The average premium for health insurance in 2022 was $438 per month per person. Even if you have a well-paid career, that number could present a significant dent in your budget. The high cost of insurance in America is just one of the many factors that leave 26% of Americans to choose to forgo insurance. However, there are ways to find affordable coverage, if you know where to look. Here are some of your options if you can’t afford health insurance.
Insurance Through Your Employer
While this option is likely the most expensive on the list, it’s typically the first place you should look to compare coverage options. If you are a full-time employee, your employer may offer a variety of coverage options for you to choose from. Many employer-based plans come at a reduced cost because the company pays part of your premiums for you. You may also be eligible for other types of insurance including short-term disability, life insurance, and supplemental plans for an additional cost.
The Marketplace
When Obama signed the ACA into law, the marketplace was born. Now, all Americans can purchase affordable coverage through the online marketplace during open enrollment each year or when they’ve had a qualifying life event. The cost of coverage in the marketplace can vary greatly depending on several factors like your gross income in the previous tax year, your number of dependents, and your projected income through the following year.
When you qualify for coverage on the marketplace using the above factors you may receive an advanced premium tax credit. This is a tax credit you get in advance to lower your healthcare premiums. Many Americans qualify for subsidies that allow them to pay as little as $0 for a silver plan.
Types Of Plans On The Marketplace
The marketplace offers four types of plans, bronze, silver, gold, and platinum, known as metal categories. These metal levels indicate how much you pay for health insurance and how much your health insurance company covers. Remember, you receive the same care no matter what plan you receive since all plans on the marketplace must cover 10 essential health benefits defined by the Affordable Care Act.
Typically with your plans, the higher your monthly premium, the lower your annual deductible. If your premium is lower, your deductible will likely be much higher.
Short Term Insurance
When you are in between jobs and intend to get health insurance either from the marketplace during enrollment or from your next employer, you just need a temporary fix for your insurance needs. In these situations, Short Term Insurance may be a great option.
Short Term Insurance can cover you from 1-12 months depending on your state, and allow you to pick exactly the coverage you need. In some situations, you can get coverage as soon as the next day after your application is filed.
Short-term insurance was not meant to be a permanent solution and varies greatly from ACA plans. You should typically only consider short-term coverage if any of the following circumstances apply to you:
- You are unable to apply for coverage through the marketplace because you missed Open Enrollment and you don’t qualify for Special Enrollment
- You are waiting for your ACA coverage to start
- Looking for coverage to bridge you to Medicare
- Turning 26 and coming off your parent’s insurance
- Between jobs or waiting for benefits to begin at your new job
- Healthy and under 65
Unlike coverage from the marketplace, short-term plans are not required to have any specific benefits, instead, you purchase the plan that has exactly the coverage you need. Short-term coverage doesn’t cover pre-existing conditions as marketplace plans do, so your medical costs for any pre-existing illnesses or injuries will be fully out of pocket.
Find The Coverage You Need
If you find yourself without insurance or the means to cover your existing plan, there are options available to you and your family. At Insuraway we can evaluate your coverage and lifestyle to find you the most affordable coverage for your healthcare needs. Interested in learning your options? Call us at 1-800-764-7186 to learn more.
