Insurance for a Job Change


Last Updated: November 10, 2021

​​When you leave or change a job it can be a stressful time. You may have relocated, you are focusing on making a good impression on your new boss and coworkers, and you are learning the system and duties of your new position. Your insurance and financial decisions are also important and should be considered carefully when making a job change. 

If changing jobs means you will drive less, you may be able to save money on your auto insurance policy. If you use public transportation or work from home full- or part-time, that may affect your insurance rate. You could even benefit from pay per mile car insurance. Talk to your insurance agent. ​

Ride Sharing

If you are offering rides to paying customers through a Transportation Network Company (TNC), such as Uber or Lyft, Wisconsin law requires that you have insurance coverage that goes beyond the typical personal policy. Before driving for a TNC, you should contact your personal auto insurer and determine what coverage, if any, will be available while offering rides in your covered vehicle. You should also review any contract you have with a lienholder to ensure that you are not violating the terms of such an agreement.

Be sure to review the TNC's commercial policy to find out what is covered and what is not. Uber and Lyft offer contingent collision and comprehensive coverage that takes effect when the driver accepts a ride request or has a passenger in the vehicle. However, drivers must elect to purchase and add these coverages to their personal auto insurance. Some personal auto insurers may not offer the additionally required insurance.

It's important to note that even if you have the required enhanced liability coverage, it may not protect you against physical damage to your vehicle while you are logged into a TNC's network. This gap in coverage could be a problem if you have not paid off the loan on your vehicle. Driving your car without physical damage protection could violate the terms of the loan agreement between you and your lender. If you totaled your vehicle in a crash while driving for a TNC, your loss would not be covered and you would still owe your lender the balance of your loan.

TNC coverage typically only applies while you have the app turned on. Freelance rides may not be covered. If you have turned off the app or you accept a street hail, you may not be covered. Failure to maintain the appropriate coverage could result in fines or loss of your license. ​

On-Demand Delivery Drivers 

Call your car insurance company before using your car for work. If you don't have the right car insurance for your delivery work, you could get stuck paying big auto accident bills yourself.  

There might be auto insurance provided by the service. Check their website for any coverage. Make sure you understand where the provided coverage ends and begins, and whether there's a coverage gap between their policy and your personal auto insurance policy.​

Maintaining your health insurance throughout a job change is super important. An unexpected health emergency can happen any time; make sure you are covered. 

Under the Consolidated Omnibus Budget Reconciliation or COBRA Act​, the federal government requires employers with 20 or more employees to provide healthcare coverage for up to 18 months after a person leaves the job. But, with COBRA​ you continue to pay the full premium plus administrative fees which is expensive. 

Wisconsin’s continuation law applies to most group health insurance policies providing hospital or medical coverage. Stand alone dental, vision, and prescription drug benefits are not required to be provided if offered as separate policies. The law applies to group policies issued to employers of any size.

Additionally, employees who live outside of Wisconsin during employment with an ​employer located within Wisconsin would be eligible for continuation coverage. The law does not apply to employer self-funded health plans or policies covering only specified diseases or accidental injuries.​

There are also interim or short-term options that provide medical insurance on a temporary basis usually no more than 364 days in Wisconsin. Short terms plans do not offer the same consumer protections of a Health Insurance Marketplace plan. Make sure you understand what is covered in a short term policy; it is not likely to cover all the same services as your employer sponsored insurance. 

​ACA/Marketplace Plans

If you are unemployed, you may be able to get health insurance through ​​. If you have lost your job-based health coverage, you qualify for a Special Enrollment Period. You usually have 60 days from the day you lose your coverage to enroll. Make sure to keep this 60 day deadline in mind; if you miss the deadline, you will not be able to sign up again ​until the next open enrollment period.

Standard homeowners insurance does not cover commercial business activity. If you are self-employed you may need your own professional liability coverage. With more people working from home, it’s important to understand what your insurance and what your employer’s insurance does and does not cover. ​