How To get Health Insurance If You’re A Freelancer
May 31, 2010 4:02 pm How to Work Better, Virtual Assistant InfoI took myself off to A&E this morning. Don’t panic, I’m fine! But I have been in quite severe pain for several days now and last night made the decision to go and see the Doctor to have myself checked out.
All is well; I have drugs!
But while I was waiting to see the Doctor, I got to thinking what would happen to Lawrence and I if I was incapacitated for some time. As a one-income household, what I earn is very important to us and while we have a nest egg, the nest’s not that big and only contains 1 or 2 eggs.
So this afternoon I’ve done some research. I still need to speak with people here in Portugal (so if you know of anyone offering reasonable/low cost health insurance in Portugal, please let me know). The information below is more than relevant if you’re in the UK or USA, are a freelancer or independent contractor and really ought to have insurance in case you can no longer work.
Where To Go?
For both UK and USA freelancers, your Chamber of Commerce is a good place to start. They may have group policies that you can join and there is bound to be at least one other freelancer in your Chamber that is in a similar position.
In the ‘States, there is something called COBRA, which will cover your insurance needs for a fixed period of time after you leave paid employment. This is great for short term cover whilst you get yourself sorted with insurance of your own. There is also the National Association of the Self Employed who will have information for you.
In the UK, the Business Link website has some great information about insurance and what you need for you and your business.
Who Needs Cover?
Look at who in your family needs to be insured. Are other people relying on you and your income? If so, you need to have health and death-in-service insurance. These subjects are never easy to talk about, but it’s a far easier conversation to have than one your partner may have to have with the bailiff at the front door.
What Are Your Health Care Needs?
Your age, your general health, whether you smoke, are pregnant, have a poor medical history will all affect your health insurance payments. Can you make some positive lifestyle changes before taking out a policy that will benefit your monthly payments and your health?
Pay for High Premiums
As a freelancer, it is difficult to arrange reasonable cost insurance as it’s just for you. Being an individual may not be a positive thing! It’s possible that you could get health insurance that doesn’t cost the earth if you are willing to pay high premiums. Premiums are those payments that you make before the insurance company with cough up. If your injury amounts to €25,000 in costs, and your premium is €5,000 the insurers will pay the additional €20,000 and not the full amount.
Group Benefits
Check out the business groups you already belong to. There may be a group or a business link that will offer insurance or a discounted rate to other members. I’m a member of the BPCC and offer other members 25% discount on my services. There are insurance brokers, car hire companies and hotels that also offer similar discounts. Check out the small print in your membership brochures.
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About the Author:
Emma Crabtree is the owner and sole-operator of Red Box Virtual Office, an off-site business support service. Red Box Virtual Office can enable you to free yourself from the day to day admin of your business so that you can focus on what you enjoy and what makes you money. Find out how working with a Virtual Assistant can help your business.
