This is a story about health insurance. Actually, it’s a real life account of the difficult time that my wife and I had trying to get health insurance for our family. A few months ago, we found ourselves needing health insurance. After my employer filled for Bankruptcy, I decided to become self-employed. The health insurance that I had at the time (through my employer) only lasted through the end of that last month and then I was presented with the option of either letting our policy lapse, or going on COBRA. Problem was, the COBRA premiums were about 3 times more expensive than the original insurance payments. We were basically forced into having our policy lapse because we couldn’t afford the COBRA payments.
I got some quotes and applied for coverage with a local insurance agent. That agent had a website that I had to go on to fill out the online application. It was easy enough.
After I submitted the application we were informed by the agent that we had been declined. When I was filling out the application I listed a few minor medical issues that I had dealt with throughout my life. I guess the insurance company considered those “pre-existing” conditions and declined our application.
I wasn’t really sure what to do at that point. My family needed insurance but we couldn’t afford COBRA. I started researching health insurance online and found a site called Health Insurance Anthem Blue Cross. It’s a site that’s maintained by a local insurance agent named Tom McDonald. I filled out the form and then called Tom. He told me that I could get around the pre existing clause by getting a group policy. I guess if you get group insurance, the insurance company can’t decline coverage based on any pre-existing conditions. I had an LLC that my wife and I filled a few years back. She uses it to sell children’s clothes and blankets that she makes and I use it for some real estate investing work that I do. Tom told me that we would qualify for group insurance as long as we applied using our LLC instead of applying as individuals.
About a week after we subitted the application and all the supporting documentation to prove that we actually did own and opperate a business under that LLC, we had health insruance! I was very happy with the way things went and very greatful to have a knowledgeable agent to guide us through the process. The policy we got was great because it paid out at 100% after we met our deductable. We ended up not having to pay for about $20,000 in medical expenses that year! What a great decision that was.
I like that I was able to complete the application process online as opposed to turning in a hand-written application. It was also very important to me to have access to a knowledgeable insurance agent who could answer our questions and guide us though this process.
Learn more about California Health Insurance. Stop by Eric Sachs’ site where you can find out all about Blue Cross Health Insurance and what it can do for you.