Nationwide Develops Program to Assist with Healthcare Planning
As financial advisers strive to take a more holistic approach to retirement planning for their clients, Nationwide found in a survey of advisers that not enough of them are bringing healthcare costs into the equation. John Carter, president of Nationwide Financial Distributors, told PLANADVISER that one of the primary reasons advisers are not talking about healthcare with clients is that they feel that they don’t have a deep enough understanding of the subject matter themselves. For this reason, Nationwide created the Personal Health Care Assessment program.
Developed by physicians and actuaries, the Personal Health Care Assessment program uses proprietary health risk analysis and actuarial cost data, such as personal health and lifestyle information, health care costs and medical coverage, which is analyzed by the program to create a personalized cost estimate to help users plan for future medical expenses.
This way, said Carter, the 93% of advisers who are uncomfortable discussing healthcare with clients will have a tool to support them in what could be an otherwise difficult conversation.
“Many American aren’t thinking about – much less planning for – their health care costs in retirement. Many assume their employers will continue to pay their premiums during retirement or believe that Medicare will cover all health care expenses,” he said. Even though the truth of the matter is that Medicare does not cover long-term care. This lack of understanding presents a huge opportunity for advisers, he concluded.