Today, Americans are making a conscious decision to work for themselves. The former American dream of climbing the corporate ladder is something that is starting to go the way of the dinosaur with flexibility now outweighing job stability.
One consideration for self employed people is health insurance. While an option is group health insurance for self-employed, there are other options too. Keep reading to learn everything you need to know about insurance coverage if you are self-employed.
The Federal and State Marketplace
A smart way to find good coverage options for those who are self-employed is through the Health Insurance Marketplace. If you are a freelancer, consultant, independent contractor, or another independent worker who doesn’t have any employees, you can enroll through the marketplace. You can choose from several different categories of coverage with plans that include low premiums. The savings you receive are dependent on the projected net income you have for the year you are applying for coverage.
Lower Premiums and Higher Deductibles
This is the most affordable plan if you are mostly interested in the month-to-month costs. While you will be paying a higher deductible, you can pay a lower premium each month, which is helpful if you and others on the plan are in overall good health and if you aren’t prone to any unexpected trauma or accident.
Each year, millions of Americans are provided with free or low-cost coverage by way of Medicaid, which includes those with a low income, families, who are older, or who have disabilities. Even if you aren’t able to qualify for Medicaid on your income alone, it is well-worth applying for, because you could be eligible in your state. With Medicaid, you don’t have to worry about an open enrollment period, which means you can apply for this coverage at any time.
Family Coverage Plans
If your spouse is employed, even if you aren’t legally married, you may be able to qualify as a domestic partnership. This is the case if you and your partner are sharing a home and if you have a domestic life together. If this is the case, you may be eligible to receive coverage under the Family Coverage Plan. This is the case as long as you and your partner aren’t married to another person.
According to the Consolidated Omnibus Budget Reconciliation Act (COBRA) you are guaranteed allowance to remain under the health insurance coverage provided by your employer, temporarily, after you have been let go or if there was a reduction in employment. The U.S. Department of Labor has made some eligibility requirements to be aware of. If you have never been employed, then COBRA would not be an option for you.
Consider Private Insurance
There are some who are more likely to use healthcare coverage than others. If you can spend more on your health insurance coverage, then choosing your insurance through a private company may be a smart option. By choosing this type of coverage, you can plan everything, down to the last detail of the coverage you purchase.
Finding the Right Coverage
If you are self-employed, there are many things you have to consider and deal with to ensure you get the insurance you need. Knowing the options is the first step in protecting yourself and ensuring you have the coverage necessary to protect yourself in the event that you become sick or injured. Consider these options and work with an insurance professional to help ensure you get the best coverage for your needs. This will pay off in the long run and give you peace of mind you have the right coverage.