Individual & Family Health Insurance - A Better Alternative to Employer Health Insurance

Contrary to popular belief, individual and family healthto obtain the same or similar coverage at a much
insurance coverage is almost always more costbetter price. This option entails getting your own
effective than employer health insurance plans. Here'sinsurance through a private company that offers
why:individual and family health plans in the private market.
Employer health insurance (or employer sponsoredThese companies can offer similar or the same
plans) are offered to full time employees as a benefitcoverage at lower prices. They can do this because
for working for the employer. Employer healththey only accept applicants with few or no pre-existing
insurance allows employees to get a health plan withconditions. This means there will be less claims, and the
established rates and guaranteed acceptance.insurance company doesn't have to charge as much in
Because employer sponsored plans offer guaranteedmonthly premiums to insure a healthier, pre-screened
acceptance, people with pre-existing health conditionsgroup of individuals/families. This is a great option if you
will be accepted. This is a huge benefit of employerdon't have serious pre-existing conditions and don't
health insurance.over-utilize your benefits.
The problem is, that in order to pay for the expectedIndividual and family health plans are much more cost
claims, the insurance company must increase the rateseffective than employer sponsored plans. This is
for the entire group. In my home state, they canalmost always true. But, it's not true in these two
increase the starting premium (the ones published incases.
their brochures) 85% if one employee (or more than- Your employer pays so much of your premium each
one) has a serious medical condition like diabetes, ormonth that you end up paying less out of pocket for
even if one person in the group is pregnant.your portion of the insurance premium than you would
Unfortunately employees who don't utilize their planby paying the total premium through a private health
much will pay the same increased rates as theinsurance company.
employees with pre-existing conditions who need- You utilize your plan often, have serious pre-existing
consistent medical care.conditions, or cannot obtain health insurance through
If you or your family don't have any pre-existingprivate companies.
medical conditions, there is an options that allows you