospital, basic medical or major medical insurance as defined by the New York State Department of Financial Services. 

*Your acceptance into this plan is guaranteed. However, insurance benefits payable are subject to your policy’s Pre‐Existing Conditions Limitation.  Please refer to the link above for more information on exclusions and limitations, such as Pre‐Existing Conditions.

All benefits are subject to the terms and conditions of the policy.  Policies underwritten by Hartford Life and Accident Insurance Company detail exclusions, limitations, reduction of benefits and terms under which the policies may be continued in force or discontinued 

AGP-5454 Policy Form Hospital Indemnity Form Series includes SRP-1151, or state equivalent. 

The Hartford® is The Hartford Financial Services Group, Inc., and its subsidiaries, including issuing company Hartford Life and Accident Insurance Company. 

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