5 Health Insurance Plans for Freelancers

The open enrollment period for obtaining health insurance, or changing to another insurance provider or modifying your plan options, began on November 1 and will end on Tuesday December 15, 2020. Your new or renewed health insurance plan will activate on January 1, 2021.

If there have been changes in your household status or income, report those changes to your current provider, since the change may impact the insurance you’ll need and/ or its cost. If you were married earlier in the year, or if you and your spouse became parents, that represents a change in household. If your income has significantly declined, perhaps because of a COVID related loss of business, that information should also be shared with your current insurance carrier, particularly if you’re enrolled in a Marketplace plan (update your application).

Freelancers should remember to deduct the cost of medical and dental insurance premiums on your annual tax return. Be advised that you cannot deduct more than the amount of your net profit for the year. If the business didn’t make a profit, you don’t get the health insurance tax deduction.

With Freelance consultants in mind, Investopedia Magazine examined 15 health insurance companies and determined that the plans listed below offer the most comprehensive coverage for individual purchasers (i.e., Freelancers) at the best price. The cost of insurance will vary by state, applicant age, family size, the type of plan and factors such as smoking.

Medical, dental, vision, Medicare, Medicaid, supplemental insurance and prescription drug coverage are available in most plans listed here. Sign up through the insurer’s company website, your state health insurance exchange, or at http://healthcare.gov. The plans are presented in ranked order.

BlueCross BlueShield

In business since 1929 and probably the most familiar health insurance provider in America, BlueCross BlueShield is actually an association of 36 independent companies that operate nationwide. It could be said that the company’s primary advantage is its extensive healthcare provider network and the familiarity of its brand.

The BCBS network serves 107 million member customers in 50 states plus Washington, D.C. and is affiliated with 96% of hospitals and 95% of physicians in the country. Americans living overseas are able to obtain coverage and receive healthcare services through the BCBS global network of providers.

Dental, hearing, vision, supplemental, Medicaid and Medicare are available in most states.

UnitedHealthcare

Along with offering health insurance in all 50 states, UnitedHealthcare is known for its technology, which is said to enable its providers to deliver care and related administrative services more efficiently and as a result, do so at s lower cost than comparable competitors.

UnitedHealthcare Group is the largest health insurance company in the nation, operating in all 50 states plus 130 countries. In 2019, the company counted 1.3 million physicians and other healthcare professionals plus 6,500 hospitals in its network. Medical, dental, vision, prescription drug, Medicaid, Medicare and supplemental coverage is available.

Kaiser Permanente

Kaiser Permanente has a focus on preventive care, based on the company philosophy that prevention of illness keeps customer members healthier and saves them money in the long run. The company is known for a high level of customer satisfaction and retention.

The downsides are that Kaiser operates in just eight states —-California, Colorado, Georgia, Hawaii, Maryland, Oregon, Virginia, Washington plus Washington, D.C. Moreover, it’s physician and hospital network is lacking. Kaiser serves a whopping 12.4 million members, but there are just 23,261 physicians, 63,306 nurses and 39 hospitals in its network.

Cigna

The company was founded in 1792, making it one of the oldest corporate entities in the country. That said,the company is ahead of the curve in responding to the new normal and was out in front of the competition in offering virtual medical, including behavioral/ mental health appointments and prescription drug delivery in partnership with Express Scripts, the largest pharmacy benefits manager in the U.S.

Cigna is international and provides health insurance to 180 million member customers in 30 countries. In its global network there are 1.5 million healthcare providers and facilities—-physicians, nurses, hospitals and others.

In the U.S., Cigna offers individual plans in just 10 states—-Arizona, Colorado, Florida, Illinois, Missouri, North Carolina, Tennessee, Utah and Virginia and there are 500 hospitals in the U.S. network. Depending on where you live, dental, vision, Medicare and Medicare Supplemental will be available.

Oscar

New kid on the block Oscar was launched in 2012. The company’s calling card is customer service, a consideration that may be especially attractive to Freelancers and other business owners who are left to navigate the complexities of health insurance on our own.

Oscar currently operates in 19 states—-Alaska, Arizona, California, Colorado, Florida, Georgia, Iowa, Kansas, Michigan, Missouri, New Jersey, New York, North Carolina, Ohio, Oklahoma, Pennsylvania, Tennessee, Texas and Virginia. In 2021, the company expansion plan is to enter major markets in the states where it does not yet operate. Currently, Oscar provides primarily HMO health insurance and Medicare plans to 420,000 member customers and does not cover out-of- network provider claims.

Oscar offers its Doctor on Call feature that gives free, 24/7 access to a healthcare provider. Another featured offering is The Concierge, where a dedicated team of guides and nurses will answer your questions and help you save money. Oscar members can access the services of Doctor on Call and The Concierge through a mobile app that also gives access to your medical records, laboratory results, deductibles and other related information.

For more information on obtaining medical and also dental insurance, Freelancers can explore what is offered through the Freelancers Union. https://www.freelancersunion.org/insurance/health/

Happy Thanksgiving,

Kim

Photograph: Kim Clark

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