ACA Premiums and Caregiving Costs Are Climbing

Key takeaways

• Compare ACA marketplace plans before open enrollment deadlines to manage rising premiums.
• Protect savings by exploring high-yield accounts, money markets and certificates of deposit.
• Understand how caregiving costs can strain health spending, retirement savings and borrowing.

Summary

ACA open enrollment and caregiving costs are putting fresh pressure on household budgets. Marketplace premiums are expected to rise by a median of 15%, so comparing plans and coverage before choosing can help enrollees prepare for coverage starting in January.

The Federal Reserve is holding its benchmark rate steady, keeping savings-account rates relatively high for now. Meanwhile, family caregivers report sharply higher out-of-pocket expenses, leading some to cut health spending, save less for retirement or take personal loans.

The key takeaways and summary were created with the assistance of generative AI. An AARP editor reviewed and refined the content for accuracy and clarity.

Full transcript

[0:00:04] Health insurance could get more expensive for millions of Americans

[0:00:07] next year, especially for older adults not yet eligible for Medicare.

[0:00:12] Premiums on the Affordable Care Act marketplace plans are expected to

[0:00:16] rise by a median of 15%, according to KFF, a health policy organization.

[0:00:23] Experts recommend shopping around and comparing coverage before choosing a plan.

[0:00:28] The enrollment period begins November 1.

[0:00:31] Most enrollees have until December 15 to sign up for coverage starting in January.

[0:00:38] The Federal Reserve is holding its benchmark interest rate

[0:00:41] steady at 3.75 to 4% this month.

[0:00:46] This is good news for savers and people living on fixed incomes, because interest

[0:00:50] rates on savings accounts will remain relatively high for the time being.

[0:00:55] Other opportunities to grow cash include money market accounts, high-yield savings

[0:01:00] accounts and certificates of deposit.

[0:01:02] The Fed will meet again in December to discuss rates.

[0:01:07] Caregiving costs have skyrocketed according to a new AARP report.

[0:01:13] Over the past five years, out-of-pocket expenses for family caregivers

[0:01:17] have increased by nearly 60%.

[0:01:21] The study points to inflation and rising household and medical

[0:01:24] expenses driving up the costs.

[0:01:27] Caregivers reported cutting back on their own health spending, saving

[0:01:31] less for retirement and taking out personal loans to make ends meet.

[0:01:36] AARP continues to fight for policies to help family caregivers, such as

[0:01:41] tax credits, affordable home care and paid job-protected family leave.