Vivian Ayala & Elis Rosado

In the US, a $70K earner with coverage at 2x salary leaves $140K. Funeral costs, catch-up bills, and mortgage payments can reduce that quickly.
The gap matters because income replacement lasts years. The guideline of 10-12x income aimed to cover debts, childcare, and lost earning time.
Another risk: workplace coverage stays tied to the job. Leaving, layoffs, or retirement ends protection, and buying new coverage later can become costly or unavailable.
Employer-sold supplemental coverage can carry the same portability problem, and rates climb in 5-yr age bands. Shopping 20- or 30-yr term early can help.
Start by subtracting employer coverage from a 10-12x income target. A healthy 30-yr-old could lock $500K of 20-yr term near $25-$30 monthly.

Employer Life Insurance May Not Be Enough

A planning estimate put average retirement health care spending for a 65-year-old retiring in 2026 at $185.5K, showing medical costs can extend well beyond Medicare.
Research found more than half of pre-retirees mistakenly expected Medicare to cover all retirement health expenses, even as premiums climbed faster than retirement benefit adjustments.
Original Medicare excluded routine dental, vision exams for glasses, hearing aids, and long-term custodial care, leaving retirees to plan for major uncovered needs.
Covered services still carried costs: Part B reached ~$203 monthly in 2026, plus a deductible, ~20% coinsurance, and added surcharges above income thresholds.
The guidance: review Medicare gaps early, compare Medigap options during the one-time enrollment window, and use health savings accounts to build reserves before eligibility.