Health Coverage for Farmers: What Are Your Options?

Finding affordable health coverage can be challenging when you’re a farmer.

If you’re under age 65, you’ve historically had to either secure coverage through an employer (if you or your spouse work off the farm and can obtain employer-sponsored insurance), purchase private insurance or, more recently, pay for coverage through the federal government’s Health Insurance Marketplace.

Health Coverage for Farmers
Let’s take a closer look at the four primary options you have for health coverage as a farmer:

1. Association Health Plans
It’s possible to obtain a group insurance plan through membership in your local farm bureau or association. With association health plans, you cannot be denied coverage or pay a higher premium based on your health status or pre-existing conditions. Your premiums will be affected, however, by the overall health needs of other insured members in your association’s group plan.

2. Employer-based Insurance
If you or your spouse work off the farm, you might be able to sign up for individual/family insurance through the employer’s group plan. Your premiums will depend on the amount the employer contributes, but these employer-sponsored plans can be a great source of savings for your household.

3. Health Insurance Marketplace (healthcare.gov)
If you’re not eligible for employer-based insurance, you can sign up for individual/family coverage through the Health Insurance Marketplace by provision of the Affordable Care Act.

These on-exchange plans generally cost more, although you may qualify for a tax credit to reduce your monthly premium. Your insurance carrier and plan options will vary based on which state you live in.

4. Private Insurance
In the past, many farmers found themselves with few options other than to purchase off-exchange coverage directly from a private insurance carrier (or through a broker). Without tax credits or employer contributions, this option can be costly for farmers either in terms of monthly premiums, high deductible levels, or both.

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