Best Health Insurance!

How to shop for health insurance when you are self employed

by Anita Johnston on 11/18/2010 04:59 PM

As you begin looking for health insurance, you will first need to understand the difference between group insurance and individual health insurance.

If you are self-employed and only need insurance on yourself you will find the rates are a bit less expensive than you will find with group insurance, however, there are benefits on both sides of the fence. Group health insurance will cover each person equally which will depend on your medical history but will not be deemed on the others on the policy such as your family, but can be very expensive if you happen to be healthy. Individual health insurance plans on each family member may be a bit cheaper than the group rate.

Before you start looking for health insurance, you first need to decide your needs. The various types of insurance you should consider include health savings accounts, HMO, PPO, and a few others. Just remember to always ensure that you are getting the coverage you need, such as prescriptions. Many health insurance companies do not offer prescriptions in the package but as an add-on, which will cost more. If you have a person in your family that is on a prescription medication, if this coverage is not included in the policy, you will pay for each prescription.

Some self-employed individuals meet the restrictions to join a group plan, which may be beneficial to their needs. The only way to know which health insurance policy will provide you with the coverage you need is by comparing the various rates of each type of policy. This way you can make an educated decision based on your needs as well as affordability.

Individual health insurance plans may be the best option for self-employed individuals as the policy can be tailor made to fit their needs as with group policies, each person receives the same coverage’s. Your health insurance should at least cover all visits to the doctor, lab work, emergency room visits, and hospitalization. With health insurance at all, you will not be very happy when you receive the bill from the hospital and you are forced to pay $5 for a Tylenol. This is a fact at most hospitals, but with health insurance, after you pay the deductible, your insurance will pay the rest of the hospital stay in most cases.

Always read the fine print of your insurance policy, so you know exactly what the insurance will cover. You do not need any surprises and learn that the insurance will cover such things as x-rays, medications, or specialists.