Buying health insurance is a responsible way of protecting your health and finances. For most people, health insurance comes from their employer. But not everyone has that option, and if you’re buying your own health insurance, you’re not alone. According to the Centers for Medicare & Medicaid Services, 24.2 million people got their health coverage through Affordable Care Act Marketplaces in 2025
Whether you’re between jobs, self-employed or working for a small business that doesn’t offer health insurance, we’ve got you covered. In this article, we’ll talk about individual health insurance considerations and how to purchase health insurance on your own, without relying on an employer.
Main Takeaways
- People who don’t get health insurance through their employer often need to purchase a plan on their own.
- There are several factors to consider before buying your own health insurance, including your health needs and budget.
- Buying health insurance on your own can be confusing, but with a little education and planning, you’ll be ready to roll by open enrollment.
Considerations Before Buying Health Insurance
Before you start querying “buying my own health insurance,” it’s helpful to reflect on a few different topics regarding your own health and finances, including your health care expectations, your health goals, your budget and your personal preferences. Here are some questions to ask yourself:
- What healthcare needs do you anticipate having? For example, do you have health conditions that call for regular doctor and specialist visits? Do you take medications? Or are you more interested in having coverage in case of emergencies?
- Do you have a spouse or dependents who also need health insurance? If so, how frequently do you expect they’ll need to visit doctors and specialists? Do they take medications? Or are you more interested in coverage for them in the event of an emergency?
- What is your budget? Does it make more sense for your household to have lower monthly costs (i.e., premiums) and a higher deductible? Or would you benefit more from higher monthly fees and a lower deductible?
- What providers are a priority for your plan? Make a list of their names so you can make sure they’re in your policy’s network.
- What medications are a priority for your plan? Again, make a list to see whether the prescriptions you take are included in your formulary.
- Do you anticipate any life changes in the coming year, such as a new job, a marriage or divorce, or a move to another city or state? Changes such as these (and more) could allow you to qualify for a special enrollment period for a new health insurance policy.
Where to Buy Health Insurance Without an Employer
When you’re buying your own health insurance, you have several different options to consider. Below, we’ll cover some common ways that people purchase health plans on their own.
|
Manner of purchase |
What it is |
Pros |
Cons |
|
Through federal and state insurance marketplaces
|
Marketplaces run by the federal government (healthcare.gov) and some state governments sell plans that must comply with the requirements of the 2010 Affordable Care Act (ACA). |
– Marketplace plans cover 10 “essential health benefits” per ACA requirements, including preventive services and emergency services – Easy to compare plans – May be eligible for the premium tax credit |
– Limited enrollment period
|
|
Directly from health insurance companies |
“Off-exchange” plans are purchased directly from insurers, such as like Blue Cross and Blue Shield of Alabama |
– Potentially more variety and offerings – Plans will be ACA compliant – May be eligible for premium tax credits or subsidies – You may be able to access more insights into plan details by buying directly from the insurer |
|
|
From licensed health insurance brokers |
Experts who can guide individuals in choosing the right health insurance plan |
– Wide-ranging knowledge of what’s available – Personalized advice based on needs and options – Usually operate at no cost to the consumer |
– Some brokers may only work with certain insurance companies – Work on commission, which could result in bias |
Federal and State Marketplaces
The Health Insurance Marketplace, whether it’s federal or state, connects individuals with plans that meet criteria established by the ACA. Some of those protections and benefits include coverage for people with pre-existing conditions, free preventive care, and the ability to keep young adults on a parent’s plan until they turn 26, among other aspects. In addition, eligible individuals who purchase insurance through the marketplace may qualify for the premium tax credit. Individuals can sign up for these plans independently, or insurance companies such as Blue Cross and Blue Shield of Alabama can help.
Directly from Health Insurance Companies
You can also purchase health insurance directly through insurance companies by visiting their websites, such as Blue Cross and Blue Shield of Alabama. Plans known as “qualified health insurance plans” will offer the essential benefits established by the ACA, and members may be eligible for premium tax credits or subsidies.. To sign up for a plan today that is listed on the Exchange or off, call 1-855-350-7441.
Health Insurance Brokers
Choosing a health plan can be confusing. Brokers serve as intermediaries between individuals and insurers and can help you select the right plan based on your needs and your budget. They’ll have a deep understanding of what’s available from various carriers, which can save time, money and stress. Brokers generally work on commission, which health insurance companies pay.
How to Purchase Health Insurance on Your Own
Open enrollment will be here before you know it. Ready to make a plan for how to get your own medical insurance? Read on for some ways to best prepare.
Write Important Dates on Your Calendar
When signing up for an annual health insurance plan, it’s essential that you sign up during open enrollment. For Marketplace plans, open enrollment runs from November 1 through January 15. If you want a plan that will begin January 1, you must sign up by December 15. If you sign up on or after December 16, your plan will start on February 1. Learn more about open enrollment here.
Alternatively, if you’ve experienced a qualifying life event, such as a marriage, divorce, loss of a job, the birth of a child or other circumstances, you may qualify for a special enrollment period. Learn more about qualifying life events here.
Understand the Difference between “Metal” Categories
Plans that are available through the Marketplace fall into four different categories: Platinum, Gold, Silver and Bronze. In addition, Catastrophic plans may be available to individuals who are ineligible for premium tax credits or cost-sharing reductions because of their income. Here’s the breakdown of the metal categories, and what they mean:
|
Type of plan |
% paid by the plan |
% paid by you |
Average cost of deductible |
|
Gold |
80 |
20 |
You can usually expect to pay a low deductible and a higher premium. This may be beneficial for someone who wants the majority of their health care costs covered by their insurance. |
|
Silver |
70 |
30 |
You can usually expect to pay a moderate deductible and moderate premium. This may be beneficial for someone who anticipates having some health care needs throughout the year. |
|
Bronze |
60 |
40
|
You can usually expect to pay a high deductible, but a lower premium. This may be beneficial for someone who expects few health care visits throughout the year. |
Learn the Difference between Types of Plans
Metallic categories aren’t the only differences you’ll want to grasp before choosing a plan. You’ll also need to understand the different types of plans available, such as Exclusive Provider Organizations (EPOs) and Preferred Provider Organizations (PPOs). Here’s a brief description of each:
- An EPO generally offers a network of hospitals and providers to choose from and may be less costly than a PPO.
- A PPO generally offers access to a larger network of doctors and may be associated with higher costs than an EPO.
For more insights on what to consider, see our article on 6 Things to Consider as Open Enrollment Approaches.
Make Sure Your Providers and Prescriptions are Covered
It’s important to choose a plan that will serve you and your health needs, including specific providers you use and the medications you’ve been prescribed. When comparing different plans, you can search for the names of your health care providers and medications to determine whether or not the plan in question is the best fit for you.
Tips for First-Time Individual Insurance Buyers
If it’s your first time buying your own health insurance, it can feel overwhelming. The following tips can help you figure out your top priorities as you choose the right plan.
Learn the language. You’ve probably already realized that health insurance has a language of its own. For a primer on what those words mean, study this Health Insurance Glossary.
Consider your health care needs and your budget. For some people, predicting their health care needs for the coming year can be difficult. Generally speaking, if you don’t expect frequent doctor visits, it might make sense to choose a plan with a low premium and a high deductible, such as a bronze PPO. Whereas, if you have one or more chronic health conditions and expect to see your doctors and/or specialists regularly, it might make sense to choose a Gold PPO with a higher premium and lower deductible.
Keep track of what you like and don’t like about your health plan. That way, when open enrollment rolls around next year, you’ll have some insights into which plan will make the most sense for your future health needs.
Learn More About Getting Health Insurance
Health insurance is something every person should have. A good policy can help you access the care you need when you’re sick, and it can cover preventive care designed to keep you healthy. Plus, when you know how to purchase a health insurance plan on your own, you can enjoy peace of mind all year long.
But remember, buying your own health insurance is just the first step in your health journey. It’s also essential to understand how that insurance works so that you can use it to your advantage. As you strive to become an engaged patient and health plan member, the following articles are a great place to start:
How Health Insurance Works: Feel Confident Using Your Coverage
Claims 101: Understanding the Healthcare Billing Process
To Prepare for a Health Emergency, Take these 4 Steps
How to Get Health Insurance if You Aren’t Covered
