Freelance writing is a pretty safe gig. It’s a reclusive job that keeps you at your desk, behind your computer.
But even if you never leave the house, you can get sick, and accidents happen. When they do, insurance is a safety net between the doctor’s bills and your bank account.
You don’t have instant access to employer health coverage as a freelancer. You must seek out your policies through alternative avenues, like these four simple ways to land insurance.
1. COBRA
If you’ve recently left your employer-sponsored health insurance behind, you may still be eligible for a continuation of coverage through the Consolidated Omnibus Budget Reconciliation Act (COBRA).
COBRA is beneficial if your or your family member’s significant health conditions add to expensive monthly bills. However, the premium is often shocking to policyholders, as it’s the same amount as the employer’s coverage but entirely up to the ex-employee to pay.
So, you get the same coverage you had before, but your employer isn’t shouldering part of the costs any longer.
Each insurer has its own unique requirements for COBRA coverage. Policyholders can opt to keep their plan for a limited time, provided they’re willing to pay the full cost of up to 102% of the plan.
2. A Freelancer Platform
Did you know that as a freelance writer, you’re entitled to join one or more of many platforms designed for gig workers like you?
Companies like Selfgood provide access to memberships, where you can find low-cost options for health, dental, life, disability, and other insurance options. These platforms work similarly to employer-sponsored health coverage because the providers offer large group discounted rates to members.
Check out the options available, and make sure you understand the policies. For instance, Selfgood’s health insurance is an indemnity plan. Under indemnity coverage, you can see any provider you choose. After your deductible is met, the insurer covers a set percentage of the visit.
The only downside of an indemnity plan is that your provider may ask you to pay the full visit cost at the time of service. You’ll complete the basic claim forms and get reimbursed by the insurer after submitting them.
3. The Marketplace
If you’d prefer coverage with a private health insurance company, you can check out Marketplace Insurance. This coverage is set in place and guided by the Affordable Care Act (aka Obamacare).
Marketplace coverage is limited to the insurance providers approved to work with the government in your state. You get all the benefits of employer-sponsored plans, but they’re individual and family policies. Premiums vary depending on income, coverage, deductible, and state. However, Marketplace insurers aren’t allowed to deny coverage for pre-existing conditions, and self-employed business owners (with or without employees) are eligible to apply.
There’s a Federal Open Enrollment period during which anyone can apply for coverage. This lasts from November 1 to December 15. If you’ve had a special event, such as a job change where you’ve lost your insurance, marriage, divorce, a move out of county or state, and childbirth, you can apply any time of the year.
Note that your premiums and coverage are contingent on filing tax returns next year. Your rates are based on estimated income. If you fall below a certain threshold, you’re eligible for subsidies covering part of your premiums. However, you may have to pay back part of those subsidies if your insurance is substantially different than you estimated when you applied.
4. State Medicaid
If you’re finding it challenging to make money starting out as a freelance writer, you’re not alone! You’ve made the switch from a steady paycheck to entrepreneurship, and it’s not always possible to afford the cost of health insurance coverage.
Until you’re on your feet, you may qualify for state Medicaid. This is government-funded insurance that’s available to low-income families and certain individuals. The Medicaid program is funded in part by the federal government, but the state determines the requirements for eligibility.
In general, if you make up to 133% of the federal poverty level, you likely qualify. As an example, in 2023, an individual at the poverty level makes $14,580 or less per year. To meet the 133% threshold, the single person would make $19,391.40 or less. The poverty level changes by the size of the household.
If you think you may qualify for Medicaid coverage, you can check the state’s Medicaid website and apply any time of the year. It doesn’t hurt to apply!
Conclusion
Your job doesn’t expose you to as many germs as your old “outside the home” position may have, but even freelance writers get sick. Before it happens to you, check out these four insurance options, and find a policy and premium that work for you and your budget.
