$0-Premium Medicare Advantage vs. Medigap in Florida: The Real Yearly Cost Math Seniors Should Run Before December 7

A $0 monthly premium can look like the obvious bargain, until you compare the costs you might face when you need care. If your Medicare Advantage plan is ending or changing for 2027, the important question is not just, “What is the premium?” It is, “What could I pay over a full year, and can I keep seeing the doctors and hospitals I trust?”

About 3 million Floridians are enrolled in Medicare Advantage, but that does not mean all 3 million are losing coverage. Nationally, CMS reports that about 3.16 million Medicare Advantage enrollees face a plan termination or service-area reduction for 2027. Florida has 51 fewer plans in the 2027 lineup than in 2026, according to plan-count comparisons. The annual enrollment period for 2027 coverage runs October 15 through December 7, 2026.

Here is a side-by-side look at the annual cost math for a $0-premium Medicare Advantage plan and Original Medicare with Medigap Plan G and Part D.

What a $0-Premium Plan Actually Costs You

A $0-premium Medicare Advantage plan generally means you pay no additional monthly premium for the plan, not that your Medicare coverage is free. You still pay the standard Part B premium, and you may owe plan deductibles, copays, and coinsurance when you receive care.

For 2026, the standard Part B premium is $202.90 per month, or $2,434.80 for the year, and the annual Part B deductible is $283. These Part B costs apply whether you choose Medicare Advantage or Original Medicare with Medigap, so we separate them in the examples below. Higher-income beneficiaries may pay more.

A useful number to check on every Medicare Advantage plan is its maximum out-of-pocket limit (MOOP). For 2027, CMS landscape data put the median in-network MOOP for $0-premium plans at about $6,500; the average in-network MOOP is about $6,835. Medical-service deductibles averaged about $526. Actual plan costs vary by county and plan.

Remember, the MOOP is not an annual premium and is not necessarily a cap on every health expense. Check the plan’s documents for what counts toward the limit, how out-of-network care is handled, and how prescription costs are treated.

The Other Side of the Ledger: Original Medicare + Medigap + Part D

With Original Medicare, you can add a Medigap policy to help pay Medicare-approved cost-sharing and a separate Part D plan for prescription coverage. The premium is higher and more predictable; covered Medicare services generally bring less cost-sharing after you meet the Part B deductible.

For Medigap Plan G, you pay the Part B deductible yourself. After that, Plan G generally covers the Medicare-approved Part A and Part B cost-sharing covered by the policy. It does not cover prescription drugs, so you would typically choose a separate Part D plan.

Florida Plan G premiums can vary considerably. A broad illustrative range for a 65-year-old is roughly $130 to $396 per month, depending on carrier and location. Premiums can also vary based on factors such as age, gender, tobacco use, and the carrier’s pricing. Get a current quote for your county rather than relying on a statewide estimate. During a qualifying guaranteed-issue period, an insurer cannot deny coverage or charge more because of your health.

For 2026, the projected average premium for a stand-alone Part D plan is about $34.50 per month, although actual premiums differ by plan. The 2026 Part D out-of-pocket limit is $2,100 for covered drugs. For 2027, the standard Part D deductible is set at $700, with a $2,400 annual out-of-pocket cap for covered Part D drugs. These are prescription-drug figures, not medical-care cost limits. You can review Medigap basics and costs at Medicare.gov.

The Year-by-Year Math: Illustrative Examples

These examples are for comparison only. Costs vary by plan, county, prescriptions, providers, and the care you need. Both options include the same standard Part B premium, so it is shown separately.

Example A: $0-premium Medicare Advantage plan with a $6,500 in-network MOOP

• Annual plan premium beyond Part B: $0
• Potential in-network medical cost-sharing: up to $6,500, subject to the plan’s rules
• Standard Part B premium: $2,434.80 for 2026, paid separately

This is not a prediction that you will spend $6,500. In a healthy year, your out-of-pocket costs may be far lower. But if you need extensive covered medical care, your plan’s cost-sharing can add up. Prescription costs, noncovered services, and other costs may be treated separately.

Example B: Original Medicare + Plan G at an illustrative $165 per month + Part D

• Plan G premium: $165 × 12 = $1,980
• 2026 Part B deductible: $283
• Part D premium: $34.50 × 12 = $414
• Illustrative total: approximately $2,677 in Medigap and Part D premiums plus the Part B deductible
• Add the standard Part B premium paid under either option: $2,434.80
• Illustrative combined total: approximately $5,111.80, before prescription costs or other items not covered by this estimate

After the Part B deductible, Plan G generally covers Medicare-approved Part A and Part B cost-sharing covered by the policy. You still pay your Part D drug costs and any services Medicare does not cover.

The trade-off: In a normal year, Medigap may cost more in premiums than a $0-premium Medicare Advantage plan. In a high-use year, Medicare Advantage copays and coinsurance may exceed the premium difference, depending on the plan and the care you need. Compare the annual premium with the plan’s cost-sharing exposure, not the premium alone.

Networks, Doctors, and the Price of Flexibility

Original Medicare with a standard Medigap policy generally has no provider network: you can see any doctor or use any hospital nationwide that accepts Medicare. Medicare Advantage plans use plan networks, and provider participation can change.

That distinction matters during this enrollment season. Provider-network changes have affected many health systems, and UnitedHealthcare is losing its Lee Health network effective January 1, 2027. Before choosing a replacement plan, confirm directly with your doctors and preferred hospitals that they will participate in the exact 2027 plan, not just the insurance company generally.

The One-Way Door: Florida’s Medigap Switching Rules

Florida does not have an annual Medigap switching window or a birthday rule that lets you change Medigap policies every year without regard to underwriting. If you leave Medigap to try Medicare Advantage, you may not be able to get a Medigap policy back later without answering health questions and passing medical underwriting.

There is an important exception when your Medicare Advantage plan is discontinued or stops serving your area. Federal guaranteed-issue rules generally provide a window that begins 60 days before the MA coverage ends and runs through 63 days after it ends. During a qualifying window, you can apply for certain Medigap policies without medical underwriting. Which plan letters are available depends in part on when you first became eligible for Medicare; Plans C and F are generally limited to people eligible before 2020.

If you receive a termination or service-area notice, keep it and promptly confirm your exact deadline and available options. Do not assume you can try another Medicare Advantage plan and switch back to Medigap whenever you wish. Florida’s Medigap FAQ explains guaranteed-issue situations.

Which Path Fits You? A Quick Checklist

A $0-premium Medicare Advantage plan may be worth comparing if you:

• Want a lower monthly premium beyond Part B.
• Are comfortable using the plan’s network.
• Have checked your doctors, hospitals, prescriptions, and plan cost-sharing.
• Can prepare for the possibility of higher costs in a year when you need more care.

Original Medicare + Medigap + Part D may be worth comparing if you:

• Value broad access to providers who accept Medicare nationwide.
• Prefer more predictable cost-sharing for covered Medicare services.
• Can budget for monthly Medigap and Part D premiums.
• Want to understand your guaranteed-issue rights before making a change.

Use Medicare Plan Compare to check plans and formularies. For unbiased, free counseling, contact Florida SHINE at 1-800-963-5337 or visit floridashine.org. You can also call 1-800-MEDICARE (1-800-633-4227).

A brief 2027 budget note: Social Security announced a 3.6% cost-of-living adjustment on October 14, 2026. The 2027 Part B premium has not yet been officially announced; CMS typically releases it in November. The 2026 Trustees Report projects a standard premium of about $209.50 per month for 2027. A projection, not an official amount.

Talk With Borde & Associates in Melbourne

Borde & Associates has proudly served Melbourne and nearby communities for over a decade. If you want help comparing your options, our team can walk through the premiums, provider access, prescription coverage, and switching deadlines with you.

Explore our Medicare options, insurance and retirement solutions, and short- and long-term care resources, or contact our Melbourne team to request a consultation.

We don't offer every plan available in your area. Any information we provide is limited to the plans we do offer in your area. Please contact Medicare.gov or 1-800-MEDICARE to get information on all of your options.

This article was created by AI.

Frequently Asked Questions

Is a $0-premium Medicare Advantage plan really free?

No. You generally still pay the Part B premium and may owe deductibles, copays, or coinsurance when you receive care. Check the plan’s MOOP and what expenses count toward it.

What is the 2026 standard Medicare Part B premium?

The standard Part B premium is $202.90 per month in 2026, or $2,434.80 for the year. The 2026 Part B deductible is $283. Higher-income beneficiaries may pay more. CMS published the 2026 figures here.

Does Medigap Plan G cover the Part B deductible?

No. Plan G generally covers Medicare-approved Part A and Part B cost-sharing included in the policy after you meet the Part B deductible. You also need separate prescription drug coverage if you want Part D.

Can I switch from Medicare Advantage to Medigap in Florida without underwriting?

It depends on your circumstances. If your plan is discontinued or stops serving your area, you may have a limited guaranteed-issue period. Florida does not have a general annual Medigap switching window, so confirm your specific eligibility and deadline before changing coverage.

What is the 2027 Part B premium?

As of October 16, 2026, CMS has not announced the official 2027 standard Part B premium. The projected figure of about $209.50 per month is an estimate from the 2026 Trustees Report, not a final amount.

Most-Searched Hashtags

#Medicare #MedicareAdvantage #Medigap #MedicarePlanG #MedicareEnrollment #FloridaSeniors #MedicareCosts #MedicarePartD #MelbourneFlorida #BordeAndAssociates

 

Is Your Medicare Advantage Plan Disappearing in 2027? What 4.3 Million Beneficiaries Need to Do Before December 7

If you have Medicare Advantage or a stand-alone Medicare Part D plan, check your 2027 coverage now. KFF reported on October 27, 2026, that about 4.3 million beneficiaries are enrolled in plans scheduled to end on December 31. Separately, a KFF analysis reported October 30 projects that stand-alone Part D premiums will average $51 a month in 2027, up from $34 in 2026, if current enrollees stay in their plans.

The good news: you can compare coverage and make changes during Medicare open enrollment, which ends December 7, 2026. Taking time now to review your notice, prescriptions, doctors, and costs can help you avoid an unwanted coverage change or a higher bill.

What KFF says about 2027 Medicare plan changes

According to KFF’s October 27 analysis, the plans ending at year’s end include:

• About 3.1 million people in Medicare Advantage plans with prescription drug coverage (MA-PDs).
• About 1.2 million people in stand-alone Medicare Part D prescription drug plans (PDPs).

Among beneficiaries in individual MA-PD plans being terminated, KFF reports that Humana plans cover about 530,000, UnitedHealth Group plans about 367,000, CVS Health plans about 254,000, and Aware Integrated plans, sold under the Blue Cross name in Minnesota, about 249,000.

The number of options varies by location. On average, beneficiaries have 28 Medicare Advantage drug plan options and 9 stand-alone Part D options for 2027. That may sound like a lot, but plan availability, provider networks, and drug coverage differ by county and ZIP code.

Part D costs are changing, even if your plan continues

Plan terminations are not the only reason to review your coverage. KFF’s October 30 analysis projects that the average stand-alone Part D premium will rise from $34 to $51 a month in 2027 if enrollees remain in their current plans. KFF also reports that no zero-premium stand-alone plans are available for 2027, so people currently in a zero-premium PDP should check what their replacement options will cost.

Other projected changes include:

• The average deductible for stand-alone Part D plans is $643, up from $540 in 2026.
• The average deductible for Medicare Advantage plans with drug coverage is $489, up from $360.
• Many enrollees may face coinsurance instead of fixed copays for some medicines. Coinsurance is a percentage of a drug's cost, so your out-of-pocket amount may be less predictable.

Premiums also vary widely from plan to plan. KFF projects that average monthly premiums for the eight national stand-alone Part D plans will range from about $6.50 to $204.50 in 2027, so the plan you keep or switch to can make a real difference in what you pay each month.
These are averages, not a guarantee of what any one plan will charge. Your costs depend on the plan you choose, the medicines you take, and the pharmacies you use. KFF’s $51 projection assumes current enrollees stay in their existing plans; comparing options may reveal lower-cost coverage.

A KFF Health News report described one Virginia beneficiary whose AARP-UnitedHealthcare drug plan premium was set to rise from $39.60 to $121.90 a month. After comparing options, he found a Humana plan for $19.30. That example is not a quote or guarantee for other people, but it illustrates why checking your own costs matters.

If your plan is terminated, take these steps before December 7

If your Medicare Advantage plan or Part D plan is ending, do not assume that your coverage will continue unchanged. Start with your plan’s notice, then compare replacement choices.

1. Read your Annual Notice of Change and termination notice. Look for changes to premiums, deductibles, benefits, doctors, pharmacies, and drug coverage. If you do not see a termination notice, still review your Annual Notice of Change.
2. Make a list of your needs. Include your prescriptions and dosages, preferred pharmacies, doctors, specialists, and any services that are important to you.
3. Compare plans using the official Medicare Plan Finder. Check total estimated costs, not just the monthly premium, and confirm that your medicines, pharmacies, and providers work with the plan.
4. Make your selection by December 7, 2026. Changes made during Medicare open enrollment generally take effect January 1, 2027. See Medicare’s open enrollment information.

If you do nothing after an MA-PD plan termination, you may be automatically moved to Original Medicare (traditional Medicare). Original Medicare does not include Part D drug coverage by itself. If you need prescription coverage, you may need to enroll in a separate Part D plan. Confirm what will happen to your coverage and take action before the deadline.

Understand your Medigap guaranteed issue rights

If your Medicare Advantage plan is terminated, you qualify for a federal special enrollment opportunity to apply for a Medigap policy with guaranteed issue rights. These rights generally mean an insurer cannot deny you a policy or charge you more because of a pre-existing health condition. Contact Medicare or a knowledgeable insurance professional promptly to understand which policies are available and the deadline that applies to you.

This protection is tied to termination, not every plan change. KFF reports that about 1.4 million beneficiaries are in Medicare Advantage plans consolidating with another plan from the same insurer and will be moved automatically. A consolidation is different from a termination: federal Medigap guaranteed issue rights do not apply just because your plan is consolidating. You can still compare plans during open enrollment, but do not assume the termination-related Medigap protection applies.

A note for Florida Medicare beneficiaries

Florida is one of the country’s largest Medicare Advantage markets, and Medicare Advantage plans in Florida vary by county and ZIP code. A plan available in one community may not be offered nearby, and a familiar insurer’s 2027 coverage may have different costs, networks, or benefits.

Whether you are comparing Humana Medicare Advantage, another Medicare Advantage plan, or Original Medicare with a Medigap plan and separate Part D coverage, review the specific options available where you live. Start with the Medicare Plan Finder, and use the Borde & Associates Medicare options page to learn about local guidance in the Melbourne area. Florida seniors can also get free, unbiased plan counseling through the SHINE (Serving Health Insurance Needs of Elders) program at 1-800-963-5337.

A clear plan for the December 7 deadline

To stay organized, keep these items together:

• Your plan’s Annual Notice of Change or termination notice
• A current prescription list, including dosage
• The names of your doctors and preferred pharmacies
• Your monthly premium and expected deductible
• The plan’s provider directory, drug formulary, and out-of-pocket information

Compare the coverage you have now with the coverage you would have in 2027. If your plan is ending, make a replacement decision before December 7, 2026. If you are unsure whether your plan is terminating or consolidating, ask your plan or Medicare to clarify your status.

Talk with Borde & Associates in Melbourne

Borde & Associates PA is available to help you review Medicare coverage options and organize the questions you want answered. Contact the Melbourne team at 1900 S Harbor City Blvd. Ste 328, Melbourne, FL 32901, or call 321-36-BORDE (321-362-6733). You can also visit our Medicare options page.

We don’t offer every plan available in your area.
Submit your information and a licensed agent will contact you about your Medicare coverage options. This is a solicitation for insurance. Any information we provide is limited to those plans we do offer in your area. Please contact Medicare.gov or 1-800-MEDICARE to get information on all of your options. (TTY users should call 1-877-486-2048), 24 hours a day/7 days a week.

Frequently asked questions about Medicare plans ending in 2027

When does Medicare open enrollment end?

Medicare open enrollment for 2027 coverage ends December 7, 2026. Changes made during this period generally begin January 1, 2027.

What happens if my Medicare Advantage plan is terminated and I do nothing?

You may be moved automatically to Original Medicare. Original Medicare does not include Part D prescription drug coverage by itself, so check whether you need to choose a separate drug plan.

Can I get Medigap guaranteed issue rights if my Medicare Advantage plan ends?

If your Medicare Advantage plan is terminated, you qualify for a federal special enrollment opportunity for Medigap with guaranteed issue rights. Contact Medicare promptly to confirm the rules and deadlines that apply to your situation.

Do I have Medigap guaranteed issue rights if my plan consolidates?

Not solely because of a consolidation. KFF distinguishes plan consolidations from terminations; federal guaranteed issue rights discussed for terminated plans do not automatically apply to members moved to another plan through consolidation.

Will my stand-alone Part D premium increase in 2027?

It depends on your plan. KFF projects the average monthly premium will rise from $34 to $51 if current enrollees stay in their plans, and no zero-premium stand-alone plans are available for 2027. Compare your actual plan choices and total drug costs.

Hashtags: #Medicare #MedicareAdvantage #MedicarePartD #MedicareOpenEnrollment #Medigap #MedicarePlans #MedicareFlorida #SeniorHealth #RetirementPlanning #HealthInsurance #MedicareEnrollment #FloridaSeniors

This article was created by AI.

 

Will Your Retirement Savings Last as Long as You Do? How a Fixed Indexed Annuity Can Turn Savings Into Income for Life

Retirement can last 25, 30 years, or longer. That makes one question especially important: How long will your retirement savings last, and how can you create dependable income without putting all your savings at risk from market losses?

A fixed indexed annuity (FIA) may be one option to consider. It is an insurance contract that can protect your contract value from losses tied to a market index and, with an optional lifetime income rider, may provide guaranteed income for life. But FIAs also limit some potential gains and may restrict access to your money. Understanding both sides can help you decide whether one fits your retirement income planning.

Why Retirement Savings Run Out

Living longer is good news, but a longer retirement means your savings may need to support you for many years. A fixed withdrawal plan can become fragile when markets fall early in retirement.

Sequence-of-returns risk is the danger of receiving poor investment returns early, while you are taking withdrawals. If you must sell shares during a downturn to cover expenses, you may lock in losses and have fewer assets left to benefit from a later recovery. The timing of returns matters, not just the average return over time. Charles Schwab explains sequence-of-returns risk.

The often-discussed 4% rule is a planning benchmark based on a 30-year retirement horizon and specific assumptions. It is not a promise that your money will last. A longer retirement, higher fees, taxes, or early investment losses can make a fixed withdrawal rate less suitable for your situation. Schwab’s guide to the 4% rule discusses why retirement withdrawals need to be personalized.

When you ask, “How much do I need to retire?” it helps to consider more than a savings target. Your spending, Social Security, pension income, health, time horizon, and ability to adjust withdrawals all matter.

What Is a Fixed Indexed Annuity?

A fixed indexed annuity is an insurance contract, not an investment directly in the stock market. During the accumulation phase, your contract value is protected from losses caused by a decline in the linked index, subject to the contract’s terms. If the index rises, the insurer may credit interest based on its performance, using a method that limits or adjusts the credited gain.

Common terms include:

• Cap: The maximum interest rate that can be credited under an index strategy for a period.
• Participation rate: The percentage of index gains used to calculate credited interest.
• Spread: An amount subtracted from the index gain before interest is credited.

For example, AARP describes a hypothetical $10,000 FIA with a 10% cap linked to the S&P 500. If the index falls, the example still has $10,000 at year-end. If the index rises between 0% and 10%, the account value rises by the same percentage. If the index rises more than 10%, the credited gain is limited to 10%. In 2024, when the S&P 500 rose 23.3%, this example would have gained $1,000, not $2,330. This is an illustration, not a promise of a particular annuity rate or a description of every contract. Read AARP’s explanation of popular annuities.

What a Fixed Indexed Annuity Can and Cannot Do

When weighing annuity pros and cons, look beyond the headline of “protection” and review how the specific contract works.

An FIA can:

• Protect contract value from market-index losses during the accumulation phase, subject to contract terms.
• Lock in credited gains so that later index losses do not erase those credited gains.
• Offer an optional lifetime income rider that can provide a predictable income stream for life when activated, subject to the contract and the insurer’s ability to pay.
• Allow access to some money each year. Many contracts allow up to 10% annual access without surrender charges, but check the contract’s exact rules.
• Provide tax-deferred growth. Qualified money, such as money from certain 401(k) or IRA rollovers, may also be used, but a rollover does not make already tax-deferred money more tax advantaged.

An FIA cannot:

• Pay dividends from the linked index. Since 1926, dividends have accounted for more than 30% of the S&P 500’s total return.
• Credit gains beyond the applicable cap, participation rate, or spread.
• Provide unlimited access to your money. Surrender charges commonly apply to early withdrawals during surrender periods that often range from three to 10 years.
• Provide FDIC insurance or a guarantee from a federal agency.

FIAs are often described as a potential alternative to some bonds in a portfolio, rather than a replacement for stocks. They limit gains in exchange for protection from index losses, and they do not capture index dividends.

Turning Savings Into Income for Life

An FIA does not automatically provide lifetime income just because it protects against index losses. To create a guaranteed lifetime income stream, you may be able to add an optional annuity income rider, usually when you purchase the contract. When you activate it, the rider can provide a predictable income amount for life, according to the contract’s rules. The guarantee depends on the issuing insurer’s claims-paying ability.

Another route is annuitization: using the contract value to purchase a separate income annuity. Payments are determined by factors such as the lump sum, your life expectancy, and interest rates. Annuitization generally cannot be reversed, and you typically cannot take the lump sum back.

Before choosing, compare the terms and ask how income is calculated, when payments can begin, what happens if you take withdrawals, and whether your family may receive a death benefit. The Borde & Associates lifetime retirement income page offers more information about annuities for lifetime income.

How Safe Is the Guarantee?

Annuity guarantees are obligations of the issuing insurance company. They are not FDIC insured, and they are not guarantees from a federal agency. Before you buy, check the insurer’s financial strength ratings from agencies such as A.M. Best, Moody’s, Fitch, or S&P. Consider whether you are comfortable with the company and avoid concentrating retirement money with a single low-rated carrier.

Florida residents may have a separate backstop through the Florida Life & Health Insurance Guaranty Association, subject to eligibility and applicable limits. For covered annuities, the stated maximums are generally up to $250,000 of deferred-annuity net cash surrender value or up to $300,000 for an annuity in the benefit phase, per contract owner, per insurer. These limits do not make an annuity risk-free. See FLAHIGA’s coverage information and limitations.

Is a Fixed Indexed Annuity Right for You?

An FIA may be worth discussing if you are retired or nearing retirement and want to:

• Put a floor under losses tied to an index.
• Add predictable lifetime income alongside Social Security or pension income.
• Consider an annuity after you have made the most of available employer plan contributions.
• Set aside money you do not expect to need immediately.

It may be a poor fit if you:

• May need all your money back soon.
• Want full market upside, including dividends.
• Are uncomfortable committing part of your savings for several years.

As general guidance reported by AARP, advisers often suggest keeping no more than about 30% to 50% of a portfolio in annuities, depending on emergency cash needs, essential income needs, and risk tolerance. This is not a recommendation for your situation. Social Security already provides income similar to an annuity for many households, and you should not tie up all your retirement savings in an annuity.

If you are weighing an annuity vs. a 401(k), remember that these are different tools and may serve different purposes. An FIA funded with qualified money may preserve tax deferral, but tax treatment depends on your circumstances. Consult a tax professional before making a rollover or purchase decision.

Frequently Asked Questions

Will my retirement savings last as long as I do?

No one can know for certain. A longer retirement, spending needs, market returns, and the timing of losses all affect how long your savings last. A personalized plan can help you evaluate a range of outcomes and whether guaranteed income belongs in your plan.

How does a fixed indexed annuity protect my money from market losses?

During the accumulation phase, an FIA generally protects its contract value from declines in the linked index, subject to contract terms. Your interest credit may be limited by a cap, participation rate, or spread.

Does a fixed indexed annuity pay dividends?

No. An FIA does not pay the dividends from the index it references. Credited interest is calculated according to the contract’s index strategy.

Are annuity guarantees FDIC insured?

No. Annuity guarantees are obligations of the issuing insurance company and depend on its claims-paying ability. They are not FDIC insured.

How much of my retirement savings should go into an annuity?

There is no single amount that fits everyone. AARP reports general guidance of roughly 30% to 50% of a portfolio, depending on income needs, emergency cash, and risk tolerance. Keep liquidity needs in mind and do not commit all your retirement savings.

Talk Through Your Retirement Income Options

Borde & Associates PA has proudly served Melbourne and Florida families for over a decade. We can help you review whether a fixed indexed annuity fits your retirement income plan and explain the contract features to consider. Learn more about lifetime retirement income or contact Borde & Associates to start a conversation.

We don't offer every plan available in your area. Any information we provide is limited to those plans we do offer in your area. Please contact the Florida Department of Financial Services or your insurer for information about all options.

This article provides general information about insurance products for educational purposes. It is not investment advice or a recommendation to buy an insurance product. Please consult your own tax or legal advisors. Annuity guarantees depend on the issuing company’s claims-paying ability.

This article was created by AI.

Sources

• AARP: The Most Popular Annuities, Explained
• Charles Schwab: Understanding Sequence-of-Returns Risk
• Charles Schwab: The 4% Rule
• Florida Life & Health Insurance Guaranty Association: Frequently Asked Questions
• Borde & Associates: Lifetime Retirement Income (Annuity)

Hashtags

#Annuity #FixedIndexedAnnuity #RetirementIncome #RetirementPlanning #GuaranteedLifetimeIncome #AnnuityProsAndCons #SequenceOfReturns #RetirementIncomePlanning #FloridaRetirement #FloridaRetirementPlanning #RetireInFlorida #MelbourneFL #FloridaSeniors #LongevityPlanning #IncomeForLif

 

November Is Long-Term Care Awareness Month: What Medicare Does and Doesn't Pay For (and What It Actually Costs in Florida)

November’s Long-Term Care Awareness Month is a helpful reminder to talk about care before an illness, injury, or memory loss forces your family to make decisions quickly. One common misconception can make that conversation harder: many people assume Medicare will pay for ongoing long-term care.

In a survey of 1,200 Californians age 50 and older, just 10% understood both their likelihood of needing long-term care and how they would pay for it. Forty-three percent thought Medicare or a supplemental plan would pay, while only 18% understood that long-term care is largely paid for from personal financial resources. The figures come from research highlighted in CLTC’s November 4, 2026 announcement. They’re not a Florida survey, but they underline why families everywhere benefit from clear information.

Does Medicare Pay for Nursing Home Care?

The short answer: Medicare does not pay for ongoing long-term care when the main need is help with everyday activities such as bathing, dressing, eating, or moving around. This is often called custodial care. It can take place at home, in assisted living, or in a nursing home.

Medicare may cover a limited period of skilled nursing facility care under specific conditions. Under Original Medicare, this generally follows a qualifying inpatient hospital stay, and the care must meet Medicare’s skilled-care requirements. Coverage can last up to 100 days in a benefit period, and not everyone qualifies for the full period. In 2026, Original Medicare beneficiaries pay $0 per day for days 1 through 20 after meeting the $1,736 Part A deductible, then $217 per day for days 21 through 100. From day 101 on, all costs are your responsibility. See Medicare’s skilled nursing facility coverage details.

A Medicare Supplement plan may help pay certain Medicare cost-sharing amounts, but it does not turn Medicare into ongoing long-term care insurance. For more detail on what Medicare covers, visit Medicare.gov’s long-term care page.

Medicaid may help with eligible long-term care expenses for people who meet its financial and other requirements. Eligibility rules are specific, and people should get qualified guidance before making decisions about assets or applying.

How Much Does Nursing Home Care Cost in Florida?

The answer depends on where you live, the level of care, and the provider. Still, statewide figures can give your family a useful starting point.

The ElderCareCosts 2026 Florida Cost of Senior Care Index, published in October and based on 2025 survey data, reports these median costs:

So, how much does nursing home care cost in Florida? The reported median is about $10,342 per month. That’s a planning estimate, not a quote. Actual costs can vary with location, room type, care needs, and additional services. The same index places Florida’s assisted living median 10% below the national median and nursing home costs roughly in line with it.

In-home care can help someone remain in familiar surroundings, but 44 hours a week is not round-the-clock care. The index estimates agency home care at about $32 per hour. If a family is comparing care settings, it helps to consider not only the bill, but also who will coordinate appointments, transportation, meals, and support between paid visits.

What Does Long-Term Care Insurance Cover?

A long-term care insurance policy can help pay for covered care when the insured person meets the policy’s benefit requirements. Depending on the policy, covered services may include:

• Care in a nursing home or assisted living community
• Home health or personal care services
• Adult day care
• Help with activities of daily living, such as bathing, dressing, or eating

Benefits, limits, waiting periods, and eligibility requirements vary by policy. Review what services are covered, when benefits begin, how long they can last, and whether benefits increase over time. Long-term care insurance is not one-size-fits-all, so the right design depends on your health, budget, care preferences, and broader financial plan.

What Is the Long Term Care Insurance Cost in 2026?

There is no single long term care insurance cost. Premiums vary based on factors such as age, health, benefit amount, inflation protection, policy design, and insurer. The 2026 AALTCI Long-Term Care Insurance Price Index offers examples, but its figures are not Florida quotes.

For example, AALTCI reports an average combined annual premium of $5,010 for a couple both age 55, each buying $165,000 in initial benefits. For a couple both age 65, an example with 3% compound benefit growth averages $7,030 a year combined. The index’s age-60 comparison for an Illinois couple showed annual prices ranging from $4,591 to $7,173 for a similar benefit pool, illustrating how much rates can differ between carriers. Prices in Florida may differ, and individual underwriting matters.

Traditional policies and hybrid long term care insurance also have different trade-offs. A traditional policy is designed to provide long-term care benefits. A linked-benefit policy combines long-term care coverage with life insurance or an annuity feature, which may provide a death benefit if care is never needed. That added feature can cost more. In AALTCI’s example for a 55-year-old man, a traditional policy with a $180,000 care benefit pool costs about $1,050 per year, while a linked-benefit example with the same care pool and a minimum $120,000 death benefit costs about $3,540 per year. These are illustrations, not quotes, and the products may differ in other important ways.

Planning for Long-Term Care in Florida: Start With a Conversation

Long-term care planning is about more than paying for a facility. It can help you think ahead about where you would prefer to receive care, how your family might share responsibilities, and what resources could help pay for support.

A practical first step is to:

1. Discuss care preferences with the people you trust.
2. Estimate what different care settings could cost in your area.
3. Review savings, income, and any existing coverage.
4. Compare traditional long-term care insurance with linked-benefit options.
5. Revisit the plan when your health, finances, or family circumstances change.

For long term care insurance Florida options, an informed comparison can help you understand costs and policy features without assuming every product works the same way. Borde & Associates is proud to serve Melbourne and families across Florida. Our team helps clients compare options for life insurance with long-term care riders, annuities, and retirement planning. You can learn more about long-term care planning and retirement solutions.

When you’re ready, contact our Melbourne team or call 321-36-BORDE to discuss your questions and explore available options. We’ll help you consider your needs and compare relevant choices in a clear, supportive way. We don’t offer every plan available in your area. Plan availability and eligibility vary.

Frequently Asked Questions

1. Does Medicare pay for nursing home care?

Medicare generally does not cover ongoing custodial nursing home care. It may cover limited skilled nursing facility care when specific requirements are met, including a qualifying hospital stay under Original Medicare.

2. What is the nursing home cost per month in Florida?

The 2026 ElderCareCosts index reports a Florida median of $10,342 per month, based on 2025 survey data. Actual costs vary by provider, location, and level of care.

3. What does long-term care insurance cover?

Depending on the policy, it may help pay for eligible care at home, in assisted living, in a nursing home, or through adult day care. Benefits and eligibility requirements differ by contract.

4. How much does long-term care insurance cost?

Premiums depend on age, health, benefit levels, inflation protection, and policy type. AALTCI’s 2026 examples range widely, so use them as benchmarks rather than personal quotes.

5. What is hybrid long-term care insurance?

Hybrid, or linked-benefit, coverage combines long-term care benefits with life insurance or an annuity feature. It may offer a death benefit if care benefits are not used, but it can cost more than traditional coverage.

Sources and Further Reading

• Medicare: Long-term care coverage
• Medicare: Skilled nursing facility care
• CLTC: Long-Term Care Awareness Month announcement
• AALTCI: 2026 Long-Term Care Insurance Price Index
• ElderCareCosts: 2026 Florida Cost of Senior Care Index

Hashtags

#LongTermCareAwarenessMonth #LongTermCareInsurance #LongTermCare #LongTermCareInsuranceFlorida #DoesMedicarePayForNursingHome #HybridLongTermCareInsurance #Medicare #MedicareSupplement #RetirementPlanning #FloridaRetirementPlanning #SeniorCare #ElderCare #CarePlanning #FloridaSeniors #AgingInPlace #FinancialPlanning

This article was created by AI.