Personal Finance

I'm Relocating in Retirement. Will That Affect My Medicare Coverage?

Maurie Backman

Published: February 1, 2025 2:45 pm

There may come a time when you decide you’re ready to relocate as a retiree. It could be that you’re in an area with a high cost of living and you’re looking to stretch your nest egg further. Or, it could be that you’re tired of living in a colder climate, or far away from your grown kids and grandchildren.

Relocating in retirement could be a beneficial move in multiple regards. It could help you save money on everything from food to housing and make for a better quality of life.

But you should know that relocating in retirement could impact your Medicare coverage. So it’s important to know what to expect.

It’s a matter of the coverage you have

Whether a move to another state will impact your Medicare coverage will depend on the exact type of coverage you have. Medicare Parts A and B, which cover hospital care and outpatient services, respectively, offer universal coverage.

Put another way, Part A and Part B don’t hinge on your zip code, and you’re entitled to the same benefits no matter what part of the country you call home. But if you have a Medicare Advantage plan, you may need to change your coverage. And the same could apply if you have a Part D drug plan.

Both Medicare Advantage and Part D plans are location-specific and are generally not portable from one state or region to another. So if you’re moving to a new state, you’ll generally need to find yourself a new Advantage or Part D plan. But that could impact both your costs and as well as your level of coverage.

In fact, you should know that the number of quality plans you have available to you will hinge on where you live, or where you’re moving to. If you’re moving to a more remote part of the county, you may not have the same number of choices you do now. So it’s important to research your coverage choices before making firm plans to move — especially if your primary motivation is to save money.

What to look for in a Medicare Advantage or Part D plan

If you’re relocating, you may need new Medicare Advantage or Part D coverage. So it’s important to know what to look for.

For Medicare Advantage, check to make sure:

• There are hospitals and specialists in-network with good reputations
• The prescriptions you take regularly are covered
• Your plan’s supplemental benefits at least include dental, vision, and hearing aids (these are common among Advantage plans)

Also pay attention to cost, including whether your plan charges a premium (some Advantage plans don’t) and what your deductibles and co-pays look like.

For Medicare Part D, check to make sure:

• The prescriptions you take regularly are covered
• There are convenient pharmacies in-network

And of course, pay attention to the costs involved here as well. Like Medicare Advantage, some Part D plans don’t charge a premium, but you may be subject to a deductible. And it’s important to see what copays you’re looking at based on the specific medications you take.