Short-term Health Insurance
Despite the options available for getting health insurance during special enrollment periods or qualifying for other types of federal or state plans, sometimes other options are needed. That’s when short-term health insurance may help fill the gap in coverage.
What is short-term health insurance?
Short-term insurance exists to help people who don’t qualify for special enrollment but need temporary or emergency healthcare while finding medical coverage. As the name suggests, these programs are not intended to be used for long-term coverage, and most policies last a year or less.
Why is short-term health insurance beneficial?
Several reasons exist for enrolling in a short-term insurance plan. Some people may not be able to use the special enrollment period but still need coverage while between healthcare insurance providers. Others may need this option in the case of a medical emergency. Affordability can also be a factor, as these plans tend to cost less due to covering fewer medical needs. Short-term health insurance, while helpful in some cases, does come with several cons. This form of insurance does not cover pre-existing conditions, sets high deductibles, and lacks comprehensive government oversight.
Who qualifies for short-term health insurance?
While many individuals may qualify for short-term health insurance, it may not be the best fit. Typical applicants include those who recently became unemployed, people who recently turned 26 and came off their parents’ plan, or those who did not enroll for a traditional plan during the eligibility period. Because these plans do not cover pre-existing conditions, a person with these types of health issues may find that short-term insurance won’t meet their needs.
When and where can you sign up if you qualify?
Short-term health plans are offered through private insurance companies rather than the Health Insurance Marketplace. As such, they do not follow guidelines set forth by the Affordable Care Act. Individuals seeking this type of insurance can apply directly to a provider in their area.