In the past, most people had employer health insurance. Their company did all of the research, chose the insurance company and picked plan options for employees. This is also called group coverage or group insurance. But, a lot has changed in recent years. Show
Due to these factors and others, a growing trend is for individuals to either partially or fully pay for their own health insurance. Even if employer-based group health insurance is still an option for you, you may wonder if you should purchase health insurance on your own, buying what is called Individual Health Insurance, or Personal Health Insurance. To help you understand your options, we’ll look at both individual and employer-sponsored plans, explaining and comparing them. Individual Medical InsuranceIndividual Insurance is a health policy that you can purchase for just yourself or for your family. Individual policies are also called personal health plans. If you’d like, you can work with an insurance agent to help you go over different plans and costs. You may be eligible for a subsidy from the government to purchase an Affordable Care Act-compliant individual plan. This can help save you money on your health insurance. You may be eligible for a subsidy if your employer does not offer affordable health coverage and your household income is no more than 400% above the federal poverty level. You can see if you might qualify and review Medical Mutual subsidy-eligible plans here. Advantages of an individual plan:
Medical Mutual offers many affordable individual health plans that can meet your needs. Employer-Sponsored Health InsuranceEmployer-sponsored health insurance is a health policy selected and purchased by your employer and offered to eligible employees and their dependents. These are also called group plans. Your employer will typically share the cost of your premium with you. Advantages of an employer plan:
Individual vs. Group Health Insurance Comparison: Should You Buy Health Insurance on Your Own?Deciding whether to enroll in a health insurance plan through your employer or whether to purchase an individual, major medical plan on your own can be confusing. There can be significant differences in flexibility, benefit options and costs. The following table summarizes some similarities and differences that can help you figure out what will best fit your needs. Comparing Employer Group Plans and Individual Health Plans
Which Costs Less - Personal Health Insurance or Coverage through Work?The costs of an individual plan vs. an employer-sponsored group plan can vary depending on several factors. These include your income, where you live and whether your employer offers a group health insurance plan. Below are some averages for annual premium costs for employer and individual plans: Average Costs for 2016 Plans
While averages can give you an idea of typical costs, the real story is often more complex. In many states, individual plans are less expensive. That’s because individual health insurance spreads the risk over a large group – possibly millions of people depending on the plan and insurance company. Plus, as stated above, you may be eligible for a subsidy from the federal government to help pay for your individual insurance policy. With employer-sponsored health insurance, the premium cost is usually split between your employer and you, which will help you save money. On average, employers paid 82 percent of the premium of single coverage in 2016.2 Ultimately, choosing the best avenue for you will depend on your unique circumstances and what your employer is able to offer. Ready to Shop?Use our online enrollment tool to get an instant quote. You can also call us at 1-844-583-3072 or call your licensed insurance agent. What are some disadvantages of employerBecause group insurance is chosen by the employer, employees don't have a say in what network they'll be on, the deductible they'll need to meet, or the premium they'll have to pay. The lack of control and customization of group health plans doesn't make it as appealing to many individuals.
Is it better to get health insurance through work or private?Employer-sponsored health insurance coverage is usually cheaper than buying your own private plan since your employer must cover at least 60% of the cost. But if they don't cover your dependents, paying out-of-pocket for their premiums can be very costly.
Can I cancel Obamacare if I get a job?Yes, you can certainly do that.
How long do I have insurance after I quit my job?COBRA coverage lets you pay to stay on your job-based health insurance for a limited time after your job ends (usually 18 months). You usually pay the full premium yourself, plus a small administrative fee. Contact your employer to learn about your COBRA options.
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