Health Insurance for General Counsel and In-House Lawyers

Price a private plan first, then read it like a contract

A private, medically underwritten plan is priced on your age, your zip code and your health. Your income plays no role, so a severance payment, a retention bonus or a strong first year of outside work never pushes the premium up, and there is no tax credit to unwind later.

For a lawyer, the useful way to think about it is as a contract with its own definitions:

• Effective date. Coverage can start on the first of any month after approval. You do not need a qualifying event or the annual enrollment season.
• Network. Many private plans use national PPO networks, so you are not tied to one metro area if you travel for clients, board meetings or a second home.
• Exclusions and limitations. This is where you spend your reading time. Underwriting means you answer health questions, and the insurer may decline you or limit coverage for a condition.

One point of definition up front: private plans are not ACA Marketplace plans, and the benefits and pre-existing condition terms differ by plan. I send you the actual plan documents before you sign, not a summary.

The case against defaulting to a Marketplace plan

The Marketplace is the familiar name, but for a full-price buyer in 2027 it comes with several real costs. Premiums are rising again; KFF found a median proposed increase of about 15 percent in insurers' 2027 filings. The tax credit stops entirely at 400 percent of the poverty level, which is $63,840 for one person, $86,560 for two, $109,280 for three and $132,000 for four. If you accept an advance credit and your year ends above that line, you repay all of it when you file.

The plan designs are another concern. Many exchange plans are HMOs or EPOs with no out-of-network coverage outside emergencies, and the out-of-pocket maximum for 2027 can be as high as $12,000 for an individual or $24,000 for a family. Finally, the enrollment calendar is fixed: open enrollment for 2027 runs November 1, 2026 to January 15, 2027, with December 15 as the deadline for a January 1 start. Miss it without a qualifying event and you wait a year.

Lawyers' pay and the 2027 line

The Bureau of Labor Statistics reports 754,500 lawyers in wage and salary jobs with a mean annual wage of $185,840 in May 2025 (BLS wage data). That figure excludes self-employed lawyers, who made up about 11 percent of the profession in 2025 according to the BLS Occupational Outlook Handbook. Corporate counsel and general counsel at larger companies typically earn well above that mean. For nearly every reader here, the subsidy question answers itself.

Put health coverage in the separation agreement

When you negotiate your own exit, health coverage is one of the easier terms to win and one of the most often overlooked. Things worth asking for:

• Paid COBRA months. Employers with 20 or more employees must offer federal COBRA for 18 months, at a cost of up to 102 percent of the full premium. Many separation agreements have the company pay that premium for a set period.
• A cash equivalent. If you would rather move to a private plan right away, a lump sum in place of COBRA payments gives you flexibility.
• A clear coverage end date. Pin down whether coverage ends on your separation date or at the end of that month.

A useful detail of federal COBRA: you generally have 60 days to elect it, and once you elect and pay, coverage reaches back to the day your plan ended. That gives you a cushion while a private application is underwritten. Losing job coverage also opens a 60-day special enrollment period for the Marketplace, which matters if underwriting does not go your way. The COBRA alternatives guide has the side-by-side.

Fractional GC work and your own practice

Many general counsels move into fractional roles, serving several companies a few days a month, or open a boutique practice. Coverage changes in a few ways:

1. You are now the buyer. There is no benefits team, so plan selection and renewals are on you.
2. Income gets lumpy. Retainers start and stop, which makes a Marketplace income estimate hard to get right and a payback more likely.
3. Staff changes the options. Once you hire a paralegal or associate, an ICHRA works at any size, and a QSEHRA is open to employers under 50 full-time employees.
4. Your entity matters. A sole proprietor or single-member LLC owner may be able to take the self-employed health insurance deduction, while a partner in a law firm partnership generally has premiums reported as guaranteed payments. No month qualifies if you were eligible for a subsidized employer plan, including a spouse's. General information, not tax advice — confirm with your CPA based on your specific entity structure.

The private vs. Marketplace guide for the self-employed walks through that comparison in more depth.

Garden leave and notice periods

If your exit includes a notice period or garden leave where you stay on payroll, your group coverage usually continues until employment formally ends. Confirm that date in writing, then set your private plan to start on the first of the following month if approved. Gaps tend to happen when the payroll end date and the benefits end date are not the same.

When the Marketplace is the right fallback

If you are being treated for a significant condition, such as cancer, a heart condition or a high-risk pregnancy, a private plan may decline you or carve out that condition. The Marketplace cannot do either, which makes it the guaranteed choice. In that case use your 60-day window after job coverage ends, compare the provider networks closely, and plan for the $12,000 out-of-pocket ceiling.

Next steps

I am licensed in 31 states, including Virginia, Maryland and Florida. Send me your separation date, your doctors and your prescriptions, and I will lay a private plan and a Marketplace plan side by side by phone or video. Start here: get a quote.