Health Insurance for Small Business With 1 Employee
Health insurance options for sole proprietors and businesses with one employee — including individual market coverage, WoW Health Plans, and HealthShare programs suited for sub-5-employee businesses.
Health Insurance Options for 1-Employee Businesses
Businesses with one employee do not qualify for Section 125 Cafeteria Plans (which require 5+ W-2 employees). The best options are individual health insurance, WoW Health Plans, and HealthShare programs.
Your Options
Individual ACA-marketplace plans, COBRA continuation coverage if transitioning from an employer plan, short-term health plans, WoW Health membership plans, and faith-based or secular HealthShare programs.
1. Individual Health Insurance
ACA Marketplace plans offer comprehensive coverage and potential premium tax credits based on income. Open enrollment runs November 1 through January 15. Special enrollment periods apply for qualifying life events.
2. WoW Health Plans (Recommended for 1–4 Employees)
WoW Health Plans provide affordable membership-based healthcare designed specifically for businesses with 1 to 4 employees, sole proprietors, and subcontractors. Includes virtual care, prescriptions, dental, and vision at competitive monthly rates.
3. HealthShare Programs
HealthShare memberships cost significantly less than traditional insurance and cover major medical expenses through member cost-sharing. Not regulated as insurance but widely used by self-employed individuals and small business owners.
Benefits of WoW Health Plans for 1-Employee Businesses
No participation minimums. No employer mandate. Affordable monthly rates. Comprehensive virtual care access. Prescription coverage. Dental and vision included. Ideal for single-owner businesses, gig workers, and sub-5-employee shops.
Explore Your Options
Contact Summit Health Benefits to review WoW Health Plan pricing and HealthShare options for your specific situation. If you plan to hire additional W-2 employees to reach 5+, we can also model your Section 125 savings for when you qualify.
Frequently Asked Questions
Common questions about health insurance for sole proprietors, 1099 workers, and sub-5-employee businesses are answered on our FAQ page and in our small business health insurance comparison guide.