What is Short Term Health Insurance?
Short term health insurance is a type of insurance that offers up to 365 days of coverage. Many short term insurance plans now allow you to extend your coverage to 36 months (3 years), but state laws vary.
This type of health insurance offers some of the same benefits as traditional and Affordable Care Act (ACA) plans, often at a lower price. The major difference between policies is that short term health insurance has limitations to the services it covers. You can also be denied short term health insurance if you have a pre-existing medical condition.
Most short term health insurance plans cover a portion of the below medical services:
- Emergency care
- Routine doctor’s appointments
- Prescription services
- Hospital care
- Physical therapy
While coverage varies from plan to plan, most short health insurance policies will not cover maternity care. Less than half of all plans cover substance abuse services and mental health services.
Who Needs Short Term Health Insurance?
Even though short term health insurance isn’t offered in New York, you might be curious about why anyone would want short term coverage instead of enrolling in a traditional plan. Short term health care plans were designed to help bridge the gap between traditional insurance policies.
Here are a few cases where short term plans are often used:
- You just turned 26. If you were on your parents’ plan and you turned 26 recently, you have a limited amount of time to enroll in your own policy. If you don’t have a full-time job with benefits yet or if you’re currently in transition between school and the workforce, it may make sense to get short term coverage until a better option is available.
- Your job status has changed. Whether you’re in-between jobs, were recently fired or are starting a new job, short term health insurance might bridge your gap in insurance until your new benefits kick in.
- You missed open enrollment. If you forgot to enroll in a health insurance policy during open enrollment, it might make sense to select a short term health insurance policy if the alternative is no insurance at all.
Making a smart health insurance choice can save you hundreds or even thousands in a year. We are experts in finding affordable health insurance plans that meet your needs. These affordable medical insurance plans have a wide range of deductibles and low cost premiums to fit your lifestyle needs and budget. Affordable health insurance quotes don’t have to be complicated. We make it simple.
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