Why Joe Namath May Be the Biggest Threat to Your Clients’ Retirement

Advisor Perspectives welcomes guest contributions. The views presented here do not necessarily represent those of Advisor Perspectives.

The commercials are relentless. Cleverly nestled between episodes of Matlock and Golden Girls, each ad features boomer-friendly celebrities like Joe Namath, Mike Ditka and Jimmie “JJ” Walker breathlessly imploring viewers to find out if they’re missing out on “important new Medicare benefits.” And, to do so now “before it’s too late!”

“Call the number on your screen now,” urges Broadway Joe in one Medicare Advantage plan spot. “It’s free!”

And call they do.

After all, “agents are standing by” to help them make one of the most pivotal financial decisions of their retirement… a decision that can blindside their financial advisor and throw even the most carefully crafted retirement plan for a loss.

Sometimes, a very big loss.

How ignoring healthcare costs in retirement can turn into a financial fumble

The seniors these ads target often already have very good Medicare insurance. They may be enrolled in Medicare Parts A and B with a Medigap policy (also known as a Medicare Supplement) and a Part D prescription drug plan. With this type of coverage, seniors can count on highly predictable healthcare costs. They pay monthly premiums for the Medigap policy and Part D plan but have few – if any – additional out-of-pocket costs for healthcare services.