Skip to main content

Health Insurance Tips For Self-Employed Individuals

A challenging job market and high unemployment rates have prompted many Americans to turn to entrepreneurship and freelancing. However, whether you are new to the world of self-employment or have been self-employed for some time, health insurance is probably not leading your priority list. 

But, maybe it should. After all, the last thing that any self-employed individual wants is for unforeseen medical expenses to slow them down.

Alongside making healthcare more accessible, health insurance companies also let policy holders benefit from the discounted rates negotiated with many healthcare providers. Besides, health insurance puts a financial cap on your liability for injuries or accidents. If you are medically uninsured or are looking for better insurance options, the tips offered in this blog may help. 

Health Insurance Tips for Self-Employed Individuals:

The ideal policy is one that strikes the kind of balance between healthcare coverage, deductibles, and premiums that make the most sense for the buyer. Self-employed people looking for a health insurance plan should:

1. See Insurance As An Investment Into Financial Wellbeing:

Health insurance does not only make healthcare facilities more accessible to you, but it also shields you financially. 

Even though most Americans cite high costs as the primary cause for not getting medical coverage, it is actually the out-of-pocket medical expenses that force many individuals and businesses into bankruptcy. 

2. Shop Around:

To get the best possible healthcare insurance package, you need to have a high-level knowledge and understanding of the options available to you. You could buy a policy directly from an insurance company, but the company is unlikely to show you how their packages stack up against those of its competitors. 

For this reason, you should consider buying through a licensed insurance agent. This allows you to compare insurance rates, plans, and benefits, go through customer reviews and testimonials and eventually make a more informed choice. 

Also, since the state department of insurance regulates the insurance prices within the state, there will be no price discrepancy, whether you purchase online or offline. 

3. Try Locking In The Rate:

When buying private insurance, keep in mind that your provider may increase your premium from time to time. 

You can try shielding yourself against this increase by negotiating a ‘rate guarantee’. Some insurance companies agree to lock in your premium rates for the first year of the policy while others may be willing to do it for a longer period in exchange for an additional fee. For instance, a provider may lock your rate in for the first 12 months and offer to extend this guarantee to 24 months in exchange for an additional monthly payment of $20. 

Do the math to make sure that this additional monthly charge financially beneficial compared to a periodic rate increase. 

 Final Word:

To sum up, health insurance is one of the smartest investments that a self-employed individual could make. Not only does it make healthcare more affordable for you, it also limits your financial liability in case of injury or accident claims. 

To learn more about your individual health insurance options, please feel free to reach out to us.