Entrepreneurship & Small Business

Health Insurance for self emplyed

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  • Oct 27th, 2016 12:46 pm
[OP]
Deal Addict
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Oct 4, 2006
2757 posts
194 upvotes
Burlington

Health Insurance for self emplyed

When I stopped going to school to run the family business I lost my health coverage. I've gone quite a few years now without it but I figure it may be a good time to figure that out.

I don't often get sick or require doctors attention/medication but god forbid something happens I'd rather not leave the family with some bill to cover. What have you guys used or would you recommend? Ideally it includes some level of dental since paying for yearly check ups is annoying when it costs $100+ for some fluoride and floss :confused: . I have a few cavities too that likely over time will need to get looked at so I'd prefer to not pay straight out of my pocket.

I skimmed the bluecross health plans and was quoted somewhere in $65.00 monthly for basic coverage and hospital benefits. But I'm not sure what other options are out there that are good.
79 replies
Deal Addict
Oct 14, 2004
1457 posts
421 upvotes
Toronto
A number of people on the forum recommended www.brockhealth.ca to me and so far it has been great. They are a small company and seem to do a really good job.
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May 16, 2007
1584 posts
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Does anyone know of a provider or coverage for someone who is employed by a company, but the company doesn't have a health insurance plan?
Member
Nov 22, 2005
462 posts
55 upvotes
Toronto
This is what I use: http://www.costplus.ca/

It's basically like a flex spending account, except that you administer it and there are no limits. The basic idea is that you send Cost Plus your health receipts (dental, drug, etc) and a cheque for that amount from your business account, and they send you back a personal check of that same amount. Cost Plus makes their money by charging an 8% "administration fee".

The end result is that you get money out of your business account into your own bank account for an 8% fee (as opposed to paying it out at your regular tax rate). You are using pre-tax dollars to pay for your health costs.
Deal Fanatic
Aug 21, 2007
5719 posts
634 upvotes
Markham
weebg wrote: This is what I use: http://www.costplus.ca/

It's basically like a flex spending account, except that you administer it and there are no limits. The basic idea is that you send Cost Plus your health receipts (dental, drug, etc) and a cheque for that amount from your business account, and they send you back a personal check of that same amount. Cost Plus makes their money by charging an 8% "administration fee".

The end result is that you get money out of your business account into your own bank account for an 8% fee (as opposed to paying it out at your regular tax rate). You are using pre-tax dollars to pay for your health costs.

maybe you should look into switching to brock health? Same thing, except only 5% admin fee instead of 8%
Newbie
Jun 4, 2006
88 posts
6 upvotes
Chatham
adeel wrote: maybe you should look into switching to brock health? Same thing, except only 5% admin fee instead of 8%

+1 for brock health
Deal Addict
Aug 28, 2007
1941 posts
318 upvotes
Calgary
Starkicker wrote: Does anyone know of a provider or coverage for someone who is employed by a company, but the company doesn't have a health insurance plan?
Employees who do not have employer coverage only have one option; selecting one of the premium based insured plans from providers like Blue Cross, ManuLife etc.

Unfortunately, employees are not able to directly access tax-friendly plans (such as PHSP's and so on). Those benefits are only available to people who run businesses. I've mentioned it before, but it bears repeating... Tax laws are written by business people for business people. Of course, the inference is you should start a sideline small business to start participating in some of those benefits... after all this is an entrepreneurship forum so you likely have at least some interest in it.
Newbie
Jan 20, 2011
12 posts
Ive heard of Cost Plus Plans where your expenese become a business write off. Can remember a company name though.

Something like you have a $500 dental bill, you get and expense for $550 through the insurance company.
Deal Addict
Aug 28, 2007
1941 posts
318 upvotes
Calgary
sksman wrote: Ive heard of Cost Plus Plans where your expenese become a business write off. Can remember a company name though.

Something like you have a $500 dental bill, you get and expense for $550 through the insurance company.
Yes, that is what most of the respondents are talking about. They are called Private Health Services Plans or PHSP for short and Brock Health (www.brockhealth.ca) is one company that offers them. Every established small business should have one.
Deal Fanatic
Dec 19, 2005
7589 posts
879 upvotes
Waterloo
Looking at http://www.brockhealth.ca right now and im quite amazed is it true that you do not pay a monthly fee? just pay the 5% and $100.00 enrollment fee and thats all?
Deal Fanatic
Aug 21, 2007
5719 posts
634 upvotes
Markham
sassysue wrote: Looking at http://www.brockhealth.ca right now and im quite amazed is it true that you do not pay a monthly fee? just pay the 5% and $100.00 enrollment fee and thats all?

Yeah, seems like it.

Also, get your accountant to speak to them - they seem to offer a promotion to accountants whereby they will waive the startup fee for each customer lead they provide:

If you wish to provide a value added service to your clients, Brock Health Administration will reduce the $100 enrolment fee charged to your referred clients. Contact us now to make immediate arrangements, for offering this service to your clients.
Deal Fanatic
Dec 19, 2005
7589 posts
879 upvotes
Waterloo
adeel wrote: Yeah, seems like it.

Also, get your accountant to speak to them - they seem to offer a promotion to accountants whereby they will waive the startup fee for each customer lead they provide:

If you wish to provide a value added service to your clients, Brock Health Administration will reduce the $100 enrolment fee charged to your referred clients. Contact us now to make immediate arrangements, for offering this service to your clients.

dam such a great price :) gotta take advantage of this thanks.
Deal Fanatic
Dec 19, 2005
7589 posts
879 upvotes
Waterloo
i applied today if ur corp you get unlimited access if your sole properator there is limited to 1500 for everything!
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Dec 10, 2004
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Vancouver
I don't understand...Blue Cross Dental + Health is like 180 bucks and they cover like 75%.
$100 Enrollment and they pretty much cover 95%?? No monthly payments?? How can they afford that?
[OP]
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Oct 4, 2006
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Burlington
dazz wrote: I don't understand...Blue Cross Dental + Health is like 180 bucks and they cover like 75%.
$100 Enrollment and they pretty much cover 95%?? No monthly payments?? How can they afford that?

:S every time I looked at Blue Cross the full Dental and Health thing was like $180.00 monthly.
Deal Fanatic
Aug 21, 2007
5719 posts
634 upvotes
Markham
^Clerically it probably isnt that much work to adjucate the claims...i imagine its a fairly automated/repetitive process

I think I read they have 1000 customers across Canada...depends on avg customer spend...some companies are probably spending 10k per annum, while others are 2 or 3k...its a prety good business idea when you think about it lol
Member
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Jul 4, 2005
264 posts
5 upvotes
Markham
dazz wrote: I don't understand...Blue Cross Dental + Health is like 180 bucks and they cover like 75%.
$100 Enrollment and they pretty much cover 95%?? No monthly payments?? How can they afford that?

It's a ripoff but there is the very odd chance that you are very unhealthly and highly medicated and spend $400 a month on medications so BlueCross loses money from their $180 fee. For costplus/brock, they make 5% profit. Spend zero a month, no money but you didn't bother them with any mail/billings. Spend $400 they get $20. No automated co-pay and stuff at the pharmacy for them to setup or deal with. When you spend money submit your claim and I'll take 5% and most people also save up the receipts for the end of the year and make one claim.
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Dec 10, 2004
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Vancouver
jrnight wrote: It's a ripoff but there is the very odd chance that you are very unhealthly and highly medicated and spend $400 a month on medications so BlueCross loses money from their $180 fee. For costplus/brock, they make 5% profit. Spend zero a month, no money but you didn't bother them with any mail/billings. Spend $400 they get $20. No automated co-pay and stuff at the pharmacy for them to setup or deal with. When you spend money submit your claim and I'll take 5% and most people also save up the receipts for the end of the year and make one claim.

Hmmm. I still don't understand. So they get %5 as they are pretty much just a broker,right? So who pays the rest 95% of the total medical bill amount??

Currently me and my girl have no medical insurance. We both self employed. We looked at Blue Cross a few months back and there are so many restrictions and monthly pp cost would be about $180(claim or not) Plus it doesn't cover that much. All of us pretty healthy,but I'd like to be covered for teeth, a few times per year and few prescription drugs once or twice a year. 3 years ago I needed some work done on my teeth and it was cheaper to go to Europe for a vacation and have it done there.

Now, it does seem like a a great plan. I just want to understand better...as now it almost feels like scam! "pay 5% and get 95% back".
Deal Fanatic
Aug 21, 2007
5719 posts
634 upvotes
Markham
The way it works is basically as follows:

-The business (self-employed, partnership or corp) enrols in this plan
- Individuals are covered under such plan - all employees plus immediate family - if you are an employee, which you are definitely in the case of self-employed, but MAY be for a partnership or corporation (since their are limited partners, directors and shareholders who may not take active roles in the business) - you are covered
- Someone eligible under the plan incurs an expense. Say $100 for prescription drugs.
- The employee gives the business the receipt and completes the claim form.
- The business submits the claim form, the receipt, and a cheque.
- The cheque is in the amount of the expense incurred, plus a 5% administration fee (plus HST on the admin fee only). So in this case, would submit 105.65.
- The employee who incurred the expense is sent a cheque (or has direct deposited) the amount of expense they incurred - $100 in this example.
- The company gets a deduction for $105.65 to throw onto their tax return.

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