Health insurance problems as we grow older

Premiums are very high because older folks pose a higher risk for claims.

  1. Many older expatriate people move back to their own country when they become very old, thereby reducing the group of older customers insured by a health insurance company.
  2. Many older expatriate people move back to their own country because they can no longer afford private medical insurance.
  3. Insurance statistics reveal that older persons are more susceptible to expensive claims.
  4. Very few insurance companies accept applications from persons older than 65 because they are more likely to have many pre-existing medical conditions.
  5. Older persons applying for health insurance do so at a disadvantage to persons that have applied at an earlier age because the insurance company charges the same premium but does not offer full cover because of medical pre-existing conditions that are not covered.
  6. Many insurance companies do not have sufficient claims statistics for older people so it is difficult to budget fair premiums and avoid high loss-ratios.
  7. Continuous escalation of prices and costs by drug and medical device manufacturers, hospitals, physicians and other members of the medical-industrial complex drive up the premiums beyond the ability of common policy-holders to endure.
  8. As the problem of increasing premiums becomes more prevalent, private health insurers see a growing economic insecurity and shrinking risk pools.

A few questions to think about:

  1. How many professional people worry about their health insurance while they are working for a large corporation?
  2. Do you know what happens when you leave the company?
  3. Have you investigated what happens to your health insurance when you retire?
  4. Can you still be a member of the group policy even if you no longer work for that company?
  5. Will your current medical condition be acceptable to the new company you start to work for?
  6. Will the insurance company allow you to continue your insurance upon retirement?
  7. Can you continue paying premiums on an individual rate, just to keep the insurance cover continuous?
  8. Will you be forced to leave the group health policy?
  9. Has your insurance broker warned you about this future problem?
  10. Has your insurance broker offered a viable solution to this problem?


I don’t have the answers for everyone, but I am sure that there are a few professional people that are very concerned about their upcoming job change and/or retirement. They will not be allowed to stay in the group policy after retirement. They are forced to apply for a new insurance at age 60 – 65. Your insurance application at this time will require you to declare all medical conditions that developed while you were working with the company. These medical conditions were fully covered by the group health policy………..until you retired.

A few medical conditions that may be excluded from your new health insurance policy:

  • High Blood Pressure and heart problems.
  • Other circulatory problems.
  • Diabetes.
  • Cholesterol problems.
  • Cancer.
  • Auto-immune disorders.
  • Arthritis.

Your new health insurance application will have to be scrutinized by the new insurance company underwriters. The majority of health insurance companies will not cover pre-existing medical conditions. Very few health insurance companies will cover a few pre-existing medical conditions at a higher premium rate. Some companies will charge you 50% – 100% more than the standard premium to cover you with no medical exclusions. Whereas, if you had applied for health insurance with this same company at an earlier age before you developed any pre-existing medical conditions, you would only have to pay the standard premium rate…….not 50% – 100% more than any others the same age as you.


Is there a solution to this problem???

The solution is relatively simple.

Start a new health insurance policy immediately, independent of the group health policy you are currently a member of. As long as you start a new policy before you develop certain pre-existing medical conditions, you will be covered for these conditions after 2 years of continuous cover. You can rely on your company-group health policy to take care of all claims while you are working for the company, so your independent health policy will never pay for any medical claims expenses. Because of this, the premium rate for your independent policy will be very affordable………..very, very low. Admittedly, the annual premium is an added expense while you are working. But the benefits far outweigh the costs.

You have 3 choices:

  1. Stay in the company-group health insurance and start a new independent health policy while you are still healthy. Accept the added minimal premium expense each year.
  1. Or……………stay in the company-group health insurance and wait for retirement before applying for a new health insurance that might not cover your pre-existing medical conditions.
  1. Or…………….hope the insurance company will allow you to continue to stay with the group policy after you retire.

Possible results of these 3 choices:

  1. Pay standard premium rates for health insurance upon retirement and have peace-of-mind that you are fully covered for whatever happens.                                                 
  2. Face the risk of paying much higher premiums than others in your age-group and not be covered for certain pre-existing medical conditions.
  1. Lose any chance of applying for health insurance because of your age and medical condition and have to pay for all medical treatment yourself as you get older.

Anyone interested in starting an independent health policy for professionals while still covered under their existing group health policy…………contact me now! The sooner you start an independent policy, the sooner you will be able to stop worrying about your retirement health insurance problems. Once I have a sufficient number of people interested in starting an independent policy, I can start searching for an insurance company to meet your needs.

Basically, we are looking for the following conditions:

  1. The insurance policy should be low cost on entry and while you are working.


  1. An insurance policy that will complement the existing cover you already have with your group policy.


  1. Offer sufficient cover as you become older.


  1. Cover your pre-existing medical conditions upon retirement.


  1. Renewable with affordable premiums after retirement.


  1. This independent policy will include an automated system of controlling medical costs so you are treated at a fair price, regardless of your age.