Will you have company-paid health insurance when you retire? Don’t count on it!
Posted by: in Your BusinessWith the announcement yesterday from General Motors that they are slicing retiree health insurance, a lot of baby boomers are nervous. Me too. As Bill Losey would state, “I can’t guarantee SQUAT!” And neither can any employer.
My husband retired at the end of last month. His pension is secure, because it’s an annuity. I don’t see how his company could take that away. He was one of the last to be eligible for a defined benefit; his company, like many others, is going to defined contribution (401k) type plans, to control costs.
But health insurance is another matter. At present, he has coverage, but the company has stated they will cap their costs, with the retiree (us) bearing the additional cost. Ouch!
While most baby boomers won’t have a defined benefit like my husband, they will have to carefully manage their portfolios to make sure they have enough to pay for health insurance in addition to living expenses.
Are you in this situation? What will you do if your company slashes retiree health benefits? I got good information on the internet from ehealthinsurance.com. I’m going to get on this now, before we are forced to.
Tags: baby boomers, General Motors, health insurance, retirement planning
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