Introduction

Choosing health insurance as a self-employed professional can be complicated, especially when considering options like PEO-based group insurance and Association Health Plans (AHPs). This playbook is designed to simplify your decision-making process. Alongside in-depth information on each option, you’ll find an interactive quiz that will guide you in determining whether a PEO or an AHP is better suited to your needs. You’ll also have the chance to book a call with our experts for personalized advice.

Section 1: Understanding Health Insurance Options for Self-Employed Individuals

Navigating health insurance independently comes with challenges—higher premiums, limited options, and administrative burdens. Let’s break down two viable options that could provide the coverage, cost savings, and support you need.

1. PEO-Based Group Plans

• Overview: Partnering with a PEO (Professional Employer Organization) allows you to access group health insurance, often at reduced rates and with additional HR support.

• Pros: Comprehensive coverage, simplified administration, support beyond health insurance (e.g., payroll, compliance).

• Cons: Requires payroll integration and usually involves additional fees for PEO services.

2. Association Health Plans (AHPs)

• Overview: AHPs provide self-employed professionals with access to group health insurance through an industry or trade association. Unlike PEOs, AHPs don’t require payroll integration.

• Pros: Lower premiums, no payroll requirement, generally more accessible for self-employed individuals focused solely on health coverage.

• Cons: Limited availability based on industry and location, fewer administrative services compared to PEOs.

Section 2: Detailed Guide to Enrolling in a PEO or AHP

Once you’ve determined whether a PEO or AHP is the right fit, this section provides specific guidance on how to proceed with each option.

For PEO-Based Group Plans

1. Select a PEO: Evaluate potential PEOs based on industry experience, pricing, and available health plans.

2. Integration Steps: Coordinate payroll setup and onboarding for comprehensive support.

3. Employee Introduction: Ensure any employees understand the benefits and new processes associated with the PEO.

For Association Health Plans (AHPs)

1. Identify Relevant Associations: Search for associations in your industry or area that offer AHPs.

2. Review Eligibility Requirements: Make sure you meet any criteria for joining the association and AHP.

3. Apply for Membership and Enroll: Complete the application and enrollment forms, providing any required documents.

Need Help?

Take Control of Your Health Insurance Decision

Choosing the right health insurance solution as a self-employed professional is an important step in protecting your health and financial future. Whether you prefer the affordability of an Association Health Plan or the comprehensive support of a PEO, we’re here to help make the process as smooth as possible. Start by taking our quiz, book a call with one of our experts, and explore our resources designed to support your journey.