Health insurance options for entrepreneurs?

January 14, 2014 10:43 PM

Where can I find affordable health insurance? I'm on COBRA since striking it out on my own, but currently have not started making revenue, and am worried about options once that runs out. My current high deductible plan from UHC costs ~$213/mo ($2700 deductible) and includes EyeMed vision and dental (additional $35). I know I won't find anything this good post-COBRA but hoping there's something close? I know that since ACA has started that individuals can buy insurance off exchanges (I am in NYC, so will be more expensive, I know..). Will definitely be checking that out. Freelancer's Medical has come up in my searches. I don't think that entrepreneurs (who are not freelancers getting 1099s) qualify for Freelancer's, but checking with them. Not sure we qualify for HealthyNY for small business (individual option has been terminated post-ACA), since we are an LLC but I am the only full-time partner (the rest have day jobs). Are there other options I'm not aware of? Thanks for any help!
posted by vlotty to Health & Fitness (5 answers total)

Response by poster: As a quick update: Current premium is $237, +37 for dental, +7 for vision.
posted by vlotty at 10:51 PM on January 14, 2014

First off you should go on the exchange and see if you qualify for Medicaid or a high subsidy this year based on your projected income. This is literally what the exchange is FOR, there is no other better first step.
posted by fshgrl at 11:14 PM on January 14, 2014 [2 favorites]

I'm in California, but this is kind of exactly what ACA is for. When I signed up, there was a wide range of plans to choose from, which in the California exchange are rated Bronze, Silver, etc. from a bunch of providers. A bronze plan like we got is typically high deductable, and without assistance would end up being about $500 combined for my wife and I (and I'm 38). So, just go and check it out.
posted by LionIndex at 11:15 PM on January 14, 2014

Best answer: ACA is going to be your best bet. The Freelancer's Union insurance is good, if that's your only option, but from what my clients tell me, it's significantly more expensive than other options. I believe Healthy NY for businesses will be phased out next year when the business insurance mandate is in effect, and it sounds like you wouldn't have enough partners/employees signing up for the policy to qualify for it anyway.

For the ACA, make sure you base the rates on your estimated 2014 income, not your 2013 income (which, if you were working full time, is probably higher). You should be able to find something for less than $300/month, which may be further reduced by subsidies, depending on your income and which level of coverage you select. Remember that your "income" will be your share of the LLC's net income (net profits X your % interest) plus any guaranteed payments you receive from the LLC (payments that you receive regardless of the LLC's revenues).

Your insurance premiums may be deductible.
posted by melissasaurus at 4:53 AM on January 15, 2014

Response by poster: Looking at the plans available in NYC, doesn't seem like we have a lot of choice. (No PPOs it seems)

I was hoping Freelancer's would be in the same ballpark and offer better care experience / convenience, but if it's significantly more expensive then that washes out the benefit.

The best value plans appear to be MetroPlus, but not sure about their network and the few doctors I know do not take MetroPlus.

Unfortunately, since we are not generating income yet, can't deduct the premiums but will look forward to that in the future!
posted by vlotty at 11:35 PM on January 15, 2014