Whether you’re dealing with a health emergency or seeking preventative care, health insurance offers extra peace of mind. However, getting the most out of your insurance starts with finding the right plan. For some individuals and families, short term health insurance can provide the perfect coverage for their needs.
Getting the most out of your insurance starts with finding the right plan. For some individuals and families, short term health insurance can provide the perfect coverage for their needs.
What Is Short Term Health Insurance?
Anyone who is currently in a coverage gap might turn to short term health plans. These plans are generally more affordable than traditional insurance, offering coverage for up to a year. Policyholders also have the option to renew. Some of the reasons to purchase short term health insurance include:
- Missing an open enrollment period
- Transitioning between jobs
- Graduating college
- Starting self-employment
- Retiring before you qualify for Medicare
These plans may not offer the full span of coverage that an employer or individual health plan would, but they can help you avoid prolonged coverage gaps and medical debt after emergencies. You can enjoy quality coverage while you plot your next steps.
What Are The Advantages of Short Term Health Insurance?
In addition to offering health coverage solutions during transitional times, short term health insurance can be beneficial in other ways.
Most policyholders spend less per month on short term health insurance than major medical plans. These lower premiums are perfect for young people getting on their feet or anyone who recently lost their job. So, you can still enjoy the security of health insurance without stretching your budget.
Some people may be worried about having to switch doctors after signing up for short term health insurance. This is generally not the case. Short term plans offer broad network coverage, so you can continue seeing your providers and using your hospital of choice. If you’re concerned about network options, check with your doctor’s office before picking a short term plan.
Major insurance plans require policyholders to sign up during open enrollment, which usually runs between November and January. Short term plans make this signup easier. You can apply for a short term plan at any time. So, if you lose your job in June, you can purchase health insurance immediately and avoid waiting for several months.
Just as you can conveniently sign up for a short term plan at any time, you can also use it right away. Most applicants are accepted within minutes, and your coverage can start as early as the following day. Compare this to major insurance plans that generally have a waiting period before they kick in. Once you sign up, you can make appointments and take care of your health needs.
Policyholders usually sign up for short term plans on a month-to-month basis. You aren’t locked in for an entire year, so you can cancel at any time. This system is especially helpful for students entering the job market, anyone between jobs, and individuals taking time off to travel. You can take advantage of the coverage, for the time being, then cancel when you switch to an employer’s health plan.
If you are a healthy individual between jobs, you might consider dropping health insurance for the time being. However, this could leave you in serious financial trouble if an emergency comes up. Short term health plans generally cover emergencies, so you won’t need to worry about the unexpected. You won’t need to worry if you break your wrist or experience severe flu symptoms. The plan will cover the cost, so you can focus on your own recovery.
Short term health insurance is an affordable solution for individuals and families in coverage gaps. No matter your circumstances, you can secure health insurance quickly and cancel at your own convenience. You and your family can move through life’s transitions without adding stress or lofty healthcare costs.
Have you used — or considered using — short term health insurance?
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