|I l @ ve RuBoard|
Much as we all like to complain about the era of "managed care," most of us want and need health insurance of some sort . The problem is that as a nation, we are woefully underinsured and uninsured. People who start home businesses are a perfect example. If covering a family, for instance, the costs can go quite high, and it may seem like something you can put off until your business is fully self-supporting. Erica's yearly health insurance for her family, not even dental and life, tops out right now at over $13,000. Off the top. Yes, that's a real figure.
No wonder people skimp on insurance or cut corners at times. However, we don't need to regale you with horror stories of uninsured people to have you know that you need insurance of some sort one way or the other.
When you leave a place of employment, you will be offered COBRA. This allows you to pay for insurance through your old company for a period of 18 months. What is usually a rude awakening is the price. Buried in your paycheck with all those little numbers like FICA and taxes was probably a number for health insurance representing your portion, with the company picking up the tab for the rest. That new number can carry quite a bit of "sticker" shock .
One of the advantages of incorporating is it allows you to be treated like a corporation and get bids for insurance. The menus of options are extensive : HMOs, PPOs, more traditional 80/20 plans, and so forth. Again, only you and your family and an adviser can know your needs.
Another option, if you don't incorporate , is to get insurance through a membership you might have, such as writers' guilds . The problem with this option is the guild can be dropped from coverage or switch, and you don't have much of a say in it.
One option worth discussing here is called "catastrophe" insurance. For a greatly reduced price, you won't be covering your doctor visits , well-baby care, or even the initial fees at a hospital emergency ward. However, should a catastrophe happen, such as a serious operation or heaven forbid cancer or another long- term , serious illness , this type of coverage "kicks in" when the total bills hit a number such as $5,000. While this in and of itself might sound expensive, if you are in good health and rarely go to the doctor's, as you are starting out it may be a better choice than no coverage at all.
Another item to keep in mind as you get bids is if you are sure you are through having children, are a woman and truly post-menopause, or have opted for sterilization as a form of birth control, or are an unmarried male, coverage for any type of health insurance without OB/maternity is also much cheaper. Remember to explore this with any agent.
|I l @ ve RuBoard|