Looking for a recession-proof business to start? Insurance is one of those industries that is largely unaffected by the state of the economy. Therefore being an insurance broker is a great way to ensure job stability and long-term growth.
Think about it. Insurance is a necessary part of modern life. People need insurance whether the economy is up or down. No matter what’s going on, people still get sick and injured. In fact, there have been some instances where healthcare needs increase during tough times due to associated stress.
Rising Costs of Healthcare
Studies show that rising health care costs may make it harder for people to get treatments OR might cause them to choose plans with higher deductibles. But, it will not cause them to forgo medical care completely.
The soaring cost of medical care is reason enough to make health insurance necessary. A simple visit to the family doctor can result in a hefty bill. A serious injury, which results in a hospital stay, can generate a bill in the thousands of dollars. An injury that requires surgery can quickly rack up a bill in the five figure range.
Therefore, even with the expense of health insurance, the potential cost of not having coverage is too high to ignore.
Baby Boomers and Obamacare
Even legislation and demographics play a role in making the health insurance segment the fastest-growing part of the insurance industry. Aging baby boomers are buying health insurance from insurance brokers at ever increasing rates, and the Individual Mandate portion of the Affordable Care Act (also known as Obamacare) requires that almost everyone have health insurance coverage. There is a penalty if you do not, and those will increase every year. For example, in 2015, those without insurance coverage will have to pay either:
- 2% of the yearly household income. This is up from 1% in 2014.
- $325 per person for the year (up $230 from 2014). However, for a child under 18, the cost is $162.50 (up $115 from 2014). The maximum penalty per family using this method is $975 (up $690 from 2014).
So if you are interested in developing your own business by being an insurance broker, now is the time to act. While other industries require formal training, being a health insurance broker with HealthMarkets will cost you very little – in terms of both seed money and skills. We will even assist you in getting started with our training, our tools, and our powerful lead generation program.
So what are you waiting for? Contact us today.