The Hidden Costs of Cancer

Due to advances in medicine and technology more and more people are surviving and beating Cancer. However, even folks who have excellent health insurance can find themselves dealing with Large Unexpected Bills.

This is because there are 2 kinds of expenses when it comes to Cancer: 

Direct Costs  and  Indirect Costs.

Direct costs of Cancer are the result of the actual treatments, medications, doctors and hospitals or clinics.

There are Copays, Coinsurance and Deductibles to be paid.

Those with a Medicare Supplement have very little financial exposure to the Direct Costs of Cancer.

However, those with a Medicare Advantage plan may quickly find themselves exposed to their maximum out-of-pocket limit. This is because Chemotherapy provided at an 

In-Network Specialist's office or Outpatient Hospital usually carries a 20% Coinsurance for the member to pay out-of-pocket.

Then, if treatment runs from the end of one year into the next, Medicare Advantage members need to be prepared to pay TWICE their maximum out-of-pocket limit, which could be as high as $14,000 to $20,000.

PPO's may cover out-of-network care but out-of network Chemotherapy may only be covered at 50%.

HMO’s have NO out-of-network coverage, so members are typically responsible for 100% of any out-of-network services.

Then there are the costs of Part D prescription drugs for Cancer (those filled at a pharmacy),  which are a whole separate expense.

Even though Part D prescription drug plans have a Catastrophic Coverage limit, the maximum those plans will ever cover is 95% with the beneficiary responsible for the remaining 5%. That 5% rate may seem small, but when it comes to Cancer drugs, it can add up to many thousands of dollars.

It's important to know that the Maximum Out Of Pocket on a Medicare Advantage Plan is ONLY for the Part A and Part B benefits. 

It does NOT include the prescription drugs! Those have NO LIMIT.

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Indirect costs of Cancer may include: 

• Loss of income due to time away from work or job loss. 
• Household expenses such as mortgage or rent, groceries and utilities.
• Childcare or Pet Care and Boarding
• Costs of travel to specialty physicians or specialty hospitals or cancer centers, airline tickets, hotels and food.

Cancer Policies:

To protect yourself and your family from the financial risks 

brought on by Cancer diagnosis and treatment, 

many insurance companies offer a Cancer Policy for relatively low premiums that are very reasonable and never go up.

These policies pay a Tax-Free, Lump Sum Benefit upon Diagnosis of Cancer.  

That money can be used for ANY Purpose, for Whatever You Wish. 

          For Example:  

                    Pay High Prescription Drug Copays (explained above)

                    Pay Off Debts,  

                    Pay Monthly Bills such as Rent or Mortgage,

                    Pay your Utility Bills or Buy Groceries,

                    Have someone help you in your home,

                    Go on a Vacation,

                    Give Money to Grandchildren,

                    Use it to allow yourself to Just Focus on Getting Better

A Lump Sum Cancer Policy is a particularly good option for those with a Family History of Cancer, as well as people who have Smoked for many years, or people who have been Exposed to Environmental Carcinogens through their work or other ways. 

An inexpensive Cancer policy with a Lump Sum Benefit is important; 

Not because of the risk of dying (where Life Insurance is important), 

but because of the Likelihood of Surviving and finding oneself in debt. 

A Cancer policy can help prevent having to Spend Savings or Sell Assets and Property such as a Home.