“I’ve been considering quitting my full-time job and getting a
part-time job that would pay the bills [so I can start a home
business] … The one biggie my full-time job provides me now
is health insurance. If I was to get a part-time job,Health Insurance for the Self-Employed – Protecting Your Business’s Greatest Asset Articles I’d probably
have to pay for my own health insurance and I know that can
Like Jason, who sent me the above email this week, many a
dissatisfied employee would chuck in their full-time J.O.B.
(just over broke) for their part-time home-based business in
a heartbeat if not for one thing. Employer-provided health
benefits. It’s a biggie, no doubt about it.
Undeniably, employer-paid or -subsidized health benefits
are one of the few real perks of working for someone else.
In fact, surveys have shown that, for employees (especially
those with families), paid benefits are hands down the most
important element of their compensation packages.
And there’s no shortage of people already running their
own home businesses with no health or disability coverage
at all. Scary. After all, if you’re dependent upon your
home business as your sole source of income and you
lose your health, you lose your livelihood as well.
Bottom line? If you run a home-based business you can’t
afford not to have health coverage of one form or another.
Here’s how to make it happen, whatever your
BASIC OPTIONS FOR THE EMPLOYER OF ONE (YOU)
You have three basic options when it comes to health and
=> Spouse Coverage
If your spouse has health coverage from his or her employer,
as a general rule, use that. It probably provides better and
less expensive coverage than you could get on your own.
=> Group Health Insurance
The main advantage of group health insurance plans is that
they can’t turn you away because of health problems. The
good news for the solo entrepreneur is that an increasing
number of companies are offering group health plans for
“groups” of one. This varies by state though so you’ll need
to do your homework to find one.
=> Individual Health Insurance
These plans are fine if you don’t HealthCare Marketplace have any pre-existing
medical conditions. (If you do, try your best to find a group
plan that will cover a group of one.) They’re subject to
medical underwriting so your state of health will be a factor
the insurance company takes into account in determining
whether to accept your application.
Of course, the mere fact that you’re able to get into a good
plan is one thing. Doing so affordably is quite another.
REDUCING THE HIGH COST OF HEALTH INSURANCE
There are several ways of minimizing the cost of health
insurance. Your tolerance for risk will determine which,
if any, you are comfortable with.
=> Reduce the Level of Coverage
Do you really need to have every doctor’s visit and
prescription covered? If you only go to the doctor once
a year for an annual examination, have no health
conditions, don’t need regular expensive prescription
medications and are generally healthy, consider cutting out
coverage for office visits and prescriptions.