As a realtor, having comprehensive and affordable health insurance is crucial to protect yourself and your family. Unlike traditional employees, realtors work as independent contractors and do not receive employer-sponsored health benefits. This makes securing adequate medical coverage more challenging and expensive through individual health insurance plans. Fortunately, group health benefits options can provide realtors with a viable solution for obtaining robust benefits at a lower cost.
In this complete guide, we will explore group health insurance for realtors, why itโs essential for real estate agents, what typical group plans cover, where realtors can get group coverage, how much it costs, key factors to compare different plans, and answers to frequently asked questions.
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What is Group Health Insurance for Realtors?
Group health insurance provides medical coverage to individuals under a single plan. It is typically offered by employers, professional associations, or other organizations to provide members access to affordable health benefits.
With group health plans, risk is spread across a larger pool of insured members, resulting in lower premium costs per member than comparable individual health insurance plans. Group health insurance plans cannot deny coverage or charge higher premiums based on pre-existing medical conditions.
Hereโs a quick rundown of how group health insurance works:
– The organization offering the group plan negotiates terms, coverage details, and premium rates with an insurance company.
– Eligible members then enroll in the group plan offered by the organization.
– Premium costs are usually shared between the organization and the individual members through payroll deductions or direct payments.
– Covered services fall under a single group health insurance policy. Claims are paid by the insurer to providers or members based on the planโs coverage details.
– Group plans often cover members and eligible dependents such as spouses and children.
The critical advantage of group health insurance is lower premium costs, which are lowered through the power of risk pooling across many healthy members. This makes coverage more affordable, especially for high-risk groups like realtors.
Why Do Realtors Need Group Health Insurance?
Realtors typically work as self-employed independent contractors and do not receive traditional employer-sponsored health benefits like company employees. Therefore, they must purchase health insurance independently through potentially expensive individual insurance plans or the public health insurance marketplace.
Given the high costs of medical care today, realtors can only risk being with comprehensive health coverage. Letโs look at some key reasons why access to affordable group health insurance is essential for realtors.
Lack of Access to Employer-Provided Health Benefits
Realtors are typically considered independent contractors. This means most realtors must secure health insurance independently without an employer-subsidized group health plan.
Purchasing health insurance as an individual can be extremely expensive. In 2023, a single person making around $54,357 per year will pay roughly $5,622 for public health insurance. Similarly, a typical Canadian family with two adults and two children, with a household income of about $169,296, will pay approximately $16,950 annually for public health coverage.
With affordable group health benefits, many realtors could pay exorbitant premiums for individual private coverage.
Source: https://www.fraserinstitute.org/sites/default/files/price-of-public-health-care-insurance-2023.pdf
Risk of Injury, Illness, and Disability
Realtors often have a physically demanding job showing multiple homes or properties daily, which involves a lot of walking, climbing stairs, etc. There is a decent risk of on-the-job injuries from falls, strains, road accidents while travelling to properties, and other hazards.
Additionally, realtors frequently interact with sellers, home buyers, inspectors, contractors and others as part of their work, which can increase exposure to contagious illnesses.
Like any other individual, realtors are also prone to developing severe chronic medical conditions, suffering critical illnesses, or being impacted by disabilities that prevent them from working.
Comprehensive medical coverage through group health insurance is crucial to help realtors deal with any injury, illness, or disability without financial ruin.
Importance of Continuous Coverage
Individual health insurance often has gaps in coverage as people frequently change jobs or insurers. However, continuous health coverage is vital to ensure realtors have access to preventative care, can cover pre-existing conditions, and avoid insurance application rejections or exclusions for things like pre-existing conditions when transitioning insurance providers.
Many group health insurance options for realtors allow continuous coverage as long as they maintain active membership in the sponsoring realtor association. This prevents gaps that could severely compromise coverage access and affordability when transitioning between health plans.
For realtors who depend on their health to earn an income, having continuous medical coverage through an affordable and stable group health insurance option is hugely important.
What Does Group Health Insurance Typically Cover for Realtors?
Group health insurance plans offer comprehensive medical benefits beyond hospital stays and doctor visits. Additional coverage options are critical for realtors but expensive to obtain through individual insurance plans. Here are some of the most common benefits group health insurance provides realtors:
Doctor Office Visits
Group health plans cover visits to in-network primary care doctors and specialists. This includes services like annual physical exams, diagnosis and treatment of illnesses and injuries, and obtaining prescriptions.
These essential medical services form the foundation of health insurance coverage. Group health plans often provide realtors with access to large provider networks, allowing them to choose from many doctors.
Hospital and Emergency Care
Hospitalization, surgery, ambulance transportation, and emergency room visits are covered under group health insurance. Realtors receive coverage for medically necessary inpatient/outpatient procedures and emergency care through preferred hospitals within their planโs provider network.
Prescription Drug Coverage
Learn more: Prescription Drug Coverage in Canada
The rising costs of prescription medications make having prescription drug coverage vital. Group health plans cover part of realtorsโ prescription drug costs, usually with a copay or coinsurance percentage. Having this coverage makes crucial medications affordable.
Dental Insurance
Learn more: Dental Insurance in Canada
Most group health insurance bundles dental benefits, such as cleanings, X-rays, fillings, crowns, and other oral health treatments. This coverage is important since individual dental insurance plans can be limited and expensive.
Vision Benefits
Learn more: Vision Care in Canada: Comprehensive Guide for Healthy Eyes
Vision care, such as annual eye exams and prescription glasses/contacts, is commonly covered under group health insurance. Some plans even provide allowances for Lasik eye surgery. Individual vision plans often have low annual maximum benefits.
Disability Income Insurance
Some group policies bundle disability income benefits that provide monthly cash benefits when a disability prevents a realtor from working. Having disability coverage is crucial financial protection for realtors.
Life Insurance
Many group plans include term life insurance at no or low cost to members. This provides realtors with basic death benefits, such as $25,000 to $50,000 in group term life insurance.
Telehealth Services
Realtors can take advantage of telehealth services from group plans that cover virtual doctor visits by phone or video chat in lieu of going to the physicianโs office. It’s very convenient!
Wellness Programs
More holistic coverage like gym memberships, smoking cessation programs, and health coaching resources are sometimes offered. This can help realtors stay healthy and earn rewards.
Travel Medical Insurance
Learn more: Travel Medical Insurance: Your Gateway to Worry-Free Adventures
Realtors frequently travel for conferences, real estate tours, and more. Group health plans often bundle out-of-country emergency medical coverage while travelling abroad, which is crucial protection for realtors who travel.
As you can see, group health insurance delivers comprehensive medical coverage that provides financial security for realtors against unexpected health issues.
Where Can Realtors Get Group Health Insurance?
Now that we’ve covered what group health insurance offers, where can realtors get group coverage? Here are some of the main options:
Realtor Associations
Many state and local realtor associations also offer group health plans as part of the member benefits. For instance, the Ohio Association of Realtors offers group health coverage via Medical Mutual of Ohio.
Purchasing group health insurance through your realtor association guarantees coverage without medical underwriting. Premiums are also kept lower due to the large pool of members in the collective.
Real Estate Brokerages
Some but not all real estate brokerages provide health insurance options for their affiliated realtor agents. If your brokerage provides group health benefits, itโs an easy way for realtors to obtain coverage. Brokerage group plans are guaranteed to be issued regardless of health conditions. The premium is also usually very affordable when split across the roster of agents.
Spousal or Family Group Health Plans
If a realtorโs spouse has employer-provided group health coverage, they can often enroll as a dependent on their partnerโs plan. This allows them to take advantage of potentially lower premiums and better coverage through a traditional group plan.
The downside is that if the spouse loses their job, the realtor could also immediately lose their health benefits. Having backup insurance through a realtor association can prevent gaps in coverage when transitioning off a spouseโs group health plan.
Private Insurance Companies
Some realtors obtain group coverage through private insurance companies or agents. Small real estate agencies can purchase a group plan for their employed realtors through insurers like Manulife, Sunlife or RBC, etc. However, this is only an option for solo agent realtors with a formal employee status.
Realtors can also consider less traditional group health options, such as health care sharing ministries or faith-based medical cost-sharing programs, which expand access to group coverage.
Realtor associations and brokerages offer realtors the most turnkey group health insurance options. However, exploring private group plans also provides potential alternatives.
How Much Does Group Health Insurance Cost for Realtors?
The cost of group health insurance for realtors can vary substantially based on the source of coverage, location, level of benefits, and if dependents are covered. However, group plan premiums are almost always cheaper than comparable individual health insurance.
The lowest rates are usually through employer-sponsored style group plans from brokerages. Realtor association plans are affordable but usually a bit higher since members are distributed nationally across different age groups and risk categories. Private plans can offer the best rates for younger realtors without pre-existing conditions.
No matter which option realtors choose, group health insurance delivers huge savings over individual insurance.
Comparing Group Health Insurance Options for Realtors
With various sources for group coverage available, realtors must compare their options to find the right plan. Key factors to consider include:
Premium Cost
While cost isnโt everything, finding an affordable group health insurance premium is likely the realtorsโ top priority. You want to balance robust coverage with budget-friendly premiums.
Covered Services and Benefits
Make sure the group health plan offers all the medical services you want, such as prescription drugs, dental, and vision. Donโt pay for unnecessary coverage, though.
Provider Network
Look at the size of the group planโs provider network and whether your preferred local doctors participate. Having access to top specialists is key.
Claims Processing and Customer Service
You want prompt claims payments and responsive customer service help if issues arise. Check reviews and ratings of the insurance company.
Plan Administration and Terms
Please verify that you understand how benefits are administered, whether there are waiting periods, when open enrollment occurs, and how billing/payments work.
Portability of Coverage
Look for group coverage that you can take with you if you change brokerages or leave the realtor association. Avoid risky gaps in coverage.
Letโs look at some examples to illustrate how realtors may compare plans:
Example 1
Mark is a 28-year-old, relatively healthy realtor who wants economic coverage. He compares these two options:
– His local realtor associationโs UnitedHealthcare group plan would cost $250/month. The premiums will increase as he ages, and the provider network will be limited.
– His real estate brokerage offers a Cigna group plan for just $150/month. The premium is locked in and wonโt increase with age. It has a national provider network.
In this example, Mark opts for his brokerageโs Cigna plan because it offers similar coverage for a much lower guaranteed price.
Example 2
Alicia is a 50-year-old realtor who sees several specialists for chronic health conditions. Her priorities are robust coverage and keeping her doctors. She considers:
Her state realtor associationโs Aetna group plan costs $950/month and allows her to keep all of her current specialists.
– An individual policy with Anthem would be $1,350/month, but her specialists are out-of-network.
Despite being more expensive than private insurance, Alicia chooses her realtor associationโs plan because provider choice and continuity of care are her top concerns.
Example 3
Sam and his wife are both realtors seeking family coverage. Their main priorities are affordability and plan flexibility if they switch brokerages in the future. They look at these choices:
– Samโs brokerage offers a UnitedHealthcare group plan for $900/month. However, it can only cover one spouse if both work as realtors.
– Their state realtor association offers a BlueCross BlueShield plan for $1,125/month. The premium is higher, but they can take the coverage with them if they change brokerages.
They select the pricier realtor association plan for peace of mind because it offers ongoing flexibility if they change employers.
As you can see, comparing group health insurance plans for realtors requires carefully weighing many variables, from cost to provider networks and flexibility. Focus on your specific needs and priorities to make the right choice.
Frequently Asked Questions About Group Health Insurance for Realtors
How is group health insurance different from individual plans?
The main differences are that group health plans cannot reject you for pre-existing conditions, and premium costs are based on the group, so they are usually cheaper. You have no gaps in coverage as long as you maintain membership/employment with the group.
With individual health insurance, you are medically underwritten, can be denied for pre-existing conditions, the premium is based solely on your age and health, and coverage can lapse if you frequently change jobs or insurers.
What types of group health plans are best for realtors?
Most realtors will benefit most from:
- Joining their state/local realtor association for group health benefits
- Enrolling through their real estate brokerageโs group plan if available
- Leveraging a spouseโs employerโs group health plan for coverage
These options provide guaranteed issue coverage without medical underwriting that is portable between realtor jobs/firms. National realtor associations also give access to significant group rates and benefits regardless of age or health conditions.
Can I use group health insurance from my spouseโs work?
You can obtain group health insurance coverage through your spouseโs employer if they offer health benefits. Just enroll as a dependent on their plan. However, you may lose coverage if your spouse leaves their job. So consider maintaining separate group coverage via your realtor association as a backup.
What if my brokerage doesnโt offer group health insurance?
Suppose your real estate brokerage does not offer group health benefits. In that case, your best option is to join your state or local realtor association, which provides group health plans as part of your membership benefits. You can also look into private health insurance companies that offer self-employed health plans. Just be aware that medical underwriting may apply to private plans.
How do I find the best group health insurance plan?
Compare premium costs, coverage details, provider networks, benefits, claims processing, and customer service between plans from your realtor association, brokerage, spouseโs employer, or private insurance companies. Weigh the pros and cons of each based on your budget, healthcare needs, doctors, and more. Meet with an insurance agent or broker to discuss specifics.
Conclusion – Group Health Plans Offer Crucial Coverage for Realtors
Being a realtor has its risks, given the physical nature of the job and unpredictable earnings from commissions. Having continuous and comprehensive medical coverage is essential to safeguard your finances if injuries, illnesses, disabilities or other healthcare issues arise.
With self-employed realtors, obtaining affordable health insurance through individual plans is extremely difficult and prohibitively expensive. This makes access to group health plans hugely beneficial for realtors wanting to be insured.
The combined risk pooling and bargaining power of group health plans from realtor associations, brokerages, employers and other organizations allow realtors to get top-notch medical benefits at significantly reduced costs.
Group health insurance options can cover doctor and hospital visits, prescriptions, dental, vision, emergency care, life insurance, travel medical, and more, all under one policy. This gives realtors invaluable peace of mind, knowing a major medical issue wonโt be financially devastating.
We hope this complete guide has helped explain group health insurance, why itโs so important for realtors to have it, and how realtors can access group coverage through various membership and employment channels. Review your options to find a competitively priced group health plan that provides the benefits and coverage that fit your healthcare needs and budget.
Having comprehensive medical insurance gives realtors one less thing to worry about as they grow their careers in an inherently unpredictable profession. So be sure to take advantage of the affordable group health insurance options available to them!
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Article Sources
Ebsource empowers wise benefits choices. Our impartial insights come from financial experts aligned with industry best practices. We source accurate data from reputable agencies like Statistics Canada. Through rigorous research of major providers, we provide tailored recommendations based on individual needs and budgets. At Ebsource, we uphold strict editorial standards and transparent sourcing. Our goal is equipping Canadians with trusted knowledge to confidently select optimal benefits. We aim to be Canada’s most reliable resource for savvy benefits guidance.
CREA Member Health Plans | Manulife-insurance.ca
OREA Introduces New Industry-Leading Benefits Program for all Ontario REALTORS – orea.com
Canadian Real Estate Benefits Program – realbenefitscanada.com