Tips on finding health insurance in early retirement before qualifying for ACA subsidy next year?

[big-papa]

I should have said they are structured like insurance.

I'm looking at the Texas plans. They use UnitedHealthcare's Choice Plus network of providers, and have a schedule of benefits that looks like regular insurance plan. I haven't seen a copy of the contract they have with members, but presumably there is one, and it sets out when they're obligated to pay for services.

They're not regulated as an insurance company, thought, so the Texas Department of Insurance has no jurisdiction over them. That's something to be aware of, but I'm not sure it should be an absolute deal-breaker.

As I said, healthshare ministries are never obligated to pay for anything, and indemnity plans do have a contractual obligation but it's a fixed amount depending on the service and has nothing to do with how much a member has to actually pay for the service. The Farm Bureau plans behave a lot more like insurance than either of these two.

Pretty much all of the nay-saying about the Farm Bureau plans has to do with their being allowed to impose restrictions based on pre-existing conditions, and from what I've seen it comes from companies that have ACA-compliant plans that have to take everyone regardless of their health status and have to offer certain benefits (like maternity care and free preventative care), and organizations representing the conditions that qualify as pre-existing conditions, like cancer.

They say these plans don't have the "consumer protections" that ACA plans have, but then talk pretty much exclusively about being refused enrollment because of pre-existing conditions, the abolition of which is a hallmark of the ACA. That's not really a "protection" if someone has no pre-existing conditions.

Same with maternity care--someone wanting to criticize non-ACA-compliant plans could say they lack consumer protections, but does it matter if someone doesn't care if maternity care is covered or not? What are they being protected from by having it be required?

At least the KFF article was pretty clear about how it found the Farm Bureau plans lacking, instead of just kind of hiding behind the headline-friendly "they lack consumer protections."

Here's an example contract from TN's FB for one of their plans.

https://assets.fbhp.com/m/43a8f112aa92f66d/original/2026-TN-Core-Choice-Contract.pdf

Cheers.

 

[engineernerd]

What does this really mean?

Would I opt out of taking COBRA and then elect to take later if something happens...as in after the fact? That seems like I'm missing something. Can you further explain?

You don't have to decide right away, so you'd just say nothing to start with. As long as you inform your employer you are electing to take the COBRA coverage by the 60th day after you lose your employee coverage, your COBRA is effective back to that day, even if you had major health costs in that time. You'd have to pay the premium retroactively.

It could buy you a free month if nothing does happen. But you should also check how late you can sign up for an ACA plan under a Special Enrollment Period based on either loss of employer coverage or change of address.

 

[Floralscent]

Does anyone have suggestions for catastrophic health insurance in Arkansas for a 55 y.o. with a clean health record- that is priced decently and not ACA? We are willing to pay for Dr visits and minor er visits out of pocket up to the deductible we choose and want to be covered for the larger health challenges. We just need this for 6 months. Thank you

 

[FloridaJim57]

I went the COBRA route before ACA. Expensive but you get the healthcare plan you had while working. I would consider that.

 

[engineernerd]

Does anyone have suggestions for catastrophic health insurance in Arkansas for a 55 y.o. with a clean health record- that is priced decently and not ACA? We are willing to pay for Dr visits and minor er visits out of pocket up to the deductible we choose and want to be covered for the larger health challenges. We just need this for 6 months. Thank you

I do not. I doubt anyone here does. I think you may be chasing a unicorn, if you want a materially better option (much lower premiums without much greater risk) than ACA.

We here who have built up substantial portfolios to fund our retirements are more vulnerable to the financial risks presented by the U.S. health system than just about anyone else. The hospital that tried to charge my insurer $93,000 for 2 days in a room plus one hour in the operating room (for an emergency appendectomy) would have been able to attach my assets if it were not for my insurance plus the No Surprises Act.

Do not take chances with health insurance if you value keeping your financial assets. Just my 2 cents.

 

[ncbill]

Yeah, for 6 months I'd pay for COBRA to avoid any 'issues' around switching to an ACA plan.

 

[pb4uski]

...Do not take chances with health insurance if you value keeping your financial assets. ...

Think of it as wealth insurance rather than health insurance.

 

[LakeRat1]

12 years ago the Cobra Insurance offered was way to expensive.... We opted to go with CHM - Christian Healthcare Ministries ...... I have been using this for more than 12 years, this is my last year as I am turning 65 ...... Saved well over $84k in premiums for both myself and my wife until she turned 65

 

[GenXguy]

12 years ago the Cobra Insurance offered was way to expensive.... We opted to go with CHM - Christian Healthcare Ministries ...... I have been using this for more than 12 years, this is my last year as I am turning 65 ...... Saved well over $84k in premiums for both myself and my wife until she turned 65

Those healthshare ministries are pretty risky from everything I've read, but at least you've almost made it to the finish line with it.

 

[Go Bolts]

12 years ago the Cobra Insurance offered was way to expensive.... We opted to go with CHM - Christian Healthcare Ministries ...... I have been using this for more than 12 years, this is my last year as I am turning 65 ...... Saved well over $84k in premiums for both myself and my wife until she turned 65

Did you have to pray a lot with them? Or was it more like you were praying you didn't have many claims to submit to them?

Glad it worked out for you. I've heard different opinions on these "health ministries", but I have no personal experience with them.

 

[kimcdougc]

Hello...I thought I would reach out to this amazing smart group for health insurance advice for an early retire couple before they qualify for ACA in 2027.

We are retiring and relocating to Arkansas in 2 months and are looking for health insurance to get us through July to December 2026. In 2027 we will qualify for a subsidy and plan on getting health insurance through ACA.

For coverage this year, I have contacted a few agents in AR for quotes on health insurance and it seems like all they want to do is toss premiums at me and don't want to answer my questions or maybe they aren't qualified enough too (?). I had 2 strokes 5 years ago and although I have no noticeable lasting effects, it is still a pre-existing condition that tarnishes my health history.

One option I have been given is Manhattan Life and although premiums are decent, I haven't read the best reviews and I would need a rider to cover larger health events. Paying for the insurance and rider is expensive and the coverage is not really that good.

Option 2 is United Health and although coverage seems better than Manhattan, in the fine print I read pre-existing conditions aren't covered and this is something the agent hasn't shared. Agent just said United would be willing to take me on since I am near 5 years post stroke.

Does anyone have any tips on how to find the best health insurance for the rest of this year or how to find an agent that is actually helpful?

It's interesting as when I ask if they would be able to help with ACA next year, they perk up then so I am wondering if the ACA piece is the money maker for them and maybe my 6 month policy is more of a bother. I should be more excited about retiring soon but this health insurance piece is really stressing me out.

Thank you so much!!!

I don't want to scare you but my situation was we did cobra for 18 months. I live in Washington state and we did the ACA. We paid over $250,000 over 8 years for healthcare for 2. Last 2 years was just for me. We were on a $51000 fixed income. We had a $6000 deductible too. If I had to do it all over again we would have paid for medical bills out of pocket. We did not get to keep our doctors. ACA was a pain to work with. Maybe get a part time job that pays for. medical till you get Medicare at 65. Medicare has been great for the year I have had it. Wish you much luck trying to figure it all out. Those so called brokers didn't help me one bit. I did all the research on my own. At least I was educated. Again. Good Luck. Again, I live in sucky Washington state who don't give a crap about it's people.

 

[momoney]

I don't want to scare you but my situation was we did cobra for 18 months. I live in Washington state and we did the ACA. We paid over $250,000 over 8 years for healthcare for 2. Last 2 years was just for me. We were on a $51000 fixed income. We had a $6000 deductible too. If I had to do it all over again we would have paid for medical bills out of pocket. We did not get to keep our doctors. ACA was a pain to work with. Maybe get a part time job that pays for. medical till you get Medicare at 65. Medicare has been great for the year I have had it. Wish you much luck trying to figure it all out. Those so called brokers didn't help me one bit. I did all the research on my own. At least I was educated. Again. Good Luck. Again, I live in sucky Washington state who don't give a crap about it's people.

What was your monthly premium and out of pocket maximum?