For Your Health: Self Employed Health Insurance
One of the major hassles of being self employed is the need to find an affordable health insurance plan that doesn't break the bank as you're trying to keep your own business running successfully. With all the articles and news casts about the ever rising costs of health care, the thought of finding an appropriate insurance policy that is also cheap can seem like a daunting task at first glance.
The good news is that if you are self employed then you have an abundance of choices in health insurance options. There is individual health insurance, small group health insurance, discount plans, and then the process of looking at various insurance companies and allowing them to bid away for your business. The most important aspect of finding a good health insurance plan is to be organized and to do your research before you actually start the process of shopping.
Individual health insurance is often the best way to go because these policies tend to be the cheapest. This has a major asterisk, in that your family will not get coverage. If you are single, this is not an issue. If you have small children or a pregnant wife, then this is a very big deal. If individual health insurance is a viable option, you should strongly pursue these policies as they usually cost only 50% as much as group plans or other options.
Small group health insurance often takes place when a group of small business owners band together (and some states require only as few as two people) in order to get insurance coverage. If this is much more expensive, then why choose this over individual health insurance? It depends on your history. If you are older, then having a group of younger individuals can bring down the cost. Also, if you have a pre-existing condition then they still can not turn you down.
These are the two best options for most self-employed individuals, although there are other options, though often with more danger of the unscrupulous side of things getting involved. One thing to note, is that at least of the writing of this article laws have been passed so that your individual health insurance is 100% tax deductible in the United States. That's right: every penny spent in a policy to keep you covered can be used as a tax write off from Uncle Sam. This can strongly help to off-set what may seem like prohibitive costs from covering yourself via an individual health insurance policy.
Health insurance is important, and self-employed health insurance is even more so since you are solely responsible for lost income, as well as your own health. There are companies who specialize in insurance for small businesses, so check around to see what type of a special deal they might be able to offer. There are a wide arrange of options out there, so just do your research and look around and you'll find the right self employed health insurance for you.
Does anybody know anything about National Association for the Self-Employed health insurance?
Is it reliable? can I trust the company? has anybody ever experienced any problems with them?
Thank you very much for your help.
Yes, you can trust the company to pay out what the policy stipulates but the policies are just hospital certificates, not major medical.
Mega, which also goes by the name NASE among other names depending on your part of the country, has a deductible that is per confinement, which means if you go into the hospital 3 times in one year you have 3 deductibles to meet. Most plans’ deductible is per year.
Lifetime maximum for Mega is $1 Million unless you purchase higher limits. Major medical plans are $3 to $8 Million.
Mega, depending on the policy, has an annual maximum per illness of $500,000. Most Major medical have NO annual maximums.
Depending upon the policy, Mega will only pay UP to $500 per day if you are admitted to the hospital. Average daily hospital cost – $3000, Average stay – Three days. For the average hospital stay MEGA will pay up to $1500, you will pay $7500.
Depending upon the policy, Mega will only pay UP to $1500 per day if you are in ICU. Average cost – $8000, Average stay – Two days. For the average ICU stay MEGA will pay up to $3000, you will pay $13,000. Since most people (unless they’re dead) have a hospital stay after the ICU stay you can add in the figures from the previous paragraph.
Doctor visits while you are in the hospital is limited to $50 per visit and limited to ONE visit per day. Average cost – $120, Average number of daily visits – TWO. For the average 3 day hospital stay MEGA will pay $150, you will pay $570.
Ambulance transport is limited to $250 per trip and payable only if you are admitted to the hospital for over 24 hours. If you are transported to the ER and not admitted – no benefits. The average cost for ambulance – $1000. For the ambulance (if you are admitted to the hospital) MEGA will pay $250, you will pay $750. For the ambulance (if you are NOT admitted to the hospital) MEGA will pay $0, you will pay $1000.
Air ambulance is not covered unless additional rider purchased. Maximum benefits with Mega are $3500. Average cost – $12,000. Your bill – $8500.
Many other limitations for: miscellaneous hospital inpatient charges, inpatient and outpatient surgery, routine physicals, anesthesiologist and more. Plus you have to pay the expensive yearly dues.
Here is some information about Mega: http://law.freeadvice.com/insurance_law/health_insurance/beware-health-markets-texas-mid-west-life.htm
What company and what plan is best for individual self employed health insurance in Arizona?
Looking to get a different insurance carrier as a self employed person in Arizona. Looking for input on what company and what plan is best. Thank you.
I am a Realtor and have been running into this problem for years. I would find quotes, then apply, and they would then come back to me with an outrageous rate based on the fact that I had a heart murmur on my medical history records. I recieved an email from a company called HR Trust who came up with a neat idea in order to bring back corporate benefits to self employed individuals.
Thier website is http://www.hrtrust.com. In short they are able to give you an employer through whom you can get true group health benefits with rates that are not based on your health condition or geographic location.
Here is how it works:
HR Trust hires you and then contracts you back to your own self employed business as an assistant. In my case as the Realtor I am simply considered the onsite manager of the HR Trust Contract Employee this is myself. I am billed once a month from HR Trust for the management of thier “employee.” This management fee is comprised of the “employee’s” health benefits costs, the management fee, and the net payroll and payroll taxes. However, the payroll and payroll taxes equal zero because as an HR Trust contract employee my gross payroll equals my health benefits costs and when HR Trust Deducts the health benefits costs from my gross payroll I am left with a net zero pay and taxable income amount of zero. This works much like a temporary agency setting. You can imagine HR Trust like an agency who trains and hires assistants and then contracts them out to help out self employed people, except that assistant is the self employed individual. It is much like going to work at Starbuck’s part time to have an employer to get health benefits through.
It is also great because this is 100% tax deductible from self employment tax because I am paying a management fee to HR Trust for the management of one of thier “employees.”
They offer five Medical PPO comprehensive plans with rates that are not based on my medical history. I ended up saving 140$ a month and I also put myself on a higher gross payroll so I could put that money away in thier 401(k) that they also offer. When I hire my first real assistant I can also put her on this plan and get her health benefits as well!
It really has been a life saver for me and my family. I highly reccomend looking into thier program.
What is the best self-employed health insurance for PA?
Any guidance is greatly appreciated. My husband and I will be on it, we have no employees. I am under physicians care for a variety of health issues. -Thanks
You need to visit a local independent agent that works with all the major companies. The agent can work with you to find the best plan for your situation and budget.
You said you have medical issues. Depending upon what those issues are you may have a problem finding a company that will accept you. If they do, there will be waivers, riders, or waiting periods before the company will cover those issues. This is why you need an agent. The agent can talk with the underwriters from the different companies to find out what the possible underwriting decision may be.
There is no one best health insurance company. The best company for you is the company you want to go with. Nobody here can tell you which company is best for you because we don’t know you or your health issues.
What are my best options for self-employed health insurance with maternity in Illinois?
I am leaving a well paid corporate job with great benefits to work for myself. I was recently married and my wife wants to have children soon. She does not have benefits through her job so I need to ensure we are covered well. What are some great options for affordable health coverage in Illinois that includes maternity and what’s the time frame before maternity coverage kicks in?
Maternity is very expensive on an individual policy. The wait is usually 1 year, meaning the pregnancy can’t begin until after a year has elapsed. Maternity is about $350 to $450 extra a month. But it is very worth it if there are any complications.
Probably BCBS is your best bet.
You can get a quote by going to http://www.bcbsil.com, just enter your zip and go from there.
You might consider a high deductible HSA plan too, but you would still need to add maternity to that plan.
What is the best Florida self employed health insurance plan to buy?
A lot will depend on your personal situation and the goals of your company but here are some general guidelines:
1. Individual is much cheaper than group.
2. Group is much easier to be approved for if you have major health problems.
3. You must have at least 2 full time employees in order to purchase a Florida group health insurance plan (unless it is the month of August then you can qualify for a FL group of one health insurance plan).
As long as you shop around and compare quotes from a minimum of 3 reputable FL health insurance companies (United Healthcare, Humana, Aetna, etc.) and then speak with an independent health insurance agent then you should have no problem finding a cheap FL self employed health insurance plan. Here is some more information on self employed health insurance and also some info specifically for Florida residents in the 2nd link: