The government requires all businesses with 50 or more employees to provide medical coverage for at least 90 percent of their full-time workers. The law says that 30 hours a week or more is full-time employment.
In the past, group insurance has been more affordable than individual plans. Since the risk is spread out among the group members, insurance companies take less of a risk of losing too much money. Affordable health insurance companies are able to offer businesses better deals on coverage because the potential loss is lower.
Many employers paid a portion of their employees’ premium costs. Part of your benefits package could have included a stipend for a health plan.
However, many companies are changing their insurance coverage due to the rising costs of health are. Businesses looking to stay afloat may:
· Choose cheaper insurance plans.
· Stop paying for the employee’s premium.
· Stop paying for the employee’s family’s premium.
· Cut family health coverage.
· Cut spousal coverage.
· Select plans that have a low cost to the company but high costs for the employee.
· Cut employee’s hours to part-time to disqualify them for coverage.
With individual health insurance, you have more freedom to choose the best plan for you. You can choose plans that fit your budget and medical needs. Many insurance companies have special condition management plans.
For instance, if you need diabetes treatment, a plan with diabetes can help you keep your costs low. What’s more, the government provides tax credits in the form of insurance subsidies. This means an individual plan can be even cheaper than group plans.