But it does cover me if I get in an accident or have cancer. Isn't *that* what insurance is for?
The difference in the premiums pays for that $1000 deductible by the end of the year. Employer-sponsored health care is very expensive because they cannot vary the cost based on your age, demographics, life-style, etc. They do not require a check-up to get the insurance, and sometimes they have to cover pre-existing conditions. So the insurance companies are stuck with whoever they get, so they charge more for those plans.
Your current coverage plan will certainly cover you if you get sick or have an accident - you are right on that. As someone who spent some time working as an independent contractor I went through getting individual insurance a few times over.
Here is the kicker though: Like any insurance policy it expires and is renewed each year. Assume you DO get have an accident and it ends up costing the insurance company money - watch the nice low premium you are enjoying now skyrocket for next year. If you get sick with something actually serious (you mention cancer) - watch them not renew the policy AT ALL. They'll drop you so fast you won't know what hit you.
That is the advantage of group coverage - they can't do that. All the people I've ever met that ever say "the current system works fine" have never actually been sick and/or out of work.