What is the difference b/w employee benefits (ie health & dental) and finding your own or through a broker?

I know it really depends on the company, but are employee benefits necessarily cheaper than if you have health and dental independently? Do people prefer one over the other and why?

I am a new grad and have no clue about benefits, etc. I have a great job right now that I love but it is a nonprofit and they cannot afford benefits. I am currently under my parents' insurance but in a few months I will no longer be covered because of my age. Help?

Thanks!

On an employer's group policy, you're much more likely to have maternity coverage, and pre-existing conditions are not excluded. They have to take you, no matter how unhealthy you are, and charge you only based on your age.

On a private policy, they don't have to take you, they're allowed to exclude anything you have wrong with you, and they're allowed to "uprate" you if you've got health issues.

From my experiences, a broker is better because a lot of companies are too cheap to really bother with descent plans.

Primary difference is that your employer pays quite a bit of the total premium for you. If you buy on your own it is very expensive.

Employer benefits are usually cheaper for two reasons.

1. They negotiate a "group rate" with the insurance company, and,
2. Many times they contribute towards the cost of the premium.

An individual policy can be very expensive and if you have any pre-existing conditions, almost impossible to obtain.

If you decide to go with an individual policy - be sure you go with a reputable and known company. Many of the "policies" out there are not really insurance policies and are rip-offs. Go to a local insurance agent "BEFORE" you need the coverage (probably the best place to start is where your parents have their coverage on you ... you may be able to convert that to an individual policy). DO NOT wait until you need the coverage to talk to an agent .... if you let your current policy lapse, it will make things much more difficult for you in getting a new policy written

Hope this helps!

Group and individual policies play by different rules. Generally, you have more protection under a group policy.

For example, under a group policy that offers maternity coverage, pregnancy cannot be considered a pre-existing condition. (That's a provision of the portability part of the HIPAA law - only exceptions are employers who are exempt from following HIPAA.) Individual policies always consider pregnancy to be pre-existing - if you don't already have the maternity rider in place well in advance of getting pregnant, your pregnancy won't be covered.

Group policies have the possibility of COBRA protection. (Depending on the size of the employer, and presuming you didn't leave for reasons of gross misconduct.) Individual policies don't.

Group policies have to accept all eligible employees, regardless of medical history, and all employees of the same classification (ex - full time vs. part time, management vs. non-management, etc.) pay the same premium. For individual policies, you have to go through medical underwriting...your premium is based on your medical history. And if you have a relatively poor medical history, you can be denied a policy entirely.

Those are just a few things. I'd almost always take a group policy over an individual one, if the option were available to me.