Retirees Need Advisors’ Help in Transition to Medicare

"Since fewer employers offer retiree coverage, it's important that people begin to study their options early enough to make good choices based on their needs," she said.

Pre-retirees have the three-month period before and after their 65^th birthday to select their Medicare plan without penalties. "If a client is past their initial enrollment period, then financial advisors can intervene to help them make wise choices going forward," Mushcler added.

Allsup noted retirees have an average of 31 plans for prescription drug coverage and 20 Medicare Advantage plans. Retirees can also be covered by a spouse's plan or veterans' benefits, which could affect the type of Medicare plan they choose.

Workers who are older than 65 and already enrolled in Medicare may be able to apply for supplemental coverage. "Retiree coverage is secondary to Medicare, so they already would have Parts A and B, but losing their retiree group health coverage triggers their option to buy Medigap," Muschler said.

"Health care is one of the primary financial concerns for seniors, and financial advisors can reassure their clients with careful preparation and expert Medicare assistance," Muschler said.