When to Prefer Private Health Insurance

Getting private health insurance is something that many people have to do at some point in their careers. Many people are intimidated by the thought of going out and getting their own insurance plan. However, it is not always your worst option. There are some private health insurance plans out there that will allow you to be covered for a reasonable price. You just have to keep looking until you find a plan that fits your family's needs. Here is when you should prefer private health insurance over another type of plan. 

Bad Group Plan

Just because you work somewhere does not mean that you are obligated to use their medical coverage. When the company is paying for your medical coverage, it is usually going to be in your best interest to go ahead and use their plan. However, if you are paying for most of the coverage yourself, you should have a right to choose what plan you get. You might be surprised how competitive some of the individual health insurance plans are out there. Some of them are actually better than the rates that you can get from certain group policies. 

If you happen to work for a small company that does not have a very good health insurance plan, it may be in your best interest to look elsewhere for your insurance needs. If you can get a better rate and better coverage by getting your own private health insurance plan, then you should definitely do so. 

Short Term Employment

Another situation that may merit you looking into private health insurance is when you know that you are not going to work at your current employer for very long. You might just be on a temporary job or know that you can not work there for long. Sometimes, you know that your job is not fulfilling and you want to get out in the near future. However, due to certain circumstances, you have to keep working there until you find something better. If this is the case, it may not be in your best interest to stick with their plan. If you did stay with their plan and something happens to you medically, you will have to stay on that insurance plan until the problem is fixed. If you try to switch insurance providers in the middle of a medical treatment, you may be out of luck. Your new carrier may not cover a preexisting condition and deny coverage on certain claims. You can avoid this problem by simply getting your own private health insurance plan from the beginning of the process. 

Health Savings Account

If you want to take advantage of the tax savings of a health savings account, you may have to get your own plan. Many corporate plans do not have a high enough deductible to qualify for a health savings account. Therefore, if you want one, you may have to go out on your own. 

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