A health insurance policy protects an individual in case of unexpected health problems. Most states make it mandatory for the citizens to have some form of health insurance cover. The insurance market in California has a myriad of health insurance companies providing health insurance plans to individuals belonging to all age groups. However, some insurance companies are quite apprehensive while extending health insurance coverage to self-employed individuals.
Many self-employed individuals often seek health insurance under their spouse?s company insurance plan. If the spouse of a self-employed individual is working for a company offering a group health insurance plan, the individual is automatically covered in the plan.
COBRA (Consolidated Omnibus Budget Reconciliation Act) is a very useful option for the initial period of self-employment. When an individual leaves a job, the employer is compelled by law to offer the individual the choice of retaining their membership in the health insurance plan. However, the individual has to pay the entire premium amount.
Several organizations of self-employed people come together to unite their buying power to obtain inexpensive health insurance by means of a group policy.
This is a viable option for small business owners and self-employed individuals.
Some health insurance companies offer group policies at reasonable prices. This form of policy has many advantages. Apart from being inexpensive, they cover every individual in the group irrespective of their state of health. This option is extremely beneficial for individuals who have been ineligible for individual health plans owing to their health conditions. Many business owners, who are likely to expand their businesses in the near future, usually opt for short-term health insurance policies.
It is advisable to conduct a good research to get the best health insurance plan. However, it is important that the insurance company has a good standing in the insurance market. Individuals can obtain free quotes of various health insurance providers to compare the prices and different types of coverage offered. Individuals who do not have adequate knowledge about health insurance policies can consult a health insurance broker for guidance.
By: Steve Valentino
Posts Tagged ‘Omnibus Budget Reconciliation Act’
California Health Insurance For Self-Employed
California Health Insurance Laws
The cost of medical treatments and therapies is forever on the rise. Competitive work culture and demanding schedules lead to a lot of stress in an individual?s life. Environment, genetic disorders, and improper lifestyles are some of the many factors that lead to ailments and physical disorders. Some people believe that a medical insurance may be a waste of hard earned money, while some others may not be aware of the significance of having a quality medical insurance policy. Every state has its owns health insurance laws to regulate the insurance practices of the insurance providers in that state. The health insurance laws in California are very stringent and it is mandatory for every individual to have some form of insurance coverage.
There are health insurance acts in place that make it mandatory for employers with a certain number of workers to provide insurance to employees. However, some employees do not accept the insurance plan offered by their employers and instead opt for the COBRA plan (Consolidated Omnibus Budget Reconciliation Act) to procure insurance for people who lose their plans. The COBRA plan is costlier than a conventional group health insurance plan, but cheaper than the individual health insurance plan. COBRA was passed by the Congress and retirees are also covered under this plan.
Due to a rise in immigration in California, the number of uninsured people in the state has increased substantially. In 2003, the California Health Insurance Act was passed to provide health coverage to maximum number of employees and their families.
The California Health Insurance Reliability Act, (CHIRA), was passed in the year 2005 to provide inexpensive health insurance coverage to the people in that state. The Health Insurance Portability and Accountability Act (HIPAA) was passed in 1996, to make sure that the health insurance coverage of employees and their families remains intact in the event of termination or change of job.
The state health department of California provides all the necessary information to people regarding the health insurance laws prevailing in that state.
By: Steve Valentino