What is the Health Care Situation upon Retirement?

As you age, unexpected expenses due to medical, medicines or other health care costs arise.

Certain medicines are not covered either by the Government Plan or by your personal health Care Plan. They are simply too expensive but you need them and must have them.

Your stay in a hospital may be shortened significantly. You will be transferred to a rehabilitation centre or another care facility. Make sure that you have personal health care insurance as these facilities may require that you employ your own attendants.

Please consider both Long-Term Care Insurance as well as Critical Care Insurance.

Long-Term Care Insurance is available for anyone to buy who is between the ages of 18 and 65. This insurance will pay the stated amount of the policy on a per diem basis up to $300 per day. The moneys can be used for in-home care, payment to a caregiver and payment for care in a care facility. It provides the patient the comfort of knowing that his needs will be taken care of from a financial point of view.

Critical Care Insurance pays out the amount insured for when the patient falls victim to one of 21 diseases. The amount is paid immediately upon the patient being diagnosed with the disease.

The health care facilities available to the retiree are many but in most cases is expensive ranging from $1,500 per month to $7,000 per month. They are called different names, retirement homes, assisted living centres, seniors’ homes but have one thing in common; the higher the level of service required the higher the price.

When the senior or anyone enters into a care facility, they should remember to apply for a disability certificate from their physician as this will allow them to claim this deduction on their Canadian Income Tax.