Short Term Medical CoverageWhat is it? How do I get it?
In Between Jobs?
Close To Medicare?
Short term health insurance is not designed to meet your needs for normal health care coverage. It is. however, a great option if you do not have pre-existing conditions and need coverage for an “in-between” situation. The main purpose of short term health insurance is to cover you for an unexpected health event, accident or injury during a period when you are not covered by traditional insurance.
Short-term insurance is health coverage usually available for periods of 30 to 90 days. These plans can give you some protection for limited periods while you are between standard health insurance coverage.
The primary appeal of Short-term plans is lower premium prices compared to major medical health care plans. However, short-term plans are not designed as a replacement for major health care plans. (Regular health insurance).
Short Term Health Care Insurance Plans Usually Cover:
- Unexpected illness and injury
- Inpatient and outpatient hospital services
- Emergency room visits
Short-term coverage may also include discounts for using doctors and facilities within a preferred network.
You generally are responsible for paying a deductible and coinsurance and are likely to be subject to a lifetime coverage limit.
Coverage can vary between companies that offer short term health insurance plans.
What short-term plans don’t cover
Short-term health plans typically don’t cover pre-existing conditions, preventive care, pregnancy and maternity, immunizations, dental appointments, vision care, foot care, and certain other services.
You should always review your specific plan details to see what medical conditions and treatments are covered or excluded.
When would you choose short term health insurance plans?
Short-term policies are not intended as permanent health insurance coverage, nor do they comply with the Affordable Care Act (Read more below)
Short-term plans may be suitable if you:
- Missed open enrollment for the year, and don’t qualify for a special enrollment period
- Lost your job or got laid off
- Need quick proof of insurance for a special activity or trip
- Are waiting for your Medicare coverage to begin.
Short-term policies don’t satisfy the requirements for minimum essential coverage under the Affordable Care Act (ACA), also known as Obamacare.
The Obamacare major medical plans do offer minimum essential coverage, which includes (but isn’t limited to) preventive care, outpatient care, pregnancy and maternity, mental health, and prescription drugs.
Because short-term plans don’t offer this coverage, you won’t meet the requirements of the Affordable Care Act; this means you may have to pay a tax penalty.