Are you wondering what is short term health insurance, benefit, coverage and the difference to long term insurance?
Short term health insurance is refers to the plans of health insurance that have limited duration, typically it has several months. This health insurance is plans for at lasts one month into a year and cannot be renewed or gets extended. The majority short term health insurance not covers the pre-existing condition.
The benefit of short term health insurance
Life is change quickly, and with short term health insurance you can apply this insurance by fast and flexible. In some insurance agency, there are flexibility for drop of coverage without any penalty, apply another term of coverage, select your desired length of insurance time, and choose range of deductible amounts.
Who needs short term health insurance?
These people are makes sense to choose short term health insurance plans.
- People who ages under 65 years and have good health condition
- In-between the jobs
- Waiting affordable care act coverage to start
- People with no health insurance, missed open enrollment and do not qualified for special enrollment
- A college students, especially foreign students
- Losing coverage with divorce
The short term health insurance is benefit for person that plans for travel around often.
5 things about short term health insurance
Here are 5 important keys that you need to consider when you choose short term health insurance.
- They are limited for the coverage and the duration.
- It is able to deny the application based on applicant health history. It is feasible that you are able to deny when you choose short term health insurance. There are about 12% from short term applicant that each year for medical reasons.
- This short term insurance is tend to have lower premiums. The short term health insurance is come with few benefits and deductibles that frequently pricey.
- This health insurance are attracting to millennial. Although it has potential downsides, the policies are still attractive for few groups. There is research from Ehealth that find the majority applicants for this insurance are between ages 18 to 34. These groups are often come from individual that does not qualify for the law premium or Medicaid.
- The maternity are often does not include in this insurance types. It is not worthy when the account is not cover the maternity when you get spouse and pregnant.
There are some short term insurance that does not cover the prescription drugs. When you considering for having short term medical insurance, it is better to look further about the benefit and coverage they offer. This will reveals your own about what is short term health insurance.