What’s a better solution: Individual Health Insurance or Group Health Insurance?
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This might sound like a tough question or you may be under the impression that the answer is Group Health Insurance, but the reality is that if you are under Medicare age and relatively healthy, you are probably better off with individual health insurance.
The reason for this is that individual health insurance is portable to you. This means that you will not lose it once you leave your employer. It is independent of your employer. Also, it is probably going to be cheaper than your employer’s health insurance. Even just counting on the amount you contribute.
It is true that you can attain high quality affordable health insurance on an individual basis. You simply need to know where to look and who to trust enough to guide you in the process.
Employer health insurance is restricted to obviously you being employed with the employer. Also, the plan includes whatever the employer wanted to include and wanted to contribute with certain restrictions.
Today there are many more options, even some that allow you to receive tax benefits for purchasing individual health insurance. This is only fair, since employers receive tax benefits for purchasing health insurance.
Whether you are an employee, self employed, or unemployed, individual health insurance is probably a better option than traditional group health insurance coverage.
Do yourself and your family a big favor and consult with a trusted and qualified health insurance agent.
C. Steven Tucker | February 25th, 2009 at 8:01 am #
The author is absolutely correct and very well informed. Kudos to you! It is refreshing to see a fact based article that points consumers in the right direction. Namely, towards consumer driven health insurance plans. These are the only producst that can dramatically lower your premiums whilst also helping you build a separate “Medical IRA” and provide solid major medical insurance coverage for each member of your family or for your Small Business.
Lizy | February 25th, 2009 at 10:15 am #
Where can I review the tax benefit options for purchasing my own inusrance?
And if I work for a large corporation, how do I approach them about helping me pay for my own insurance, at least for the portion they currently contribute under the group plan?
thanks
Lizy.
Ely | February 26th, 2009 at 12:46 am #
Hi Lizy
Currently there is no tax benefit toward individual plans, tax benefits are only given to group plans and the employer receives the benefit not the employee. If your employer pays any portion of your insurance, they must by law offer the same benefit to every employee. Before opting out of any group type coverage, make sure that you or anyone insured under your plan does not have any pre-existing medical conditions, it is very difficult if not impossible to obtain individual coverage if you do.
Hope this helps
Ely