Do Authors Have Health Insurance?

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Freelance Writer Health Insurance

As a freelance writer, you don’t have an employer who offers you health insurance. The Writers’ Guild-Industry Health Fund provides medical, hospital, dental, and more insurance benefits to its Participants. Effective July 1, 2021, you need to earn $40,854 in covered earnings in 4 or fewer quarters for one year of health insurance coverage. There will be a lag quarter before your coverage begins.

Health Insurance in Acting and Beyond

Acting in Hollywood seems glamorous, but actors have many behind-the-scenes details most are unaware of regarding health insurance. Actors’ unions play a key role in providing health insurance by negotiating with producers. Eligibility criteria and premiums apply. People join a risk pool that measures medical costs to generate premiums. Larger risk pools have lower premiums. Employers with 50+ full-time employees must offer health insurance under the Affordable Care Act or pay IRS penalties. Proof of insurance is mandatory in Germany, including for international students. Social insurance agreements between Germany and other states mean some students’ existing insurance is valid there. In the US, about 9% of Americans buy individual health insurance plans with tax benefits.

Insurance for Authors and Other Professionals

  • Author Insurance Needs
    An author needs professional indemnity insurance to protect against liability for providing inaccurate or misleading information or advice. For self-published authors, a media liability policy is recommended to cover against claims of copyright infringement or defamation.

    Traditional book publishers normally carry media liability insurance and should be able to add an author as an additional insured under their policy. The author can buy their own media liability insurance if the publisher’s policy is insufficient.

  • Bookstore Insurance Needs
    Beyond basic property and contents coverage, bookstores should consider:

    • Business interruption
    • Inventory
    • Equipment breakdown
    • Employee dishonesty
    • Cyber liability
    • General liability
    • Product liability insurance
    • Employer’s practices liability insurance

  • Other Professionals
    Underinsured motorist coverage, liability and equipment insurance for photographers and product liability, and cyber liability insurance for technology startups.

Benefits and Royalties for Authors

  • Author Royalties
    Royalties are money given to an author after a book is published and sold. If you are a self-published author, you still have to pay the company that helped your book get published, which is often Amazon.

  • Author’s Income
    According to the US Bureau of Labor Statistics, writers and authors generated a median level of pay of $69,510 in 2021. Self-published authors earn full control and therefore all income generated by their foreign marketplace rights.

  • Bestselling Authors
    Some bestselling authors get more per copy because their publishers overpay on the advance.

  • Writing Experience
    Master journalists can produce extraordinary thoughts and ideas quickly due to their writing experience. Writing an essay helps you in numerous ways.

  • Support for Authors
    There is financial support available for authors, in the form of grants from organizations like Arts Council England.

  • Book to Movie Adaptations
    Authors typically earn $25,000 to $50,000 for TV movie adaptations, but this can increase significantly for blockbuster films.

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