Insurance for the self employed can be very expensive. Most people get their insurance through their workplace, but for many self employed business owners out there, finding affordable coverage can be difficult. If you are like most self employed people out there, you're going to need coverage at some point.
If you're self employed and need insurance you've probably looked at all kinds of health care and health insurance options like discount card programs or ala carte coverage but sometimes even those options are too expensive for people that are self employed and need insurance. So what can you do if you are self employed and need insurance? You may be able to find a buying group of self employed people to join for coverage. Large groups of self employed people will sometimes form a loose union so that together they can negotiate a better price for health insurance.
This can be a great way to get coverage when you leave your employer. However, if someone in the family has a serious medical condition or pre-existing condition, rates for COBRA can be more expensive. In that case or if you have no major health conditions or problems you might be able to save money by getting insurance from a company that specializes in helping the self employed who need insurance get coverage. Sometimes the rates that you will pay from these private companies are high but usually the rates are more affordable than you might think. Health insurance shouldn't become a luxury when you become self employed. If you are leaving your current job to become self employed see if your health care coverage will be extended for a period of time after you leave the company. Sometimes your health care coverage will remain valid for as long as six months after you leave the company which gives you some time to find a new health insurance company.
Usually when you leave on good terms (COBRA) is extended to you and your family. Although it may be somewhat expensive since you'll have to pay for the first three to six months, it might be worth it in the long run. Ask your employer if it is available when you leave. Being without insurance for any period of time can be scary, because if something should happen (Murphy's Law) the hospital bills could stack up and could make things difficult.
