If you have recently left your job, and are looking for a way to start up your own business, the biggest worry on your mind, right now would be the loss of your health coverage. But don't be afraid, insurance for the self employed is a growing field, ever since the market started looking bad a few years back.
A good starting piece of advice would be to continue, with your previous employers, group health scheme, while you search for other options. The Federal Consolidated Omnibus Budget Reconciliation Act (COBRA) mandates, that employers with 20 or more employees offer an employee, and their dependents the opportunity of continuing their membership, with the current group plan, but at their own expense.
Group health schemes, have lower interest rates compared to ones drafted for individuals, and this helps you to save more on the premiums. Meanwhile, you can continue to look for better health insurance options, for the self employed. But take care as COBRA expires after 18 months and then you're on your own.
Evaluate your needs well, before you take on a health insurance scheme. If you plan to stay single or don't want kids, then you wouldn't need maternity coverage in your plan, and it helps to save on the cost.
Catastrophic health insurance policies are well suited to young, healthy single men since; they offer the cheapest premiums available, in case of accident or illness, some times going under $100, a month. These policies have a high deductible, low premium rate. This means that in case of an accident, the first few thousand dollars will be paid by you, before the insurance company refunds you. The more the deductible on your plan, the lower will be the premium; however it puts the onus on you to avoid accidents. Just take care, that when you're paying for a broken leg, you have enough cash left for your arm!
Catastrophic health insurance plans are High Deductible Health Plans (HDHP), and are a pre-requisite to opening a Health Savings Account (HSA). These accounts aren't insurance plans, but are actually savings accounts, which provide customers to pay for their current or future health expenses or even for retirement health expenses, with no tax liabilities. You can use the money, in your HSA to pay for the deductible on your plan if the need arises, making the combo of an HDHP and an HSA a good idea.
A smart way to dodge the premium rates, if you are financially secure for the time being, is to pay the annual premium in one go. This helps you to save stupendous amounts of money, because most health insurance will love to have you as a customer and, will offer you substantial discounts.
If you suffer from certain health problems, such as diabetes or cancer, then most insurance companies will quickly skip by you. At such times, guaranteed-issue plans, issued by your state, can come in handy; though they do have somewhat higher premiums. You could also consider an indemnity plan with high deductibles, which may not allow for benefits depending upon your condition, but will cover you for unknown health problems.