My Employer Offers Health Insurance But I Can’t Afford It

What should you do if your employer offers health insurance but you cannot afford it?

You might be provided with medical coverage from your employer, yet that does not mean you are obliged to get it. Actually, you can purchase private medical coverage on your own as well. Individuals can join or change their medical coverage during the open enrollment period. Every business has its own open enrollment period.

Workers can decide to leave their employer supported coverage plan for the individual medical coverage market. A business can possibly constrain you to take the arrangement at work in the event that it pays 100% of the expenses or on the off chance that you consented to accept the arrangement as a component of a business or association understanding.

Cancelling your employer’s health insurance should be your last resort. Make sure you have other options fully available to you and that you are eligible for other insurance policies before you cancel the health insurance offered by your employer. Otherwise, you may end up with no health insurance at all.

If you want to know about what you should do if your employer offers health insurance but you cannot afford it, then you have come to the right place. We have gathered all relevant information to help you know about all that you need to. Find out what to do if you cannot afford your employer’s health insurance. So, what are you waiting for? Without much further ado, let us jump right in!

What happens when you can’t afford healthcare?

Ever since 2019, you no longer have to pay a penalty for not  having health insurance. Therefore, you do have to worry about the government charging you with a penalty. However, also the federal government has dropped all punishments for not having healthcare coverage, there are some individual states that have a different mandate. Although the penalties are not extreme, states like New Jersey and Massacheusttes do have some state laws which require you to pay a penalty if you are uninsured.

It is always advisable to get health insurance. You never know what sort of a situation you might end up in. Therefore, it is always better to have yourself covered instead of not being able to pay when you are handed with a huge medical bill.

What if I can’t afford my health insurance deductible?

Medical coverage deductibles have been consistently ascending for quite a long time. By far most business supported healthcare insurance plans expect individuals to pay a deductible. Among these employee’s arrangements, the normal individual deductible was $1,655 in 2019. This is drastically higher than the normal yearly deductible 10 years before, which was simply $533.

Those who purchase their own medical coverage in the individual market, deductibles are considerably higher. According to some statistics and studies made, the 2020 inclusion chosen by shoppers who didn’t meet all requirements for any ACA endowments, the mean individual deductible was $4,364.

In the event that you can’t manage the cost of your medical coverage deductible, you must remember that you are not in this alone. Regardless of how much your deductible is, in the event that you don’t have a lot of investment funds and you’re living from one paycheck to another, it can feel like your deductible is excessively high. In the event that you can’t bear the cost of your deductible, your choices for managing it rely upon whether you owe your deductible immediately, or whether you’re planning ahead of time.

On the off chance that you take on a HSA-qualified wellbeing plan, attempt to focus on it to set up a HSA and add to it consistently, so the cash will be there on the off chance that you wind up expecting to meet your deductible. On the off chance that you need to pay your deductible at this moment yet you don’t have the cash, your problem is harder. On the off chance that you don’t think of an approach to pay, your consideration might be deferred or you probably won’t have the option to get the consideration you need. Here are some things you can do if you cannot afford your healthcare deductible:

  • Discuss a payment plan with your doctor: While your primary care physician can’t defer or limit your deductible since that would abuse the principles of your wellbeing plan, the individual might be happy to permit you to pay the deductible you owe after some time. Be straightforward and disclose your circumstance forthright to your PCP or medical clinic charging office. Clarify that you’re making an effort not to escape paying however that you’d like the benefit of setting up an installment plan.
  • Research on more affordable medical care options:There’s generally more than one approach to treat a given medical care issue. It is safe to say that you are utilizing the most economical treatment alternative that will work for you? Would you be able to get the consideration at a free facility or a network wellbeing focus that will think about you paying little heed to your capacity to pay? A portion of these spots will think about you for nothing, will charge you dependent on your pay, or will acknowledge what your medical coverage covers as installment. While changing to a more affordable treatment alternative won’t make your deductible any littler, the deductible will come due over a more extended timeframe and in littler lumps.
  • Take money from your retirement early: By deciding to take cash from your retirement to pay your medical coverage deductible, you’re getting from your future to pay for your present. This is certainly not an excellent long haul plan. However, in case you’re confronting a circumstance where you might not have a future in the event that you can’t pay your medical coverage deductible, at that point you should seriously mull over this as an alternative.
  • Sell your belongings:No one needs to offer their stuff to pay for something as unremarkable as a medical coverage deductible; however, when all else fails, compromise is unavoidable. In the event that you can’t get you your next round of chemotherapy since you can’t pay your medical coverage deductible, at that point it’s an ideal opportunity to consider how to raise the assets.
  • Pay your deductibles using a credit card: Utilizing a charge card, individual advance, or home value credit extension to pay your medical coverage deductible is an unpredictable suggestion. It adds up to selling your future and venturing into the red just to meet your essential costs. In the event that you can’t pay your deductible currently, by what means will you pay the following year’s deductible while you’re likewise taking care of your obligation from the current year’s deductible? Credit doesn’t need to mean a Mastercard. It can likewise mean obtaining from the value in your home, a companion or relative, or taking an individual advance from a bank or credit association.

What if my employer offers health insurance but I can’t afford it?

My employer offers medical coverage yet I can’t bear the cost of it. This is a typical hold back with a potential solution which is based up on your circumstance. Individuals working at independent ventures and those with enormous families can frequently locate a less expensive and additionally better arrangement by purchasing singular inclusion through the trade. Low-pay families, pregnant ladies, the crippled, and seniors over the age of 65 may find that Medicaid or Medicare is the better other option. Be that as it may, single people without any children who consider 9.56% salary is too costly are in a tough situation. Your gathering plan at work is the most reasonable alternative – except if you are under 26.

What would it be a good idea for you to do if your employer’s medical coverage is excessively costly and you can’t manage the cost of the charges? The Affordable Care Act (ACA) should cause this issue to disappear. Notwithstanding, individuals actually fall into normal breaks and might not have enough cash. One ACA decide necessitates that specific managers offer plans costing close to 9.56% of a worker’s family pay for a representative just arrangement. This standard applies to specific individuals and not others.

Small businesses with less than 50 full-time equivalent workers are exempt

Large groups with more than 50 full-time equivalent workers must comply

Part-time workers are exempt from the requirement even at large groups

If you cannot afford employer’s health insurance, or any other medical coverage plan for that matter, do not panic. You would be happy to know that apart from the Affordable Care Act, there are a lot of other different affordable options out there too. However, it is possible that you just have not come across the affordable options yet.  Following are some cheap health insurance options for you. Let us have a look.

  • Subsidized health insurance: If you earn under a certain income level, there’s a very good chance you qualify for a subsidy on the exchange. Do some research and find out if your salary amount is something that helps you qualify for subsidized health insurance.
  • Catastrophic Health Plans: In the event that the trade is excessively costly for you, a less expensive disastrous or transient wellbeing plan might be ideal for you. While they don’t typically cover things like standard specialist’s visits, they will secure you in case of a mishap or awful determination.
  • Medicaid: In the event that you have practically zero pay, you may qualify through a state organization.

Can I still get an affordable care act if my employer offers insurance?

Obamacare, also known as the Affordable Care Act, is accessible to everybody, regardless of whether their bosses offer protection or not. From a practical and realistic angle, however, there are some financial repercussions to doing this. Your employer may add to your medical coverage costs when you register for the health insurance plan that your employer offers. Now and then they even contribute 100%. In any case, on the off chance that you quit your employer supported arrangement for an Obamacare plan, your job will not take care of your health insurance requirements. If you need to quit a business’ arrangement, you have to remember that you’ll be taking care of the expenses of your month to month charges all alone and following through on full cost.

Regularly, a business finances part or the entirety of their representatives’ inclusion. Yet, on the off chance that you choose not to go with your boss’ arrangement, that advantage won’t be accessible. Along these lines, you may wind up paying more to buy your own protection as opposed to accepting the coverage that your employer provides. You likely won’t be qualified for money related assistance from the state either. Government endowments are just accessible to pay a segment of the expense of medical coverage charges for specific low-pay people who are not able to get reasonable medical services through their positions.

Will I be penalized for getting a subsidy when my employer offers benefits?

The appropriate response to this question  is somewhat dim in light of the fact that the IRS hasn’t been sure about how it will deal with this circumstance. Probably, you should take care of a few, if not all, of the sponsorship sum you got on your charges. You may be answerable for the sponsorship sum you got while being offered profits by a business with a certified gathering wellbeing plan. Along these lines, if there was a 90-day sitting tight period for medical coverage or in the event that you didn’t land the position until some other time in the year, you won’t need to take care of the appropriation you got during those months when manager inclusion wasn’t an alternative.

Can I decline my employer’s health insurance?

You can opt out of your employer’s medical coverage during the open enrollment period. You don’t need to take it in the event that it is excessively costly and you want to discover a less expensive inclusion somewhere else. It is solely your decision to make. Be that as it may, you ought to know about the guidelines and repercussions before quitting.

  • You will most likely be unable to select back in after open enlistment closes – except if you lose inclusion through your companion because of employment end, or experience another significant life occasion, for example, moving to a new state.
  • You may not meet all requirements for subsidies on an individual arrangement. Individuals whose organization offers an arrangement costing under 9.56% of family unit pay for a worker-only alternative don’t meet all requirements for this assistance.

Moreover, ensure that you research the choices before declining your job based health insurance. Hopping on as a ward at your partner’s group plan is frequently the more feasible alternative when contrasted with an individual or individual arrangement.

Before you decide to opt out of your employer’s medical coverage, you need to look at the fact that some businesses offer you benefits and incentives, like lower charges for choosing a healthy lifestyle, such as stopping smoking or getting a membership in a gym. These motivators ought to be important before you make a final decision. In addition to this, keep the following things in mind before you choose to decline your employer’s health insurance plan:

  • You can join up with an individual wellbeing plan just during open enlistment. This remembers plans for the state medical coverage commercial centers and plans accessible straightforwardly from the best wellbeing safety net providers outside the commercial center. You may meet all requirements for an extraordinary enlistment on the off chance that you experience certain life occasions, for example, moving to another state, have changes in your salary, losing your group medical care inclusion, wedding, divorce or having a baby.
  • On the off chance that your manager offers inclusion that meets “minimum value” norms set by the Affordable Care Act and is regarded “moderate,” you can’t fit the bill for an administration sponsorship on inclusion bought through a trade, regardless of whether your salary would qualify you.
  • If you decide to pursue your manager plan at work, you’re left with it for a year. When you select in during work environment open enlistment, you can’t alter your perspective except if you quit.
  • On the off chance that your manager sponsors your medical care charges, and most do, you should price shop before you leave. You won’t really improve expenses by purchasing your own arrangement. Although it is conceivable, it is also far-fetched.
  • You might be setting aside cash by paying a lot of the business supported arrangement expenses with pre-charge dollars. On the off chance that you go out all alone, you can no longer compensate with pre-charge dollars.


Now, that you have read the article, you know that there are a number of less costly insurance policies that you can opt for if you cannot afford your employer’s health coverage plan. Remember that your health should be your number one priority. After all, as the saying goes, health is wealth. So, what are you waiting for? Decline your employer’s health insurance and opt for a more affordable option right now!

Tony Bennett

Tony Bennett

Tony Benett makes his living in the insurance industry by teaching and consulting. He is also recognized by the legal profession as an expert on insurance coverages. His insurance experience includes having worked at the company level, owned an independent general agency and having worked for an insurance association. He has received various certificates over the past few years and helps his clients and readers by giving them a realistic outlook on what they can expect to achieve within their set targets. At Insurance Noon, he is known for his in-depth analysis and attention to details with accuracy. He has been published as one of the most referred agents by his peers in the insurance community. Tony loves the outdoors and most sport events. His passion other than providing excellent advice is playing golf.