Your two main options
ACA Marketplace plans accept everyone, cover a standard set of benefits, and come with a subsidy if your income qualifies. If your income goes up during the year, your subsidy can change.
Private plans are medically underwritten and priced on age and health, not income. The ones I work with most are limited benefit plans that pay set amounts for covered services, and you can apply any time of year.
The self-employed health insurance deduction
Many self-employed people can deduct the health insurance premiums they pay for themselves and their family on their federal taxes, if they aren't eligible for an employer plan through a spouse or another job. Rules apply, so check with your tax professional before you count on it.
How I help
I'll look at your household, your expected income and the care you actually use, then show you a Marketplace option and a private option side by side. If the Marketplace is the better deal for you, I'll tell you.
Who it tends to fit
A private plan may fit
- Healthy freelancers and contractors
- Higher earners who miss the subsidy
- Anyone who needs to apply outside Open Enrollment
A Marketplace plan is often better
- Lower or uneven income that qualifies for a subsidy
- Ongoing health conditions
- A planned pregnancy
Good to know: The private plans I offer are limited benefit policies (fixed indemnity). They pay set amounts for covered services, you're responsible for any costs above those amounts, and there's no out-of-pocket maximum. They aren't major medical insurance and aren't a substitute for ACA coverage. Pre-existing condition limitation: a condition you were diagnosed with, treated for or took medication for in the 12 months before your coverage starts isn't covered during your first 12 months.
Questions people ask
Can a 1099 worker get health insurance any time of year?
Private plans can be applied for year-round. Marketplace plans need Open Enrollment or a qualifying life event, like losing other coverage.
Is self-employed health insurance tax deductible?
Often, yes. Many self-employed people can deduct their health insurance premiums on their federal return if they aren't eligible for an employer plan. Check with your tax professional for your situation.
What if my income changes a lot year to year?
That matters most for Marketplace subsidies, which are based on your income for the year. Private plan premiums are based on age and health, so they don't change with your income.