Anyone planning to retire before 65 needs to price health coverage before leaving work: Medicare generally starts at 65, and without a spouse’s workplace plan, they may need to buy insurance themselves. Premiums may be much higher than expected and strain a retirement budget.
The article lists Affordable Care Act marketplace plans, COBRA and private insurance as options. ACA plans can be compared by tier, and lower-premium plans tend to have higher deductibles. Tax credits may depend on income; private plans do not qualify. With COBRA, retirees pay the full cost of keeping an employer plan, which usually lasts no more than 18 months.
Alternatives include asking a current employer about reduced hours that could preserve some employer coverage, or changing careers while staying employed. The article presents a career change as an option for people whose wish to retire early stems from burnout or boredom with their current work.
