If you don't have health insurance through a spouse or an employer, you usually need to settle for a fairly expensive individual policy. But this actually isn't the only option. Like many things, you can purchase insurance in bulk through a group insurance broker. This lets you spread the cost of your insurance over a multitude of other individuals. But there are some things that you will also need to consider first.
You Will Need a Large Number of Members
So what is a "large number"? Well, that's a gray area; you just need enough to convince a company to insure you. For some companies, this may be a few dozen; other companies may not touch a group with less than a few hundred individuals. The number of individuals is important because it allows them to spread out their risk, especially in the face of cancellations or significant health issues.
You Will Need to Look Into Laws in Your Area
Different states and localities have different regulations regarding group insurance plans. Part of this is due to the way that insurance is structured: some programs are handled on a state level, some on a federal level, and for some states there's a gap in between. Your insurance brokerage will be able to tell you more about what you need to do to establish a group plan, but there are some states in which it may be more difficult than others.
You May Be Able to Get Coverage Through an Established Group
Employers aren't the only way to get insurance. If you are part of a group, you may already be able to apply for group health insurance. AARP is an example of a group that offers health insurance to its members. There are also freelance groups, trade groups, industry groups, and other associations that can provide health insurance. It should be noted that this health insurance may not be as robust or comprehensive as employer-provided insurance, but it's still better than nothing.
Should you start a group health insurance plan? If you have enough members and you're willing to put some work in, it can be an excellent way to save yourself some money. But it isn't something you can just take for granted: it will be far more complicated than establishing an individual plan. On the other hand, if you have a large enough group, your group insurance broker will do the majority of the work for you.
For more information and options, contact a group insurance broker company, such as Health Shop Inc.