When Is the Right Time to Get Individual Health Insurance?

People who are not covered by health insurance plans at work often need to search for coverage on the individual market. When you buy coverage is an important factor regarding eligibility and how high of a premium you'll pay.

Misconceptions

• Some people may believe that it is nearly impossible to purchase affordable health insurance on the individual market. However, depending on your situation, you may obtain coverage from a private insurer or through membership in a professional association. Another option is to purchase a Health Savings Account (HSA), which combines a high-deductible major medical insurance policy with a savings vehicle similar to an IRA.

Considerations

• The best time to get individual health insurance is when you're young and healthy. If you plan to make a career as a self-employed individual or a business owner, you should buy health insurance during the early stages of your career.

Warning

• If you are female and planning to start a family, options for purchasing individual health insurance while pregnant are extremely limited. Many individual health insurance policies require a waiting period of at least nine months from the date of issue to cover any pregnancy-related conditions, if they cover them at all.