Health Insurance for 1099 Workers and Independent Contractors

No employer plan, income that changes month to month, and a tax bill you have to plan for yourself. I am an independent broker licensed in 31 states, and I help contractors, freelancers and gig workers compare private PPO plans and Marketplace plans in plain English.

Healthy and earning over the subsidy limit? A private plan is often cheaper than full-price Marketplace coverage, and you can apply any day of the year. Compare your options →

Your main options

• Private PPO plans. Medically underwritten, with broad nationwide networks. No Open Enrollment deadline. Often the lowest premium for healthy contractors.
• Marketplace (ACA) plans. Guaranteed acceptance and all essential health benefits. A tax credit can lower the premium if your household income is at or under 400% of the poverty level.
• Supplemental coverage. Accident, critical-illness and hospital plans pay you cash if something happens, which can help cover a high deductible. Learn more.

What is different when you are 1099

• Your income is an estimate. Marketplace subsidies are based on the net income you expect for the year. Guess low, go over 400% of the poverty level, and you repay the full advance credit when you file. For tax years after 2025 there is no cap.
• Net, not gross. What counts is net self-employment income after business expenses, so good bookkeeping can change what you qualify for.
• The deduction. Most self-employed people can deduct their health insurance premiums, which lowers the income that counts toward a subsidy too.

Over the limit? See the 2027 income limits and how private plans compare.

Find your state

Rules, carriers and prices vary by state. Start with the self-employed guide for your state. Florida contractors can also read health insurance for 1099 workers in Florida.

Questions I hear a lot

Can 1099 workers get health insurance?

Yes. Independent contractors buy individual coverage: a private, medically underwritten plan or a Marketplace (ACA) plan. Private plans can be applied for any time of year.

Can I deduct health insurance premiums as a 1099 worker?

If you have net self-employment income and are not eligible for an employer-subsidized plan (including through a spouse), you can generally take the self-employed health insurance deduction. Check with your tax professional.

How do I estimate my income for a Marketplace subsidy if my 1099 income changes?

Use your best estimate of net self-employment income for the year. If you take an advance credit and end up over 400% of the poverty level, you repay all of it at tax time, so a careful estimate matters.

What if I just lost my W-2 job and started contracting?

Losing job-based coverage opens a Special Enrollment Period for Marketplace plans, and you can apply for a private plan any time. COBRA is a third option worth pricing.

Do you charge a fee?

No. The insurance company pays the broker.

Related: earn too much for a subsidy? · health insurance for business owners · health insurance in all 31 states

Posey Health Solutions · National Producer Number 20609967 · licensed in 31 states. This page is general information, not tax, legal or plan-specific advice. Private plans are medically underwritten and approval is not guaranteed. Plan availability varies by state and county.