Getting Health Insurance Through Your Employer: Is it Worth It?

A common perk offered to new employees is health insurance. A debate has been raging about getting employer-provided health insurance with many people questioning whether it is worth it. If you are in this position and cannot decide, keep reading because we are going to look at the pros and cons of employer-provided healthcare so that you can decide if it is a good option for you or not.

Pros of Employer-Provided Health Insurance

There are three main advantages that employer-provided health insurance affords you. The main one is convenience. Shopping for health insurance can be difficult and complicated, especially for those who have never done it before. We found that health insurance quotes are particularly convenient for those who aren’t able to find the right coverage. Getting employer-based health insurance is the better option for these people. You do not have to go through complicated processes, which makes it easier to find coverage for yourself or your family.

The second reason is price. Your employer might be able to negotiate a good deal for you that you might not get if you decide to shop around. However, if the coverage does not seem adequate for what you pay through your employer, it is always a good idea to look elsewhere. Getting health insurance quotes online allows you to compare different providers to what you are getting at work and you might get a better deal this way.

The third reason pertains to people with serious medical conditions. Through their employer, these people might get better coverage and rates through the group policy offered by their employer.

Disadvantages of Employer-Provided Health Insurance

One of the biggest advantages of health insurance plans provided by your employer is that you will lose your policy once you move to another company. Although it is possible to switch to individual insurance after you leave, you could end up paying significantly more.

Another disadvantage is that you likely will not get adequate coverage. Most employers have plans that pay out two to four times your annual salary, while experts recommend that your health insurance plan should cover 7-10 times your annual salary. Although it is possible to get better coverage through your employee, that is often complicated and difficult.

Additionally, you only take what the employer has to offer. If you need a different type of insurance, you have no option but to go out and find a policy that offers everything you need. If you are paying for insurance through your employer while paying extra to supplement it, why not get the insurance you need on your own?

Finally, you lose the type of personalized service you can get from an insurance provider. Since you are not directly in touch with the insurance company, you have to talk to HR and they may not have the answers you seek.

Is it Worth It?

It depends on what your individual circumstances are. If you do not need coverage beyond what the employer provides, then this is a better option for you as you do not have to think about payments. It is also worth it if you are young enough to need much more than is offered. However, if you have a serious medical condition, need broader coverage or a different type of coverage, it is better to find a plan on your own. Employer-based health insurance is a convenient option, especially for those who want to cut costs and do not need robust coverage. However, if you need something different and do not mind paying a bit extra, a better option would be finding adequate life insurance coverage on your own.…