Health Insurance for the Self Employed

Self-employment is a good opportunity to work in the industry you love on your own terms. You don’t have to answer to a boss, you can set your own schedule, and you will take more pride in your work than ever before. Making the decision to be self-employed is not a decision you make lightly. You have researched the market, have the skills needed, as well as looked into taxes. One area you may not have considered is health insurance.

Being self-employed puts the issue of health insurance coverage on your shoulders. If you have a family, that can be a very heavy burden to carry. There are several options out there for you to explore. COBRA coverage from your previous employer may be available to you. Short for Consolidate Omnibus Budge Reconciliation Act, COBRA is a federally mandated program requiring businesses with over 20 employers to extend medical coverage to employees who leave. You can maintain this insurance for up to 10 years. However, you are responsible for the entire cost of the coverage. If your previous employer had been paying a portion, they will no longer be doing it for you. While being costly, it may be to your benefit if anyone on your current policy has ongoing health issues.

If you spouse is employed they may be able to get coverage you’re your family with their employer. There are also several plans available that are specific to the self-employed. If you have employees, you might consider getting a plan that will offer them health insurance coverage as well.

Another option for quality health insurance may be a benefit of a membership you have with an association. This type of insurance if often cheaper because of the number of people in the association. You may want to ask for health insurance programs with your small business administration or local chamber of commerce.

Health insurance plans for small businesses are very diverse. You will need to conduct some research to find the right type of plan that needs your needs and your budget. Some variations include the cost, deductibles, the addition of dental coverage, and if prescriptions are included. Some plans also have co-pays. All of these factors need to be considered before you decide on an insurance plan. The Internet is a great place to educate yourself on all of this information.

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