Shopping for health insurance on your own can feel overwhelming. Maybe you just left a job with benefits, you're self-employed, or you're turning 26 and aging off your parents' plan. Whatever brought you here, you've got more options than you might think—and some of them are a lot more affordable than they used to be.
Here's what most people don't realize: individual health insurance isn't just one thing. You've got marketplace plans with subsidies, short-term coverage for gaps, and alternatives like health sharing ministries. Each works differently, costs differently, and covers different things. Let's break down your options so you can figure out what actually makes sense for your situation.
ACA Marketplace Plans: Your Most Comprehensive Option
The Health Insurance Marketplace—what most people call the ACA or Obamacare—is probably your best bet if you need real, comprehensive coverage. These plans cover all the essential health benefits: doctor visits, prescription drugs, mental health care, maternity care, preventive services, and more. They can't deny you or charge you more because of pre-existing conditions, which is huge if you've got asthma, diabetes, or any ongoing health issue.
The big news for 2025: four out of five people shopping on HealthCare.gov can find a plan for $10 or less per month after subsidies. That's not a typo. If your income is between 100% and 400% of the federal poverty level, you'll likely qualify for premium tax credits that bring your monthly cost way down. Some people even qualify for cost-sharing reductions that lower deductibles and copays.
Open enrollment for 2025 coverage ran from November 1, 2024 to January 15, 2025. If you enrolled by December 15, your coverage started January 1. After that deadline, coverage starts February 1. But here's the thing: you don't necessarily have to wait until next open enrollment if you miss this window. That's where special enrollment periods come in.
Special Enrollment Periods: Getting Coverage Outside Open Enrollment
Life doesn't follow a calendar, and health insurance rules know that. If you experience certain life events, you get a special enrollment period—usually 60 days—to sign up for marketplace coverage. These qualifying events include losing your job-based insurance, getting married or divorced, having a baby or adopting a child, moving to a new state, or turning 26 and aging off a parent's plan.
Starting in 2024, if you're losing Medicaid or CHIP coverage, you actually get 90 days instead of 60 to enroll in a marketplace plan. And here's a nice change: if one person in your household has a qualifying event, everyone in the household can enroll during that special enrollment period. So if your spouse loses their job insurance, you and the kids can all get covered too, even if technically only your spouse had the qualifying event.
You'll need to provide documentation proving your qualifying event—things like a termination letter from your employer, a marriage certificate, or a birth certificate. The marketplace takes this seriously to prevent people from gaming the system and only buying insurance when they're sick.
Short-Term Health Insurance: Temporary Coverage with Serious Limits
Short-term health insurance is exactly what it sounds like: temporary coverage to bridge a gap. Maybe you're between jobs, waiting for Medicare to kick in, or just missed open enrollment and don't have a qualifying event. Short-term plans are available year-round and can start quickly—sometimes within 24 hours.
But here's where you need to pay attention: as of September 2024, new federal rules limit short-term plans to three-month terms with a maximum total duration of four months including renewals. These plans don't cover pre-existing conditions at all. They also typically don't cover prescription drugs, mental health services, maternity care, or preventive care. You'll have to answer medical questions to qualify, and they can deny you coverage based on your health history.
The appeal is usually price—short-term plans can be cheaper than unsubsidized marketplace plans. But here's the catch: if you qualify for marketplace subsidies, you can't use them on short-term plans. And in many cases, when you factor in subsidies, the lowest-cost marketplace Bronze plan is actually cheaper than a short-term plan. Before you choose short-term coverage, check what you'd actually pay for a subsidized marketplace plan. You might be surprised.
Health Sharing Ministries and Other Alternatives
Health sharing ministries operate on a completely different model than traditional insurance. Members make monthly contributions to a shared pool, and when someone has a medical expense, the ministry facilitates sharing those costs among members. Organizations like Christian Healthcare Ministries, Medi-Share, and Samaritan Ministries have been around for decades, serving about 1 to 1.5 million Americans.
The biggest draw is cost—these programs often run 30% to 50% less than unsubsidized traditional insurance. You can join anytime without waiting for open enrollment. Some newer options are more flexible about pre-existing conditions and don't require Christian faith, though many traditional ministries have faith-based requirements and lifestyle guidelines.
But understand this clearly: health sharing ministries are not insurance. They're largely unregulated and have no legal obligation to pay your medical bills. Most have restrictions on maternity coverage, chronic conditions, and pre-existing conditions. There's no network guarantee, no appeals process like you'd have with insurance, and you're trusting the ministry to actually share your costs. Recent news stories have highlighted cases where members were left with huge unpaid bills, particularly for childbirth.
Health sharing makes the most sense if you don't qualify for marketplace subsidies and can't afford unsubsidized insurance, you're generally healthy with no chronic conditions, and you understand and accept the risks. It's not a good fit if you have ongoing health issues, you're planning a pregnancy, you need prescription drug coverage, or you want the legal protections that come with real insurance.
How to Choose and Get Started
Start by checking if you qualify for marketplace subsidies. Go to HealthCare.gov and enter your household size and estimated income. If you qualify for significant subsidies, marketplace plans will almost certainly be your best option—you get comprehensive coverage, legal protections, and probably a lower price than alternatives.
If you don't qualify for subsidies and marketplace plans seem expensive, then consider your health status and needs. If you're healthy, need coverage for just a few months, and can afford to pay out of pocket for routine care, a short-term plan might work as a stopgap until you can get marketplace coverage. If you're looking for longer-term savings and accept the risks, research health sharing ministries carefully—read reviews, understand exactly what's covered and what's not, and make sure you're comfortable with any faith or lifestyle requirements.
Individual health insurance has gotten a lot more accessible and affordable in recent years, especially if you qualify for subsidies. Don't assume you can't afford coverage without checking what you'd actually pay. And if you're stuck between open enrollment periods, remember that special enrollment periods exist for exactly that reason—life happens, and you've got options to get covered when it does.
