Health Insurance for Freelancers, Independent Contractors or Self-Employed Small Business Owners (or Recently Unemployed). Are You Struggling to Find it?
I’ve been struggling now for the last few months trying to come up with the right mix of medical and prescription health insurance.
I was in a bit of a hard place because I worked for my last W-2 employer for about 3 months ending in January ‘09 and got screwed in regard to benefits. I was supposed to get benefits right away and there seemed to be a lot of “miscommunication” between the company and the HR agency they outsourced the payroll and benefits to. Thus, I didn’t even have the option of getting continued COBRA coverage. If you’re currently working or recently quit, got laid off or fired and were insured, be sure you look in to your options regarding COBRA.
When I began looking around for health insurance, the first thing was to meet with my local, independent insurance agent. The premium coverage was in the neighborhood of $600 to $700 per month for a male, 29, and female, 28, but we couldn’t qualify for that because I take medication for hypertension and cholesterol. It didn’t really matter. We couldn’t afford it anyway. The next best insurance we could find was around $200 to $400 per month with relatively high deductibles. For the time being, we’ve decided to forgo the health insurance and pay for doctor’s visits out of pocket.
If you are in good health and seriously considering purchasing health insurance, remember to figure out how much you’re actually spending on medical bills. I called our doctor and basic office visits only cost between $50 to $60. If you’re earning a comfy living, you may be able to budget for medical expenses throughout the year. If you’re worried about major accidents or unexpected ailments, look into some higher deductible coverages. If you plan on having children be sure to ask how long you need to be on an insurance plan before they will cover a pregnancy. A really good first step is to check with an independent insurance agent in your area. They should be able to answer a lot of these questions. Ask for an in-person appointment and ask a lot of questions.
One of the best things I’ve found so far has been the Walgreens Prescription Savings Club. I take 3 different medications. Without insurance and without this discount card my prescriptions would cost about $340 per month. With the discount card I pay $132 (and some change) per month. Walgreens is the most convenient for me, but it might be a good idea to check with your pharmacists at Target, Walmart, CVS, Rite Aid, your local pharmacy, your insurance agent, etc. to see what other plans are available.
A possible alternative for some would be to look into part-time workplaces that offer benefits. It’s important to do your research here, too. Investigate which insurance company the employer uses, how long you have to work before you can earn the benefits, etc.
Here are a few sources I’m currently looking into:
Freelancers Union (freelancersunion.org): Free to Join Membership Organization Offering a Variety of Benefits to its Freelancing Community
FreelanceSwitch (freelanceswitch.com): Health Insurance for Freelancers
American Pregnancy Association (americanpregnancy.org): Article on Health Insurance for Pregnant Women
If you take any Pfizer drugs: Pfizer launches free prescription program for those who lose their jobs
Please do not view this as an all-inclusive guide to health insurance for those looking for health insurance coverage. I know there are many things to take into consideration like age, weight and current medical conditions to name a few. If anyone can chime in about the ideas and resources I’ve talked about or can make additional information recommendation, PLEASE contribute down in the comments below this article. I know there are many people out there who would love to gather more information about this topic (myself included).
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