The Insurance Buying Guide: There Are Other Options

If insurance companies consider you uninsurable -- because of your age or a pre-existing condition -- you probably are qualified for a state-sponsored health insurance program.

These programs should be used as a last resort, because they typically offer only limited benefits, are expensive and usually include a waiting period before the benefits kick in and you are covered. But at least they're there, if you need them. You can find out about these plans by calling your state insurance department.

If price is the problem when it comes to securing insurance, you may qualify for Medicaid. It provides medical assistance to low-income families and individuals of all ages. (Your county's Social Services Department can fill you in on the eligibility requirements.)

If you are an employer who can't afford to offer your workers coverage through normal channels, you also may be able to get help from your state.

For instance, in California, companies with three to 50 full-time employees are eligible for the Health Insurance Plan of California (HIPC), a state-sponsored pool. It guarantees coverage to your workers in any one of 20 different health plans offered through insurance companies or HMOs at more favorable rates.

Most small employers also cannot be refused coverage because of the medical history of one or more of their employees. This is known as a guaranteed issue. (Some individual plans also are available on a guaranteed-issue basis, although they will have higher premiums.)