One of the bigger hurdles of individuals who are in business for themselves is making good choices about health insurance cover for themselves and their families. Making this worse is the fact that pricing and access varies wildly by region, most states don't have any kind of standardized coverages for health care insurance policies. This can really make it it a pain to choose the right health insurance policy and policy options.
Unless one is aware of all options and all the ramifications of each choice, it can be easy to make the wrong decision. Fortunately, licensed insurance professionals who specialize in health insurance contracts are available in every state.
When a young, healthy person begins shopping around for a health insurance policy, are likely to be surprised to find that they can buy private coverage for LESS than they may have been paying for coverage through an employer's plan. This is because a group contract will charge an AVERAGE price to the entire group - the younger, healthier employees subsidize the older, less healthy employees. On a group plan, this tends to be a great deal for the older, established, less healthy employees - but not so good for the young, healthy ones.
The flip side of that is that some option are available on a group plan BECAUSE people, who won't use those options, can subsidize those who do. Coverage for pregnancy is one example of this.
Many looking for pregnancy-related coverage will be disappointed if they need an individual plan. This coverage isn't available in most areas on non group contracts.
You may not be able to find coverage for pregnancy in your area outside of an employer-sponsored medical insurance plan.. When maternity benefits are available, the pricing in combination with the "waiting period" before conception, effectively turn it into a prepayment plan.
At this time, health care insurance is regulated on a state by state basis. When considering which type of plan is desired, it's crucial to look at more than just the contract premium. There is no true "bargain" with health insurance; you really do "get what you pay for", and the lower premium quotes are usually for high deductible insurance plans; supplemental insurance policies; limited benefit plans; or even health discount plans, which aren't even regulated.
Choices available in many states for health insurance include the following:
Getting coverage through Medicaid may be an option. This is not the best option for most. This is a state run insurance program for low income, special needs, or children.
Preexisting Condition Insurance Plan - The Health Reform Act mandates every state to have this new program. These plans are for people who've been uninsured for at least six months, and cannot find an insurer willing to cover a preexisting condition that they have
High Risk Health Pool - state run program for people with preexisting conditions that can't get private coverage any other way; which is NOT Medicaid. Many states have closed their high risk health pools, in favor of the Preexisting Condition Insurance Plan, but a few still have both types of plans.
Private medical Insurance - an individual or family contract purchased either directly from an insurance company or through a licensed agent. These types of plans are best for most who qualify for them.
Medical insurance carriers are allowed to consider each person applying for insurance separately, and may accept some and say no to others. When added together, multiple eligibility criteria, multiple policy forms, multiple coverage options, multiple programs, and multiple carriers can make effective insurance shopping very difficult for the self employed individual. The services of a professional that has experience with the rules, regulations and underwriting and the evolving health insurance industry, can help compare coverages and costs to find a balance between affordability and protection.
Unless one is aware of all options and all the ramifications of each choice, it can be easy to make the wrong decision. Fortunately, licensed insurance professionals who specialize in health insurance contracts are available in every state.
When a young, healthy person begins shopping around for a health insurance policy, are likely to be surprised to find that they can buy private coverage for LESS than they may have been paying for coverage through an employer's plan. This is because a group contract will charge an AVERAGE price to the entire group - the younger, healthier employees subsidize the older, less healthy employees. On a group plan, this tends to be a great deal for the older, established, less healthy employees - but not so good for the young, healthy ones.
The flip side of that is that some option are available on a group plan BECAUSE people, who won't use those options, can subsidize those who do. Coverage for pregnancy is one example of this.
Many looking for pregnancy-related coverage will be disappointed if they need an individual plan. This coverage isn't available in most areas on non group contracts.
You may not be able to find coverage for pregnancy in your area outside of an employer-sponsored medical insurance plan.. When maternity benefits are available, the pricing in combination with the "waiting period" before conception, effectively turn it into a prepayment plan.
At this time, health care insurance is regulated on a state by state basis. When considering which type of plan is desired, it's crucial to look at more than just the contract premium. There is no true "bargain" with health insurance; you really do "get what you pay for", and the lower premium quotes are usually for high deductible insurance plans; supplemental insurance policies; limited benefit plans; or even health discount plans, which aren't even regulated.
Choices available in many states for health insurance include the following:
Getting coverage through Medicaid may be an option. This is not the best option for most. This is a state run insurance program for low income, special needs, or children.
Preexisting Condition Insurance Plan - The Health Reform Act mandates every state to have this new program. These plans are for people who've been uninsured for at least six months, and cannot find an insurer willing to cover a preexisting condition that they have
High Risk Health Pool - state run program for people with preexisting conditions that can't get private coverage any other way; which is NOT Medicaid. Many states have closed their high risk health pools, in favor of the Preexisting Condition Insurance Plan, but a few still have both types of plans.
Private medical Insurance - an individual or family contract purchased either directly from an insurance company or through a licensed agent. These types of plans are best for most who qualify for them.
Medical insurance carriers are allowed to consider each person applying for insurance separately, and may accept some and say no to others. When added together, multiple eligibility criteria, multiple policy forms, multiple coverage options, multiple programs, and multiple carriers can make effective insurance shopping very difficult for the self employed individual. The services of a professional that has experience with the rules, regulations and underwriting and the evolving health insurance industry, can help compare coverages and costs to find a balance between affordability and protection.
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