Many people take health for granted. You will realize it when you get sick and need to undergo costly medication. If you are an employee, usually the company will provide health insurance. However, if you are self-employed, then you have to buy private health insurance for the self-employed for your protection.
Self-employed have flexibility in working because they are not bound by a contract like company employees. In addition, this profession is also suitable for those of you who like challenges and don’t like monotonous routines.
However, you also need to know the consequences of being self-employed. The most obvious consequence is that you don’t get insurance like what company employees generally get. To enjoy your hard work in the future, it is best to protect yourself by buying insurance.
There are many types of insurance that you need to have. However, health insurance for the self-employed is more important. Having health insurance not only enables you to get the best medical care but also saves you from financial problems in the future.
Let’s dive deeper to get to know some of the key benefits you will get by having private health insurance by reading the following article.
Why Private Health Insurance for Self-Employed is a Smart Choice?
For those of you who are self-employed and don’t have personal health insurance yet, please consider the following reasons so you get motivated to buy health protection immediately:
1. Stay Healthy and Live Longer
Usually, people who have health insurance policies will have better health and longevity. It is not surprising, because health insurance policyholders can get free vaccines or free health screenings as well.
Those costs are included in the insurance plan you own. As a result, you don’t have to spend a lot of money even though you often get medical check-ups or treatments.
Another reason having private health insurance also makes you have a longer life expectancy is more targeted health care. If health screening results show that you need to get special treatment, then access to a specialist is also easier.
2. Secure your Income
As a self-employed, you don’t get a fixed salary every month like a company employee. Therefore, you must be wise and smart in managing the income you get. Buying private health insurance for the self-employed is a smart move for a better financial future.
Health insurance allows you to get tax deductions and lower health costs. Consequently, you don’t have to spend a lot of money out of your pocket. You can imagine how much money you have to spend if you don’t have health insurance. In just one night, medical expenses can reach more than hundreds of dollars.
Self-employed also don’t have annual leave like company employees, so you won’t get compensation for being sick and unable to work. That’s why you need health insurance to overcome this problem which can be bad for your health and finances.
Health insurance usually does not only provide coverage for health care and treatment due to illness but also covers medical expenses due to accidents or other emergency health conditions.
3. Insurance Deductions
Anyone who purchases insurance products will get deductions. The deductible is the amount of money you pay when you get medical care before the insurance company pays for it.
If your total treatment costs reach more than 7.5 percent of household income, then the insurance premium will get deducted. Considering that you are self-employed, the tax deduction is calculated at 100 percent of the premium. As a consequence, your taxable income will decrease.
Partial deductions can also be made if you choose long-term health insurance. This type of health insurance will provide coverage for home health aides and nursing home services. Your age also determines how much the deduction will be.
4. Free to Choose Insurance Plans
Health insurance companies offer some plans that can reach the needs of their consumers. You can freely choose a private health insurance plan for the self-employed which provides coverage for health problems you often face.
To be able to choose the right health insurance coverage, you should first do a health screening. That way, you can determine health coverage more easily and wisely.
Apart from being free to choose health insurance coverage, self-employed people can also be free to choose monthly premiums based on the average income earned each month. Freedom in choosing this insurance premium will make it easier for you to pay it, especially if your income is not too high.
Tips on Buying Personal Health Insurance
After knowing some of the essential reasons for having private health insurance, be sure to also find out some tips on buying it as follows:
1. Do Research on Insurance Companies
To get a more affordable insurance plan with comprehensive coverage, you have to be willing to make a few sacrifices, such as researching some insurance companies.
You don’t need to go to the insurance provider’s office one by one because you can do it online. Visit trusted health insurance companies’ websites and fill in your data completely and honestly. After filling in the information, the company will provide quotes and coverage based on your ability to pay the premium.
2. Choose an Insurance Company with a Large Network
Before buying insurance, you also need to check whether the health insurance provider has a large network. This network will influence your access to health services. The wider the insurance company’s network, the more flexible the health services provided will be.
3. Join an Organization
If your income is still unable to reach private health insurance, you can look for another alternative, such as joining an organization that offers group plans. Thus, your monthly premium will be more affordable so you can save some money and allocate it for other significant things.
Did This Post on Private Health Insurance for the Self-Employed Help You?
In conclusion, you as a self-employed are required to have health protection so you don’t get messed up in financial problems in the future because health costs continue to soar. Buying the right private health insurance for the self-employed will give you peace of mind so you can pay a lot of attention to growing the business that you are running.