Individual healthcare with or without a maternity plan?

Question

My husband and I will both be self employed next month and are looking into individual healthcare plans. I am currently employed full time and carry our coverage, so when I leave my job to become self employed...we'll be losing our insurance. There seems to be no such thing as GOOD maternity coverage. Most insurance companies require you to wait 3-12 months before getting pregnant! Then they'll only pay out a max of $2000 for the birth! Does anyone have any advice or referrals? Has anyone taken just basic health coverage and paid for the birth out of pocket?

I live in Wisconsin if that matters.

I'm not currently pregnant, but we're trying.

Please don't say "don't leave your job" because we've already decided on that, and that doesn't answer my question.

Thanks!!!

Answer 1

The GOOD maternity coverage, is through a group plan.  That's because on a group plan, everyone buys it - the men, the singles, the post menopausal women.  EVERYONE.  So the cost is SHARED.

On a private policy, only the people who want to have babies, buy the coverage.  So it's more like a "prepaid" thing.

My advice, is keep your COBRA, for up to 18 months, until you have the baby.  OR, pay out of pocket.   The cobra is likely to not be as expensive as a private plan with maternity, for you.

Answer 2

As mentioned, coverage can be cheaper if you are part of a group.  There's an outside chance that you belong to a professional group, alumni association, etc., that has such a group deal on health insurance.  Though most such groups involve auto or home insurance, it's certainly worth checking out any organizations you do or can belong to just in case they have this benefit.

Answer 3

You are right about individual maternity coverage. With individual health insurance all maternity is more of a "pre-payment" plan because only women interested in getting pregnant get the coverage. The higher premium and the waiting period insures that no insurance company is going to pay out more for your delivery than they receive in premium. You can almost always do better contacting the doctors and hospitals and setting up a payment plan.

Complications, such as a C-section, are covered with most individual policies even if you don't have maternity coverage so you do need coverage. Visit a local agent that works with all the major companies in your area. The agent can find the best and most affordable for you. There is no extra charge using an agent. Many people find that HSA qualified plans along with a health savings account works well.

EDIT: I tried to answer your email but you do not allow emails.