Health Insurance Options for Locum Tenens Providers

How Do I Get Health Insurance as an Independent Contractor?

As an independent contractor working locum tenens assignments, it is essential to be in the know about your health insurance options. Because of this, we believe it’s important to educate yourself, and yes, we provided a breakdown:

1) Explore the Health Insurance Marketplace at Healthcare.gov

After the passage of the Affordable Care Act (ACA), Healthcare.gov, a U.S. government website, was launched. The purpose of the website is to host state health insurance exchanges so individuals can weigh their healthcare coverage options. As a 1099 contractor, this is the most common option to find health insurance. Given the varied circumstances as a locum tenens dentist, physician, nurse practitioner (NP), or physician assistant (PA), it’s best to understand your healthcare needs. Your needs can be determined by your past medical history, the nature of your work/assignments, and how much you can afford. By understanding your needs and criteria, Healthcare.gov will assist in weeding out the healthcare providers that are not aligned with your needs. On top of basic care needs, you can opt to add dental, vision, mental health, and medication management coverage.

What are the 10 essential health benefits covered under the ACA?

Ambulatory patient services
Chronic disease management
Emergency services
Hospitalization
Lab services
Mental health and substance abuse services
Pediatric care
Pregnancy, maternity, and newborn care
Prescription drug coverage
Rehabilitative care

Besides essential benefits, it’s important to highlight that the additional scope of coverage varies state by state. Depending on your state of application, you may be entitled to a higher level of coverage than other states. However, this coverage can entail higher premiums, deductibles, and copayments. That is why you should refer to Healthcare.gov to determine what works best for you.

2) Utilize Professional Associations

As a locums physician, dentist, NP, or PA, you may already be a part of a professional association related to your profession—whether it’s because of networking, continuing education requirements, or occupational interests. For many individuals, they are unaware that additional benefits such as health insurance may be available. If involved with a professional organization, you should refer to their website or customer service to see if it is available. An example of a well-known organization offering insurance to locum physicians is the American Medical Association.

3) Speak to an Independent Insurance Agent

Besides having the choice of a health insurance plan, you can also choose who to talk to. Using an independent health insurance agent will provide a more personalized approach to help meet your needs. Due to their expertise in the health insurance market, they can easily weed through plans and find a match for you. To find an independent agent, you can use the National Association of Health Underwriters (NAHU) website to find agents in your area.

4) Join Your Spouse’s Insurance Plan

If your spouse has access to an employer-sponsored health insurance plan, they may be able to enroll and add you to their plan. Keep in mind that enrollment periods vary.

Do Locum Tenens Providers Get Health Insurance?

Typically, locum providers are 1099 contractors and they enroll independently for health insurance. This means that self-employed locums can choose the plan that best fits their needs.

Are 1099 employees eligible for COBRA?

Yes, 1099 employees may be eligible for COBRA, as long as their former employer qualifies. When transitioning out of a permanent position, whether voluntarily or involuntarily, you may be able to continue your health insurance coverage under the Consolidated Omnibus Budget Reconciliation Act (COBRA). If eligible, you and your family can stay on your former employer’s group plan for up to 18 months. However, this option might be less attractive to some due to typically higher insurance premiums.

Can you write off health insurance as a 1099 locum tenens provider?

Yes, if you are on a private plan, 100% of your health insurance premiums paid during the year can be deducted, with certain exceptions. To learn more about taxes as a locum 1099 contractor, check out our latest content. To gain professional advice, we suggest speaking with a tax professional or certified public accountant (CPA).

How much does health insurance cost 1099?

Health insurance costs range due to many factors, including the state of enrollment, medical needs, age, and the amount of coverage you choose. Given these factors, an exact figure is unavailable and instead, visit Healthcare.gov.