When you do not have an Affordable Care Act insurance plan, short-term health insurance can help in protecting your finances. These plans are cheap, but not everybody qualifies for them.
Factors to consider when buying short-term health insurance
Look for a tailorable plan
Find a policy that can be customized to meet your medical needs. A quality insurer will offer its policyholders a variety of deductibles and coverage durations to choose from. Also, go for a plan that you can drop at any time without penalties. For example, plans can cover one for 30 days to 365 days, with some going up to 3 years.
Short-term plan with access to your preferred provider
Choose a reputable insurance provider with a solid network of hospitals and doctors. It is frustrating to find out after buying a policy that you cannot enjoy the services of your regular doctor. Each insurance provides a unique policy; thus, you should do thorough research before signing up.
Choose a policy with solid backing.
Be wary of some insurance providers who offer cheap short-term insurance plans that seem too good to be true. Instead, use a broker/ professional agent, or call your state department of insurance to ascertain the authenticity of an insurance company.
Ensure the insurance provider you are considering has its financial ratings listed on the state’s department of insurance website.
When to buy short-term insurance
Though short-term insurance plans have their limitations, it may be better to buy them in the following situations.
When filling a gap between employer coverage and the next job
Even if you anticipate landing a job with great benefits, securing a temporary health insurance plan is still essential. It is tempting to wait it out when you are unemployed and in between work-based health insurance plans. However, unexpected medical bills can break your bank.
The short-term insurance plans are a fraction of the standard insurance premiums that include benefits related to emergency room visits, ambulatory services, intensive care, surgery, outpatient, and inpatient hospital care.
When you are in an employer-waiting period.
Once you secure a job, you may be required to wait for as long as 90 days before you are eligible for employer-sponsored health insurance. However, depending on your circumstances, you may be tempted to sail through this period without uninsured.
A single month of short-term medical insurance is worth the premium. Usually, you will pay a third of what standard medical policy costs. You can have the details of the plan, such as coinsurance and deductibles tailored to your needs. In addition, coverage begins within 24 hours of paying your first monthly premium.
You missed the enrollment period.
Enroll in short-term health insurance to get you to the next enrollment period or when a change in circumstance occurs, allowing you to afford an ACA plan.
When you qualify for special enrollment, but you are waiting for coverage to begin.
Events such as turning age 26, adding a child, getting married, or divorce qualify for a particular enrollment period.
When you are exempted from Obamacare or have retired early and do not qualify for Medicare.
Do not stay uninsured just because you are not obliged to buy an insurance cover or risk your entire saving on health care expenses even when there is little time between early retirement and Medicare eligibility.Short Term Medical Insurance
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