Health Insurance for the Self‐Employed
If you are self‐employed, you are used to making the big decisions on your own. Health insurance offers several choices for people like you, but that may be a little harder than the decisions you are used to making. Here is some useful information that may help you choose which insurance policy is right your family and you.
Individual and Group Health Insurance
If you qualify for a group health insurance plan, these are far better to receive than is an individual health insurance plan. Group plans normally cost less and provide better coverage, whereas individual plans tend to have higher premiums for less coverage. However, if you do not qualify, an individual health insurance plan is still a good alternative until you can purchase a group plan. Inquire to your insurance provider as to whether or not you qualify for a group health insurance plan.
Health Savings Account (HSA)
Besides the group and individual health insurance plan, a health savings account can be another alternative. It is a high‐deductible plan for major loss coverage that is coupled with a savings account that accrues the finances for other medical expenses. The premium and the savings account can be deducted from your taxes, and cash withdrawals that you have taken from your savings account cannot be taxed so long as you use it for certain medical reasons.
Supplemental Health Insurance
A very common reason for American families to go bankrupt is disability that has resulted in the loss of a job. Every year, one out of four employees over the age of thirty will become unable to work for at least a month because of a work‐related or ‐unrelated disability. Most work‐related injuries are covered by workers' compensation, but many do not have this luxury.
A supplemental health insurance policy can cover the expenses that have occurred due to the loss of a job because of a disability. Various types of supplemental health insurance will also offer a cash benefit in order to help out with your bills while you cannot work. Other help to pay for medical expenses that are not normally covered under a typical insurance policy.
