Short-term health insurance is a type of insurance that offers temporary coverage for health and other related expenses, which means that it provides medical benefits for a limited period of time.
However, the time factor depends on the insurance provider and the type of coverage you intend to sign up for, but generally, short-term health insurance ranges from a few months to a maximum of 12 months.
Short-term medical insurance is suitable for individuals who seek affordable medical coverage for a short period of time. It is important to note that short-term health insurance offers a limited version of coverage, unlike a comprehensive insurance policy.
How Does Short-Term Health Insurance Work?
Most insurance companies that offer short-term health insurance provide coverage for a few months; it usually does not extend for more than a year.
Short-term medical insurance offers coverage for surface-level medical benefits such as doctor visits, emergency care, and hospitalization. It does not provide comprehensive coverage compared to that of a regular insurance policy.
This type of insurance is designed to allow access to short-term coverage, thereby bridging the gap in insurance plans.
There are certain things that may disqualify you from getting short-term medical insurance. You may not be eligible for this type of insurance if:
- You have certain pre-existing conditions.
- You’re pregnant.
- You have a diagnosis of HIV or AIDS.
- You have coverage from another health insurance policy.
- You are not a US citizen or legal resident.
- As a woman, you weigh more than 250 pounds.
- As a woman, you weigh more than 300 pounds.
- If you’re eligible for Medicaid.
Pros
- It provides a wide range of benefits to policyholders. Individuals who intend to get short-term medical insurance should check out the benefits it offers.
- It provides numerous insurance plans, depending on the type of coverage the individual wants.
- It features affordable premiums.
- It is designed to cover short-term gaps.
- Policyholders are allowed to cancel coverage at any time without penalties attached.
- Short-term health insurance can begin the following day, if that is the wish of the policyholder.
- It also allows you to choose a coverage plan that covers you for up to a year, if necessary.
Cons
- It does not offer coverage for pre-existing conditions.
- It has limited coverage options for various health services.
- It has a high potential deductible.
- It requires a medical questionnaire for approval of coverage.
- The coverage of short-term medical insurance is not standard. Hence, plans and service costs vary with little government oversight.
While considering the benefits offered by short-term medical insurance, it is also important to check out its disadvantages. This will enable you to make informed choices and determine if it is a good fit for you.
Individuals who seek comprehensive coverage should obtain health insurance from traditional insurance companies or through the health insurance marketplace.
FAQs
What is short–term health insurance used for?
Short-term medical insurance can be used to cover various health needs. The coverage actually depends on the plan options and the insurance provider. Nevertheless, it can be used to cover emergency care, hospitalization, preventive care, and doctor visits. Some health insurance plans also include coverage for doctor’s prescriptions.
It is important to have an understanding of how short-term medical insurance works and the coverage specified by your insurance provider.
Is short-term health insurance worth buying?
If you require long-term coverage, short-term insurance is not an ideal option, but it is worth buying for individuals who seek a health plan for a specific duration, usually a short period of time. There are certain situations that may demand temporary, short-term medical insurance, such as:
- If you lose it, leave your job.
- If you turned 26 years old and transitioned off your parents health insurance plan.
- If you missed open enrollment for traditional health insurance.
How do you buy a short-term health insurance plan?
Individuals who intend to get short-term medical insurance can get it through private insurance companies. Search for a private insurance company that offers short-term health coverage. Ensure to review all the policy terms and conditions, including its coverage and limitations, before enrolling.
Short-term medical insurance varies, and it depends on the coverage plan and the insurance company you decide to buy from.
