Can a sole proprietor buy a group health plan?
Usually not alone. To use the SHOP small-business program, your business needs at least one full-time-equivalent employee who is not an owner, a partner, an owner's spouse, or a family member. Other small-group plans set their own rules. With no employees, you shop for an individual or family plan.
Is my health insurance a Schedule C expense?
Not for your own coverage. The insurance line on the 2025 Schedule C reads "other than health." Instead, under current law, premiums for you, your spouse, and your dependents may count toward the self-employed health insurance deduction, reported on Schedule 1 (Form 1040), line 17 on 2025 returns. IRS Form 7206 or a worksheet in the Form 1040 instructions figures it, and your business's net profit limits it. For tax questions, talk with a tax professional.
My spouse helps in the business. Can we share a plan?
Yes. A family plan can cover you, your spouse, and your children. A spouse who helps out does not make the business eligible for SHOP, because owners' spouses do not count as employees for it.
Does the deduction lower my self-employment tax?
No. The IRS says you can't use it when you figure net earnings for self-employment tax from the business the plan is set up under. It may lower your income tax instead.
What changes if I hire someone?
Once you have at least one full-time-equivalent employee who is not an owner, a partner, an owner's spouse, or a family member, you may qualify for the SHOP small-business program. See our small business health insurance in Florida guide.
Do I have to wait for open enrollment?
Not for every plan. A private plan (not from the Marketplace) can often be bought any time of year. Some private plans ask health questions, and approval is not guaranteed. Some may not cover care for health problems you had before you enrolled. Marketplace plans, and other plans that follow ACA rules, work differently. As of October 22, 2026, under current law, open enrollment for 2027 plans on HealthCare.gov runs from November 1, 2026, to January 15, 2027. To start coverage January 1, pick a plan by December 15. States that run their own Marketplace may set different dates, so check with your state's Marketplace. A federal appeal about these rules is pending (City of Columbus v. Kennedy, 4th Cir. No. 26-1938), with oral argument set for October 30, 2026, so confirm the dates before you enroll. Outside open enrollment, you need a special enrollment period, such as one after losing job-based coverage.
