Health Insurance for Retirees Abroad

Why Retire Abroad

More retirees are choosing to spend their golden years in places like Portugal, Spain, Mexico, Costa Rica, and Thailand. The appeal is clear: lower cost of living, better weather, adventure, and often a higher quality of life.

But one of the biggest challenges is healthcare. You need reliable coverage that works in your new home and gives you peace of mind as you age.

Insurance Challenges for Retirees

Getting health insurance as a retiree abroad comes with unique challenges:

• Age limits: Many international plans have enrollment age limits (often 64-74)
• Higher premiums: Costs increase significantly with age
• Pre-existing conditions: Coverage for existing health issues is often limited or excluded
• Medicare doesn't work abroad: US Medicare provides almost no coverage outside the country
• Renewability concerns: Some plans may not renew after certain ages

The key is planning ahead. Getting coverage before you turn 65 or 70 gives you more options and often better rates that lock in.

Coverage Options

Retirees abroad typically have three main options:

1. International Health Insurance

Comprehensive plans from providers like Cigna Global and Allianz Care. These work like regular health insurance with coverage for routine care, specialists, hospitalization, and prescriptions.

• Most comprehensive coverage
• Works globally or in specific regions
• Can be expensive for older enrollees
• May have enrollment age limits

2. Local Insurance in Your New Country

Many countries offer health insurance to legal residents, sometimes through public systems. For example, Spain's public healthcare is accessible to residents, and Portugal has a good public system.

• Often more affordable
• Requires legal residency
• Only covers you in that country
• Quality varies by location

3. Hybrid Approach

Many retirees combine local coverage for routine care with an international plan for major medical issues, emergencies, or travel back home.

Recommended Plans

Here are international health insurance plans commonly used by retirees abroad. Note that premiums vary significantly based on age, health, and coverage level.

Important: Prices shown are estimates for illustrative purposes. Your actual premium depends on your specific age, health history, coverage level, and destination.

Best for Comprehensive Coverage

Cigna Global and Allianz Care offer robust international coverage with good provider networks. They accept enrollees up to age 74 and offer lifetime renewability once enrolled.

Compare Cigna Global vs Allianz Care

Best for Budget-Conscious Retirees

IMG Global offers more affordable options, though coverage may be less comprehensive. Consider pairing with local coverage for a hybrid approach.

Medicare Abroad

If you're an American retiree, you've probably paid into Medicare for decades. Unfortunately, it provides almost no coverage outside the United States.

What Medicare Covers Abroad

• Emergency care on cruise ships within 6 hours of a US port (limited)
• Emergency care in Canada when traveling between Alaska and the lower 48 states
• Care in Canada or Mexico if it's the closest hospital in an emergency near the border

That's essentially it. Medicare does not cover routine care, planned procedures, or general healthcare abroad.

Should You Keep Medicare?

This depends on your plans:

• If you'll return to the US regularly: Keep Medicare Part A (free) and consider Part B for US visits
• If you're abroad permanently: You might drop Part B to save the premium, but rejoining later may cost more
• Medicare Advantage plans: Generally don't work abroad at all

Consult with a financial advisor about your specific situation before making Medicare decisions.

Pre-Existing Conditions

Pre-existing conditions are the biggest challenge for retiree coverage. Here's how insurers typically handle them:

Moratorium Underwriting

Most common approach. Conditions you've had in the past 2-5 years are excluded initially. After a period (usually 2 years) without treatment, they may become covered.

Full Medical Underwriting

The insurer reviews your complete health history and decides what to cover. May offer better coverage for some conditions, but can also result in exclusions or higher premiums.

Tips for Getting Coverage

• Apply early: The younger and healthier you are when you apply, the better your options
• Be honest: Undisclosed conditions can void your policy when you need it most
• Consider higher deductibles: This can lower premiums significantly
• Look at local options: Some countries' public systems don't exclude pre-existing conditions

Common Questions

What's the best age to get international health insurance?

As early as possible. Premiums are lower, you have more plan options, and pre-existing conditions are less likely to be an issue. Many plans lock in favorable terms if you enroll before age 65.

Can I get covered if I'm over 70?

Yes, but options are more limited. Some plans accept enrollees up to age 74 or have no age limit at all. Premiums will be higher, and pre-existing condition exclusions more common.

What about prescription drug coverage?

Most international health plans include prescription coverage. However, the formulary may differ from what you're used to. Many common medications are also cheaper in other countries even without insurance.

Should I buy insurance before or after I move?

Before. It's easier to get approved while you still have a home country address, and you'll have coverage from day one in your new location.

What if I split time between two countries?

International health insurance is designed for this. Choose a plan that covers all the countries where you'll spend time. Some plans let you adjust your coverage area annually.