Two of the objectively most stressful life events you can go through are moving or changing jobs. But you don't want to forget about making changes to your health coverage in the midst of all the transition. Here are some things to consider when evaluating your available health options during these life events:
Changing Jobs
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- Employer-sponsored health insurance may not end on the date you leave your job. Some plans will terminate at the end of the month that you leave the company, others may end to coordinate with pay periods, etc. so check with your HR department to see exactly when your coverage ends.
- Does your new company have a waiting period before you become eligible for health insurance benefits? Will you need to consider COBRA or short-term coverage to cover any gaps between the two plans?
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- For example, if you leave one job on May 15th but your former employer’s benefits don’t end until May 31st, and your new job with benefits starts on May 16th, you may be covered by two insurance plans. In this situation, the insurance plan from your old job will be your primary insurance for the rest of May. The new insurance coverage from your new job will be secondary until the end of May when your old plan terminates.
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- Do your doctors and pharmacies participate with your new health plan options or will you need to change doctors and pharmacies for the best coverage?
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- You may want to request a ‘Continuation of Coverage’ review so that the new policy will continue your treatment with the same doctors or medications.
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- Will you get to keep your HSA in the same bank, or will you need to consider a rollover to a new HSA account manager? Don’t forget to update your portfolio choices and beneficiaries if you do have to make a change.
- If your new employer does not offer you an HSA-compatible plan, you will no longer be able to contribute to your HSA and may even have annual fees or bank charges that your previous employer was paying for while you were employed. Consult with your financial advisor; there are HSA account managers that don’t charge fees for their management services.
Relocating
You will need to consider setting up a new medical team in your new location. The following considerations may apply:
- Finding a doctor can be daunting, but it becomes easier when you follow the necessary steps. To start, you can ask your new insurance company for a list of in-network providers in your area.
- Doctors often have patient ratings online, so you can assess if the ones you’re considering are right for you.
- Ask a co-worker, friend, or family member in the area if they have a doctor they would recommend.
- Remember to request/release your medical records from your current provider, as many doctors will ask for this when you become a new patient.
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- Your current doctor may be able to recommend a new doctor in the area, which you should confirm is going to be in-network with your new insurance plan before you go. Consider getting a referral from your current doctor as they are often required for specialist care.
- Alternatively, you can check with your new insurance for a list of in-network providers in your area.
- Consider getting a ‘vacation override’ for additional medications
- If you are not sure how long it will take you to get settled and find a pharmacy, you should consider getting an early refill or vacation override on your medications, especially on any critical or life-saving medications. In these cases, the pharmacy can call your insurance for approval to fill one month of prescription early so you have a full additional month to take with you.
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- If you want to continue seeing your current medical team, you should check if they offer telemedicine. This would allow you to complete any course of treatment while you look for a new doctor. Please note, that most health providers will need to be licensed in different states to provide care.
Take a little time to focus on your health coverage through any of life’s big transitions to ensure you don't have any gaps that could expose you to a large financial risk. Knowing your options and creating a plan in advance will give you peace of mind, and allow you to focus on your new adventure.
Last Revised May 13th, 2022
