As a nation, we owe a collective debt of gratitude to the doctors, nurses, hospital support staff and first responders who are risking their own lives to help those who have contracted COVID-19.
With more than 1 million confirmed cases in the U.S. and more than 80,000 deaths due to complications of coronavirus, Americans are experiencing in a big way that nothing can be taken for granted.
Over the past year, the high cost of health care has prevented nearly one-third (32%) of American families from seeking medical treatment — including doctor visits, medications, vaccinations, annual exams and vision checks — according to a Bankrate survey published on March 12. Even before the COVID-19 pandemic, unexpected medical bills could decimate a family’s financial situation and place other goals in the back seat.
Financial advisors can take the lead in helping Americans ensure they have enough set aside to meet emergency health care expenses for themselves and members of their families, especially during periods of extreme uncertainty and volatility like this one.
Advisors can utilize modern financial planning technology solutions to work with clients to estimate how much money they would need to cover potential health care expenses (for themselves and their family members) today, in the near future and during retirement. Some of the planning tools presently available to advisors enable self-directed workflows where clients can securely input personal and health data, and then view an estimate of their likely health care costs across different phases of their lives. This can be achieved through technology system integration with providers of health care industry data.
In addition, if advisors harness financial planning tools that allow them to run unlimited scenarios, they can show clients the impact a health care emergency would have on their financial well-being given various circumstances and investment strategies — and begin planning ahead to make sure they have enough set aside for medical expenses going forward.