National Association of the Self Employed Ten Tips for Lowering Heath Insurance Costs

Health Insurance costs are rising for everyone. And as difficult as it has been for individuals who have private health insurance to keep pace, and large companies to continue to provide health insurance benefits for their employees, perhaps the hardest hit are small businesses.

A recent study by the National Association of the Self Employed (NASE) found that average costs of small group heath insurance for small businesses; those with 1 to 49 employees have risen over $1000.00 per month since 2005, and almost $500.00 per month for family medical coverage.

NASE understands that within that group the companies affected most are micro-businesses – those with 10 or fewer employees, and of course the rising costs are extremely problematic to the smallest of the small businesses, the business of one – the self-employed.

But while NASE does not see a reverse of this trend anytime soon, they want the self-employed and operators of small businesses to take heart and realize there are ways to lower health insurance rates.

Here then in no particular order are the National Association of the Self Employed Ten Tips to finding affordable small business health insurance.

1. Raise Your Deductible, Co-Pays, or Coinsurance - The first “law” of affordable health insurance if you will is that deductibles and premiums are inversely proportional. In other words the higher a healthplan’s deductible and the bigger the co-pay amount per visit, the cheaper the premium will be.

2. Take Advantage of Tax Breaks - Payments made for healthcare including premiums for health insurance are tax deductible for the self-employed. Sole proprietors should also consider opening a Health Savings Account.

3. Find a Subsidy – Being self employed you or a family member may qualify for various low income health insurance subsidies. Check with your States Division of Insurance or Department of Labor for what may be available; as these programs vary from State to State; but in some cases you are entitled to earn as much as 300 - 400% of the Federal Poverty Level and still be entitled to State or Federal health insurance help. Almost all States provide health coverage for children of low income families for little or no cost.

4. Free and or Low-Cost Services - They are out there. Health clinics, hospitals, community outreach organizations, pharmacies – all offer free health screenings and other discount services that can cut costs, prevent illness, and lower medical expenses.

5. Lifestyle Changes - Join a gym, stop smoking, lose weight, and you will reduce your healthcare costs as well as your waistline.

6. Education – Do your homework before making any changes to your health insurance policy. Read the plan you do have over again and make sure you know its limitations and exclusions.

7. Self Care – No do not avoid the doctor when it is necessary, but try to deal with minor ailments at home first. Then call your physician only when the condition does not improve.

8. Plan Ahead – In the event of an emergency be sure you know what area hospital is covered under your plan.

9. Medical Tests – Avoid unnecessary ones, make sure any test the doctor is ordering is really necessary and not being done to pad the bill or minimize a lawsuit.

10. Generic Drugs – Always be sure your doctor is prescribing the least expensive version of a prescription medication.