The majority of Americans have their health insurance coverage through their employers. Health insurance coverage provides a valuable layer of protection for both your health and your finances. If you are self-employed, though, your choices for health insurance may be much different. Although it can be tempting to save money by skipping coverage, this is barely the best alternative. Even if you are young and enjoy good health, a single accident can change the course of your life and your finances in an instant.
A reliable health insurance policy that can provide coverage for routine exams or major medical events is a necessity for self-employed individuals and their families. It can provide a crucial safety net that can prevent you from joining the hundreds of thousands of Americans that file for bankruptcy every year. In fact, a self-employed health coverage policy may be just as important to your financial health as your retirement account, and it may certainly be more important to your physical health.
When shopping for a self-employed health insurance policy, you should look for a plan that offers benefits you really need. If you do not need or want maternity benefits, there is no need for you to get a costly health coverage plan that offers them. If you do regularly use chiropractic or acupuncture, it may be worth the investment to spend a little more to buy a policy that offers those benefits.
Health insurance can be an investment regardless of the kind of plan, so doing your research before shopping can help you avoid sticker shock and help you better understand your limits and prepare a budget. You will need a plan that will pay for the medical care you and your family needs while protecting you from the financial pitfalls of inadequate coverage.
One alternative that can help you save on your health insurance costs as it lowers your tax burdens is the high-deductible health plan, or HDHP. An HDHP can be combined with a health savings account, which can be funded with pre-tax dollars. The HDHP, as its name suggests, has a high deductible, which can help you save on monthly payments. Your health savings account can be used to pay your deductible and other qualified health care expenses.
Another affordable alternative for self-employed individuals is managed care. Health maintenance organizations and preferred provider organizations are two of the most common managed care health coverage options available today. They offer rich benefits at a reasonable price. In some situations, you may even be able to locate a group health insurance option, specially if you are a member of an organization. Check with self-employment organizations or your local chamber of commerce for recommendations, or talk to an insurance professional in your area.
At Sofi Insurance we can help you find the health coverage plans you need, even self employed health insurance plans.