How to Obtain Health Insurance for Self-Employed
Health care expenses are continuously on the rise, and so is the cost of health insurance. To obtain health insurance is in itself a problem, more so when you are self-employed and cannot obtain insurance under a group plan. In spite of the difficulties, there are ways by which a self-employed person can obtain or cut down the expenses of health insurance.
In case your self-employed business happens to be a one-man show, or a husband and wife venture, an individual policy or a family health insurance plan will suit you best if you do not belong to a relevant organization. If you have plans of expanding your business in the future, it is better for you to start with a short-term policy and then decide on the type of coverage depending on the changes in situation. If you opt for a short term policy, it will ensure you some sort of coverage and provide you an affordable premium.
In normal practice, a temporary policy hardly exceeds $100 per month. The premiums of self-employed health insurance cover are tax deductible. Self-employed persons can use their health insurance payments as a deduction on savings, which might give enough of a cost savings or refund to help pay another premium or two.
In case your self-employed venture employs two or more people, it is treated as a combination of self-employed and small business, which can qualify you for group insurance. This health insurance scheme would cover you and your employees, and the premium could be 100% tax deductible. Under this insurance, your staff could also save on pay-roll taxes.
It makes good sense for self employed people to seek associates while looking for health insurance. There are many professional associations which offer group coverage for self employed people. The schemes may not be exactly what you would have liked them to be, but they are enough to see you through an emergency.
If you are self-employed, you can take the help of the National Association for the Self-employed for sound advice. The association will also formulate a good health coverage plan to insurance companies, agents and members of their organization. Depending on their specific requirements, employees could take supplementary coverage if they choose to. It is not mandatory for the staff to join, but there must be a minimum of two participating to be eligible for group insurance. Group plans will be cheaper for you and by joining an association of self-employed, you can take advantage of this. It is always wise to check if the main policy covers your requirements before you decide to add any additional health coverage. Remember that group plans are cheaper. By joining an association of self-employed, you can take advantage of this. Before adding additional health coverage, check whether the main policy covers what you need.
You will come across a number of websites that enable you to compare the terms offered by different providers of health insurance for the self employed. A self employed person can also open a health savings account that will provide tax-free savings and also set aside some money for medical emergencies. A health savings account will enable you to take a health plan with a higher deductible reducing the cost of your premium.
