National Retirement Planning Week 2016: April 11 - 15

National Retirement Planning Week 2016:  April 11 - 15

Division of Insurance links insurance and retirement planning

DENVER (April 12, 2016) –When you think about retirement planning, you naturally think of IRAs, 401(k)’s, pensions and other retirement savings.  But insurance is an important part of your retirement considerations.  And in the same way you have to contribute to your IRA today to be able to use it in retirement, now is the time to think about your insurance needs for the retirement years.

In conjunction with National Retirement Planning Week 2016 (retireonyourterms.org), the Division of Insurance (DOI), part of the Colorado Department of Regulatory Agencies (DORA), offers these tips on how insurance relates to your retirement.

Health Insurance

You have your current health insurance, either from an employer or bought individually.  But have you considered your health insurance options for when you retire?  If you have health insurance from your employer, know that many employers do not offer coverage to retirees.  Even if they do, it can be very expensive.  If your employer does not offer retiree coverage, you may have to buy health insurance in the individual market.  If you’re still a number of years away from retirement, you don’t have to get all of your answers now, but you should begin to understand what options could be available and what resources are available to get your questions answered.  

If you’re approaching age 65, it’s time to find out more about Medicare.   Colorado SHIP (State Health Insurance Assistance Program) can help.  SHIP is a federally funded program that in Colorado, is administered by the Division of Insurance.  SHIP counselors can provide objective, unbiased answers to your Medicare questions.  Contact SHIP at 1-888-696-7213 to be connected to a SHIP counselor in your community who can help you navigate Medicare.

Long-term care insurance

Long-term care insurance is designed to cover services you may need in your retirement years such as daily living, home health care, respite care or care in a nursing home or assisted living facility.  There are different kinds of long-term care insurance, and various considerations to determine if it’s right for you.  A key question in making that determination:  Can you afford to pay the premium for most of the rest of your life, as well as any premium increases that may be implemented in the future?  

To better understand what long-term care insurance is and what questions you need to ask of yourself and anyone selling you the insurance, contact the Division of Insurance Consumer Services team - 303-894-7490 / 800-930-3745.  

Life insurance and annuities

With life insurance, the key questions are: 1) how much insurance do you need; and 2) what type of life insurance do you want - term life, whole life or universal life.  Life insurance is usually to help your family after you pass away, however, there are types of life insurance which can actually pay out during your lifetime.  Whatever type of policy you get, you have to consider your family’s future needs, as well as your ability to continue to pay for the insurance in your retirement years.

Visit the DOI’s Life Insurance page to learn about the types of life insurance and to help you determine how much life insurance you might need.  

Annuities are often purchased for future retirement income.  An annuity is a contract in which you pay premiums to a company (typically for life insurance) in return for regular payments from the company later in your life.  

Annuities can be useful as a retirement tool, but you should understand what you are getting before signing up.  There are many kinds of annuities and before you get involved, you need to ask questions about the type of annuity, the expected payments you will receive, the length of the contract and any penalties or surrender charges if you decide to cancel the policy.  Take some time to visit the DOI’s Annuity Information page to find out more about the different types of annuities and what kind of questions to ask before you buy.  

Contact the DOI for more information

The Division of Insurance has trained experts ready to answer consumers’ insurance questions - contact the DOI at 303-894-7490 / 1-800-930-3745 (outside the Denver metro area) / DORA_insurance@state.co.us. For financial counseling, please seek out a trusted financial advisor.

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The Colorado Division of Insurance regulates the insurance industry and assists consumers and other stakeholders with insurance issues.  Visit www.dora.colorado.gov/insurance for more information or call 303-894-7499 / toll free 800-930-3745.

DORA is dedicated to preserving the integrity of the marketplace and is committed to promoting a fair and competitive business environment in Colorado. Consumer protection is our mission. Visit www.dora.colorado.gov for more information or call 303-894-7855/toll free 1-800-886-7675. 

 


Media Contact:
Vincent Plymell
Division of Insurance
p: 303-894-2261 | c: 303-910-9614