How to Apply for Medical Insurance

Applying for Medical Insurance – Overview

Almost every business in the US offers health insurance coverage to its employees. If you are not covered under an employer’s insurance plan, there are other options for you.

Usually, the employer pays a part of the premium to buy employee insurance coverage. However, as you buy the insurance, you must pay the premium out of your pocket.

Now, you must wonder how much the insurance premium would cost. Still, several options and price ranges are available for you, depending on the extent of insurance coverage you require.

Some people may find the whole process of buying insurance quite intimidating and complex.

Need for Health Insurance

If you lose health insurance coverage for any reason, it is strongly recommended that you enroll in an alternate insurance plan as soon as possible.

Even if you do not need to use insurance benefits, there is no telling when you might be involved in an accident that requires immediate medical attention.

Even treating a minor fracture can sometimes incur prohibitive expenses if you are uninsured.

When you buy insurance through the Health Insurance Marketplace, you may be eligible for income-based premium tax credits or cost-sharing reductions.

The insurance marketplace is an online platform that offers insurance plans for individuals, families, and businesses.

In the insurance marketplace, you can find a variety of private individual health insurance providers.

These include Health Maintenance Organizations (HMOs), preferred provider organizations (PPOs), exclusive provider organizations (EPOs), consumer-driven health plans (CHDPs), point-of-service (POS) plans, short-term insurance policies, and catastrophic coverage, among others.

According to experts, buying private health insurance for individuals can cost around $440, while the average monthly premium for family plans can be around $1,168.

To help you make the right decision, here are some tips on how to apply for medical insurance.

Buying private health insurance

How to Apply for Medical Insurance

How to Apply for Medical Insurance – Buying private health insurance

Many Americans obtain health insurance through their employer’s group health insurance plans, not Medicaid or Medicare. Employer’s group health insurance plans are separate from Medicaid and Medicare, which are government-run programs.

Medicare is a federal health insurance program for people who are 65 or older, certain younger people with disabilities, and people with End-Stage Renal Disease. Medicaid is a joint federal and state program that helps with medical costs for some people with limited income and resources.

Medicare is a federally-run health insurance program. It is aimed at people over 65 years old.

Younger people with certain disabilities, including people suffering from end-stage renal disease, can also buy Medicare.

Conversely, Medicaid is public assistance, a healthcare program designed to make healthcare and medical services more affordable for low-income individuals, regardless of their age.

If your employer does not offer group health insurance and you are not eligible for Medicaid or Medicare, you can buy a private health insurance company policy.

Alternatively, you can also buy health insurance from the federal Health Insurance Marketplace.

When would you need medical insurance?

There are several situations where you would have to buy your private health insurance policy, including:

For Young Adults Who are 26 Years of Age or Older

Under the Affordable Care Act (ACA) provisions, young adults can stay on their parent’s health insurance plan until they turn 26 years old.

This applies to individuals who are less than 26 years of age. Once they turn 26, they must seek out their health insurance policy.

Medical Insurance For Unemployed Individuals

If you lose your job and consequently lose your employer-sponsored health insurance, you may be eligible to continue your coverage under COBRA for a limited time.

The Consolidated Omnibus Budget Reconciliation Act (COBRA) allows eligible employees and their dependents to continue healthcare coverage at their own expense.

Under certain circumstances, the COBRA option can extend your health coverage for up to 36 months.

However, the cost of enrolling under COBRA is quite high. You would now have to bear the entire premium and some additional costs.

Medical Insurance For Part-Time Employees

Most part-time jobs would not offer health insurance. A part-time job is typically defined as being employed to work fewer hours than a full-time position, often less than 35 hours per week.

If you work part-time, then you must enroll in your private health insurance program.

Medical Insurance For Self-Employed

A self-employed person is someone who owns a business or who works as a freelancer. Some self-employed individuals can get insurance benefits through their spouse’s insurance plan.

Alternatively, self-employed individuals may need to buy their health insurance.

Medical Insurance For Business Owners

If your business has employees, you may be required to provide health insurance coverage for them. Even if you are not required, you can offer health insurance to become an attractive employer.

In such situations, we recommend that you purchase a business health insurance plan, which is also known as a “group plan”.

Medical Insurance For retirees

Upon retirement, employer-sponsored health insurance coverage typically ends, and retirees may transition to Medicare or other health insurance options. So, if you are under 65 years of age and not disabled, then you may have to buy private health insurance for senior citizens.

Upon turning 65 years old, individuals become eligible for Medicare and can apply for coverage, transitioning from any previous health insurance they may have had.

Most retirees choose to buy private Medicare Advantage or Medigap insurance policies. These are in addition to the conventional Medicare.

This is a way to get more comprehensive medical insurance coverage.

Medicare is an individual health insurance program; each eligible person must qualify independently and cannot cover dependents under their Medicare policy.

This means that you may have to buy separate private individual health insurance plans for your dependents.

Lost Insurance Cover

The ACA prevents insurers from canceling your coverage. They cannot deny insurance coverage due to a pre-existing condition or if you make a mistake when applying.

However, there are other situations where your insurance coverage may be canceled. Sometimes, you may have to drop your current insurance provider if their rates become too expensive.


Although you may not be able to afford the kind of insurance plan your employer provides, any amount of coverage is better than none.

Buying health insurance will keep you prepared in case you need immediate medical attention following a major accident or long-term illness.

See Also

Does Medicare Cover Long Term Care

How Much Does IVF Cost

Does Medicare Cover Shingles Shots

Lap Band Surgery Cost Without Insurance

Does Medicaid Cover Dermatology

Medical Insurance for Kids

Dental Insurance for Senior Citizens

Dental Grants

Current Version
April 13, 2022
Written By
Shubham Grover
March 24, 2024
Updated By
Andrea Morales G.

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