The term insurance pool is used by the insurance industry and can be defined as risk classification for a certain group that meets certain criteria. According to certain factors as to what pool we belong in we are all classified by insurance companies. A marketplace is the main factor for health insurance, which in the same time makes the whole classification simpler, so for the sake of understanding the term marketplace will be adopted. Being that NY is a Community rated state (please see the article Factors that Effect Health Insurance Rate Increase), the amount of health insurance markets is limited to 4. To describe which market you belong in each marketplace is guided by factor of working status only. There are 4 insurance markets: individual market, the self employed market, the small group of 2-50 employees and the large group market of 51+ employees.

Being self employed in New York means having two health insurance markets that you can join: the individual and the sole proprietor market. Insurance companies by law in New York are obliged to offer health insurance to any consumer that requests it. The price however is just too high for most to afford it. In case you're interested in receiving rates for the individual market just follow the link www.ins.state.ny.us/acrobat/newyork.pdf or contact any New York insurance company direct. Nowadays Single Rates vary from $650 to $1,000 per month (yes for single coverage). Based on rates alone, the individual market is a last resort.

With The Exception of Healthy NY health insurance (a state mandated program that all insurance companies must participate in) Self Employed health insurance plans are not sold directly by insurance companies. Generally Insurance companies contract with business associations or insurance trusts in order to offer certain health insurance plans to members of the trust or association if they meet eligibility criteria: being self-employed, working full time and being able to verify self employment income through tax documentation. If they qualify then that member becomes part of the self-employed health insurance pool managed & governed by that particular association. Association dues paid by members usually range from $30 to 60 per year for a member.

Though there are several business associations that offer self-employed plans, only a few insurance companies participate. Unlike the individual market, Insurance companies aren't required by law to offer health plans to the self employed.