INDIVIDUAL

There are both advantages and disadvantages for getting your health insurance through an individual health plan.  Here are some of the most important:

ADVANTAGES

  • Cost can be substantially lower for lower ages

  • Can choose your deductible & coinsurance level

  • Can change coverage each year as needs change

  • Lower income individuals may qualify for Tax Credits or Cost Sharing through the Marketplace

DISADVANTAGES

  • Cost can be substantially higher for older ages

  • There may be a limited number of carrier choices

  • Can only purchase during open enrollment periods

  • Premiums paid by an employer are taxable to the employee

GROUP INSURANCE

There are both advantages and disadvantages for getting your health insurance through an employer’s group health plan.  Here are some of the most important:

ADVANTAGES

  • Can be purchased by an employer any time of year

  • More choices of insurance carriers

  • Premiums paid by the employer are non-taxable to the employee

  • Older employees are subsidized by younger employees

  • The employer must contribute 50% of the employee rate

DISADVANTAGES

  • The employer must contribute at least 50% of the employee rate 

  • The employer chooses the carrier and plans offered each year

  • Younger employees usually subsidize the cost for older employees

  • Employees must work at least 30 hours per week to be eligible

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