Health care concerns and costs are still plaguing Americans of all ages, but at least some are taking steps to counter the worries, said Kristi Rodriguez, leader of the Nationwide Retirement Institute.
But – at the same time that there are some bright spots in the health care picture – a large swath of Americans are being hurt both mentally and physically by the isolation the pandemic is imposing on the population, Rodriguez said in a recent interview.
The good news is that “older people are seeking preventative care to counter the physical affects and more young people are seeking the help of advisors to counter the financial anxiety,” Rodriguez said.
A survey of 1,940 adults over the age of 24 conducted for the Nationwide Retirement Institute in May showed that social isolation resulting from the pandemic has negatively impacted the mental health 45% of Americans' and the physical health of 40% of those surveyed.
A majority said they are worried about their family's health and their own financial stability and they reported their concerns are growing, according to the survey. More than half of millennials and Gen Xers have had certain aspects of their health or finances directly impacted. Fewer boomers report the same impact. In addition, 39% of millennials and 37% of Gen Xers said Covid-19 already has impacted their retirement plans, compared to 19% of boomers.
"Health care costs have long been a stressful topic for Americans, and even more so during the Covid-19 pandemic," Rodriguez said. “Nearly three in four Americans across all generations worry more now about their family's health than they did before the pandemic. And all too often, that stress can impact their physical health as well as their mental health."
“Much of this concern, particularly for Millennials and Gen Xers, may be connected to the costs associated with health care, given nearly half report their financial health has been negatively impacted by health care costs,” the survey said. “A surprise health scare could also trigger a worse financial situation, since 27% of Americans said they would not be able to pay off an unexpected $5,000 out-of-pocket medical bill today.”
“While younger generations are more likely to report wanting to do more to prioritize their health, they are less likely to have taken the steps to address their health concerns through preventative care,” than boomers, the survey said.
More than a quarter of Americans said Covid-19 has impacted their retirement or their retirement plans. Most of those who have financial professionals said they are relying on them more than ever due to the pandemic. “As the role of financial professionals evolves amid Covid-19, it is crucial to provide guidance around health care costs in and out of retirement with clients,” Nationwide said.
"Although many adults are concerned about health care costs in retirement or in their later years, many are not having informed discussions with professionals on how to prepare," said Rodriguez. "Working with a financial professional and taking advantage of online planning tools can help adults both young and old reach their personal goals. In addition, talking about your plan with someone can help ease anxiety and reduce stress during this uncertain time."