Sticker Shock After Leaving Your Job? Here’s What to Expect with Health Insurance

Why Health Insurance Feels So Expensive After Leaving Your Job

Whether you’re retiring early, relocating to Texas, or leaving your company to start something new, one thing often catches people off guard: the cost of health insurance.

Let’s break down why this happens—and how to plan better so you’re not hit with sticker shock.

💸 “Wait…Why Is It So Expensive?!”

If you’ve been used to an employer-sponsored health plan, your actual out-of-pocket premium was likely a fraction of the total cost. Many large companies cover a significant portion of employees’ health insurance premiums—sometimes hundreds (or even thousands) of dollars a month.

One client recently shared they were paying just $30/month while working. After leaving the job, COBRA was $800/month. That’s not unusual. While we were able to explore Marketplace options closer to $300/month, it still felt like a major leap.

🧓 Planning for Early Retirement? Don’t Skip Health Insurance

Another group seeing sticker shock? People retiring at age 62, before they’re eligible for Medicare. It’s common to budget for travel or living expenses—but many forget to budget for healthcare between 62 and 65.

Even with tax credits, premiums for early retirees often start around $700/month, depending on health, location, and income.

The good news? If your income drops in retirement, you may qualify for significant subsidies. But you need to know that ahead of time and work with someone who can run the numbers for you.

🌎 Moving to Texas? Brace for Differences

Many people relocating from states like California, Colorado, or New York are surprised to learn that Texas doesn’t offer the same healthcare benefits.

Texas hasn’t expanded Medicaid, and the plans available here may not resemble what you had in other states. If you qualified for Medicaid elsewhere, you may now face full-price premiums in Texas—even with very low income.

It’s frustrating, but it’s real—and we help you figure out the best path forward.

💡 Avoid Sticker Shock by Understanding the Full Cost

If you’re still employed and thinking about a job change or retirement, now’s the time to ask your HR department what the full cost of your coverage is. That gives you a realistic benchmark for what you’ll pay once you’re footing the entire bill.

And if you’re already making a transition, don’t panic. We’ll walk through:

• COBRA vs. Marketplace plans

• PPO alternatives

• Whether you qualify for tax credits

• State-specific options and restrictions

🙋 Need Help Navigating This?

You don’t have to go it alone. Whether you’re newly self-employed, relocating, or entering retirement—we can help you compare options that actually fit your budget and healthcare needs.

👉 Schedule a free consultation at jkappconsulting.com and let’s get you covered—with clarity and confidence.