1. Individual Texas health insurance – Purchasing individual Texas health insurance allows you to customize a plan that fits your health needs and budget, without paying for unnecessary items that were bundled into your group plan.  You can choose between a variety of plans, including PPOs, HMOs, fee-for-service plans and even a Texas health savings account.

2. COBRA – Those who leave their job for self-employment may be eligible to continue their coverage through COBRA.  The Consolidated Omnibus Budget Reconciliation Act of 1985 allows workers to extend their employer benefits for up to 18 months after leaving a job, but since the employer is no longer subsidizing the plan, this can be a very pricey option.

3. Join your spouse’s plan – If you’re married and your spouse’s employer offers solid health insurance, consider joining his or her plan.  It may be cheaper than purchasing insurance on your own, and group health plans will usually accept you regardless of health history.

4. Put a broker to work for you – A certified Texas health insurance broker can sift through all the clutter to help you find the best plan for you.  Brokers are eventually paid by the health insurance company you choose, so their services are free to use.

5. Short-term health insurance – If self-employment is only a temporary stop in your career, then a short-term Texas health insurance plan may be a good option.  It will keep you covered at a reasonable price until you move onto a job with employer-subsidized benefits.

Self-employed individuals purchasing health insurance can choose between indemnity plans (also known as fee-for-service plans), preferred provider organizations (PPOs), health maintenance organizations (HMOs), point-of-service (POS) plans and even health savings accounts (HSAs).  This freedom to choose between various health insurance plans available in a variety of cost structures can result in finding the best plan that’s most tailored to your specific needs.

Another advantage of purchasing your own health insurance is the ability to scale back coverage to your essential needs to save money on your monthly premiums.  Since group health insurance provided by an employer offers a broad range of benefits intended to cover a wide variety of people, extra costs are built in for all employees, whether they need extensive care or not.  Because of this, group plans can be unnecessarily expensive for healthy individuals.

Some options to consider:

1. Work with a certified health insurance broker who can match your needs and budget to a corresponding health plan.  The great thing about brokers is they are paid by the health insurance companies, not you, so their services are free to use.

2. Sign up for a health savings account.  An HSA is a savings account that allows you to contribute and withdraw money for qualified medical expenses without being taxed.  By pairing a health savings account with a high deductible health plan, individuals can save up to 40 percent on health insurance premiums.  And any money left in the account at the end of the year rolls over to the next year, so you don’t lose any of your investment.  It’s a great way to control your health care costs.

3. If you resigned from your job, you may be eligible to continue your group health coverage through COBRA.  COBRA can be very expensive, but some recent government subsidies have made it much more affordable, so it’s worth looking into.

Retaining or obtaining health insurance may seem like an unnecessary cost to some freelancers, but since emergency medical care, unexpected operations and hospital stays are so expensive, maintaining health insurance while self-employed can save you thousands of dollars in the long run.

There are some advantages to purchasing your own health insurance; for instance, you can scale back coverage to your essential needs to save money on your monthly premiums.  And you often have more options in choosing your health care policy than when you were receiving employer-provided benefits.

Individuals purchasing health insurance can choose between indemnity plans (also known as fee-for-service plans), preferred provider organizations (PPOs), health maintenance organizations (HMOs), point-of-service (POS) plans and even health savings accounts (HSAs).  This freedom to choose between various health insurance plans available in a variety of cost structures can result in finding the best plan that’s most tailored to your specific needs.

Another option to consider if you have lost your job and want to continue your current health coverage is COBRA, which grants individuals meeting certain criteria the ability to continue the health insurance policy from their prior job, generally for up to 18 months.  Coverage for COBRA participants is usually more expensive than health coverage for active employees, however, since COBRA participants generally pay the entire premium themselves.  But through a government subsidy included in the February 2009 stimulus bill and amended in a December 2009 appropriations act, the government may cover up to 65 percent of COBRA’s costs for up to fifteen months, making it much more affordable for individuals.

Paying for individual health insurance may seem like an unnecessary cost to some, but since emergency medical care, unexpected operations and hospital stays are so expensive, maintaining health insurance while unemployed or self-employed can save you thousands of dollars in the long run.  To find the best Texas health insurance plans and rates for you, try using a qualified Texas health insurance broker to match an insurance plan with your needs and budget.

Since Texas health insurance rates are regulated by the state government, those interested in purchasing health insurance should focus on more than just price.  Pay close attention to the following items when choosing a Texas health insurance plan to ensure you’re getting the plan that best suits your needs.

Covered services – What medical services are covered?  Depending on your health and health care needs, look for policies regarding annual checkups, immunizations, maternity benefits and whether vision and dental insurance are included or covered under a separate policy.  Another important consideration is whether specialist services are covered, including chiropractic care, acupuncture and physical therapy.

Deductible – A deductible refers to the amount an individual must pay for health care expenses before insurance starts to help cover the costs.  Those requiring frequent doctor visits and prescriptions might benefit from a plan with a small deductible; other individuals might opt to pay out-of-pocket for their infrequent doctor visits and instead pair a Health Savings Account with a high-deductible health plan to cover them in case of emergencies or catastrophic events.

Co-payments – Co-payments are predetermined flat fees that one pays for health care services, in addition to what their insurance covers.  Co-payments often kick in once a deductible is reached, and different costs may be applied when seeing a primary care physician versus a specialist, and when filling prescriptions.

Co-insurance – Similar to a co-payment, co-insurance refers to money that an individual is required to pay for services.  But rather than a flat fee co-payment, co-insurance is a percentage that an individual must pay toward a particular service.  For example, an individual could pay 20 percent of prescription costs, while the insurance company picks up the remaining 80 percent.  Depending on your needs and the amount you’re required to pay for services, calculate whether co-insurance or a co-payment is the best option for you.

Network of providers – Is your doctor covered under your insurance policy?  If not, you may have to pay more to see your “out-of-network” physician.  If you have a favorite doctor, or see a particular doctor regularly, make sure he or she is covered by your insurance.  Contact prospective insurance providers for a list of covered doctors, or simply ask your doctor if he accepts your insurance.

Pre-existing conditions – When choosing a health insurance plan or receiving a Texas health insurance quote, it’s important to know if the plan covers health problems you already have. Often a medical condition will be excluded from coverage by an insurance company if the condition existed prior to your obtaining benefits.  Ask potential health insurance carriers their policies regarding pre-existing conditions to ensure you’re covered.