Many of our clients are self-employed or own a small businesses. When they come to us searching for health insurance, they often want to buy group insurance.
This is usually not in their best interest.
Group health insurance costs more than private health insurance in Connecticut!
If you and your family are healthy, you will be able to purchase a quality health insurance plan as an individual for a lower cost than you can purchase it as a part of a small group. Most employers pay part of the premiums for their employees. This leads most of our new clients to believe that group insurance is less expensive.
Health Insurance Companies that offer Group Coverage often offer individual and family plans too
In Connecticut this includes:
- Anthem Blue Cross Blue Shield
- United HealthCare
The individual and family health insurance plans are often very similar to the plans offered to employers. They often use the same networks of doctors and hospitals. The major reason for the cost difference between a group insurance policy and a private health insurance policy has nothing to do with the quality of the coverage.
Why Individual & Family Health Insurance plans cost less than Group Plans designed for the Self-employed
In Connecticut group health insurance plans aren’t underwritten. This means that people who have pre-existing conditions will qualify. The extra costs the insurance company associates with that class of policies means that group insurance can cost twice as much!
Unless a client or a member of the client’s family has a significant pre-existing condition, we recommend that they apply for a private health insurance plan unless they have non-family members as employees.
If you haven’t figured it out yet, there are no health insurance discounts for the self-employed health insurance in Connecticut.