Health Insurance for
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In many states in the US a business can obtain a medical insurance plan even for a business with only one employee. There is usually an open enrollment period once per year (often your birthday) that you can obtain insurance for your business. The advantage of having a business medical insurance plan is that you can take advantage of the tax deduction. You will need to check with your accountant or tax attorney as the laws for these deductions can be complicated and you will need to set things up correctly in order to take advantage of the tax savings.
Health insurance for individuals
Individual policies are also available so that you can get insurance for yourself when you quit your full-time job and lose this benefit. Many of these have coverage for a dependent as well. Everyone’s situation for eligibility and premiums are different and are determined by the medical insurance company, therefore you will have to do your own research and find the best deal for you.One reputable source allows you to research and compare different plan option is eHealth Insurance Quotes This is free and you are not obligated to sign up with any of their plans but it can give you an idea of what you are eligible for and your costs.
You can work with a local insurance broker that can help you find an affordable option. Before you quit your job, you should check with your employer to see if you are eligible to continue your health benefits under the COBRA (Consolidated Omnibus Budget Reconciliation Act) law and find out what your premiums will be. Under this law, eligible employees can continue their coverage of medical insurance from the employer after termination of employment, but you will have to pay for the premiums yourself. This can be very expensive but may provide you the ability to maintain coverage without a break while switching to your own insurance. Not everyone is eligible for COBRA benefits and state laws vary, so do your research before you decide to leave your employment.
There are different options available to self-employed and home based business owners.
The most important thing you need to do is give your medical insurance coverage much consideration before you quit a job and lose coverage. Plan ahead for what you will do and do plenty of research into your options while you are still covered. It is not a good idea to ever let your insurance laps. Many insurance companies will penalize you by not providing coverage for preexisting conditions if you have a break in your insurance coverage.
You don’t want to gamble with your health or the health of any dependents you are covering. Any unexpected injury or serious illness can be quite expensive and financially devastating to anyone who does not have insurance.
Catastrophic health insurance
You have the option of carrying a high deductible plan that will cover you if anything catastrophic happens. These are more affordable plans but do not cover office visits, prescriptions and preventive care but will protect you financially if in the event of a catastrophic event.
You may also be able to obtain short-term disability insurance for self-employed in case you have need it.
You owe it to yourself to research your options for small business medical insurance before you leave employment or lose any medical coverage you have before you start your virtual assistant business.
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