Many of you probably have 'real' full-time jobs and are thus receiving health care coverage through their current employer.
But I am sure there are a few of you, like me, who are self-employed and thus have to pay out of pocket.
I
am about to sign up for health insurance directly (=pay for it all
myself) because my COBRA coverage (a generously subsidized 15-month run
of $350 per month for health, Dental, and vision - one of the things
Obama did right) expires by this August 31.'
So for those of
you who are seeking out purchasing health coverage directly (because
you're considering quitting your job, or starting your own buiness,
etc.) this post might help you a little.
Please
don't regard this post as an official health insurance resource.
Contact a local health insurance broker (just do a search for 'health
insurance broker' and the name of your city/town, on Google.com. Be sure
to check your local broker out on the BBB.org site, before you contact them, to make sure they're legit.)
I am not endorsing or promoting the Health Care organizations mentioned in this article.
Some things I discovered:
> Basic health care coverage is 'decently' affordable
(not super cheap, not super expensive. Lots of room for improvement re:
affordability, but not an impossible dream for many folks)... I had
quite a few choices:
New York state has a program for individuals in lower income brackets, called Healthy NY
, 'Health insurance for small businesses and working individuals'.
Basically it's state-mandated discounted coverage by the major NY
providers. I didn't qualify, though, because of their income
restrictions - for me and a spouse, we have to show proof of total
income less than $36K. Had we qualified, 'Couple' (husband-and-wife or
partner) coverage would have been bout $850 a month with some
restrictions and deductibles. Overall, not exactly a bargain, but not
through-the-roof expensive either.
Separately, Empire/Blue Cross Blue Shield sent me a pamphlet on TraditionPlus Hospital Program (NY ONLY).
Let's say you're extremely healthy but you can't qualify for subsidized
health care or Cobra, or Medicaid or group health care coverage or
whatever, and you need some coverage in the short-term. Empire's
TraditionPlus is full emergency/hospital/child birth coverage only, and,
a husband and wife/partner rate would have been around $400/month. That's one-step above 'going without', but with zero coverage for physician visits, routine care, specialist care, etc.
Then I used the U.S.-wide resource set up by the White House, healthcare.gov.
This was a very easy-to-use website that explained all my options -
Government-subsidized, State-subsidized, and regular private insurers -
how much they cost, what their plans looked like compared to one
another, etc. For me, the site was missing some information on some
private insurers, but overall it was very good.
Then I used ehealthinsurance.com,
which is a private company that compares rates and profits from all the
major insurers in your state. I actually spoke with an ehealthinsurance
rep on the phone and, expecting to be connected to someone in India,
she was a U.S.-based rep (who was, in my discussion, not biased toward
any one provider) and I got lots of questions answered.
eHealthInsurance.com DOES get paid a commission from the health insurer
company if the subscriber signs up through them. So they're not a
'provider-neutral' company, but I did find them useful, comprehensive
and trustworthy.
My income level put me in a rather sticky spot - I earn too much (whether I apply as an individual or as a sole-proprietor) to qualify for subsidized/government-aided coverage; but I earn too little to be ok with paying Empire/Blue Cross Blue Shield $2500 to $3500 a month to continue my current coverage after Cobra expires.
I
did find that, as a business owner (which many healthcare organizations
refer to as a 'Sole Proprietor', even if your business is an S-Corp or
LLC or whatever), I could join a local organization (like a local
chamber of commerce) and thus be entitled to their 'Group' Rate, if they
offer health insurance to their members.
Thus, via ehealthinsurance.com, I discovered Emblem Health, which offered me comprehensive health coverage, and very basic dental coverage, for $1100 a month. Again, not exactly a bargain, but it's manageable.
(Realize that I live in Long Island, NY, which is like the 2nd-highest
region in the U.S. in terms of cost of living. Everything's high here.)
Emblem connected me to a local insurance broker. I'm in the process of
signing up now. I have to prove (=provide tax records via my CPA) that
I'm a business owner. I don't have to show proof of income (there are no
income requirements). All I have to do is prove my business is in NY
state and that I'm a NY State resident).
Here are some resources you should use:
NAIC - Official Directory of every State's health insurance regulations site, regardless of where you live.
healthcare.gov. U.S. Government's site to healthcare info. Very comprehensive and a good place you should start.
ehealthinsurance.com - A comparison site that lets you shop among different health care providers, regardless of where you live in the U.S.
Some tips:
> Prepare to do lots of calling, surfing the web, and digging around for info.
None of this was 'easy'. I had to REALLY dig around, and talking to
some of these Insurance companies is like talking to a prison warden who
doesn't want to give you any info.
> Don't be afraid to use your state's resources to
see if you qualify for subsidized care. Actually that should be your
first stop. If you were fired recently and your household income dropped
significantly, you may very well be able to get state or
federal-subsidized health care.
> Even if you were just terminated, apply for Cobra anyway.Your employer by law has to give you the COBRA
insurance application paperwork within 30 days of terminating your
employment. COBRA is federal-mandated coverage that you're entitled to
receive if you've been terminated (there are some exceptions, i.e. if
you quit voluntarily you're not eligible - but make sure you apply
anyway.) Official U.S. Cobra site here: http://www.dol.gov/ebsa/cobra.html. Getting Cobra was the best thing that came out of my last job with the dummies that fired me. With the money I saved by paying the 'COBRA' rate, I poured into my business. And here I am.
1 comment:
This was very informative. Thank you. I was the OP on the OFB forum thread about health insurance.
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