You’ll pay more for an insurance plan if you’re an employee of a large health care company than if you work for yourself.
The reason is that most of the insurance policies on the market are owned by the company itself, meaning that the company is liable for some of the expenses that you’ll incur when you’re sick.
If you have a catastrophic illness, for example, and you’re covered by an employer-sponsored policy, you could have your premiums increase by hundreds of dollars per month.
If the same policyholder had a catastrophic event himself, he could end up paying a lot more than he would if he was covered by a separate policyholder.
That’s because the policyholder’s employer has an incentive to pay the higher premium because he’s insured.
So it’s very difficult for the company to cover you if you go through with your plans.
But if you can get a policy from a smaller company that’s not owned by its employees, you’re likely to have a much smaller premium.
This article is part of our series about the most popular health insurance plans available today.
Find out what each plan has to offer.
For more on what to expect when you enroll in a new health insurance plan, read the Health Insurance Guide.