As you grow older, having adequate health insurance is very important because you may need more medical care than ever before. If you're like most Americans, your main source of health insurance during retirement will be Medicare. However, Medicare won't cover all your medical expenses, so unless your employer offers retiree health insurance coverage, it's a good idea to purchase a supplemental Medigap insurance policy designed to plug the gaps in your Medicare coverage.
Few retirees have the desire, or the resources, to foot the bill for their health care on their own.
Fortunately, most American retirees don't have to. They are covered by Medicare, the primary source of health insurance for individuals age 65 and older. However, you can't rely on Medicare to pay all of your health costs in retirement. Medicare doesn't cover everything, and you'll have to satisfy a deductible and make co-payments for some types of care. For this reason, you may want to consider buying a Medigap policy designed to supplement Medicare coverage.