Short term health insurance plans offer coverage for a limited period of time. These short term plans can be a good solution for someone who is between jobs, waiting for a new plan to start, or in-between open enrollment periods.
Short Term Health Insurance - 5 Quick Tips
Here are five important things to know about short term health insurance.
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Short term health insurance is not considered minimum essential coverage under the Affordable Care Act (ACA). So, even if you enroll in and maintain short-term coverage, you may still be subject to the Individual Shared Responsibility tax penalty.
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Insurance companies are allowed to deny short term coverage to people who are sick or have pre-existing conditions.
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The maximum duration for most short term health plans is 6 or 12 months, but most health insurance companies will allow you re-apply for another short term plan.
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Short term plans are designed to only protect against large unforeseen expenses and typically do not cover preventive care such as physicals, immunizations, and dental or vision care.
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Most short term plans have a minimum coverage period of one month, so even if you only need the plan for a couple of weeks you’ll need to purchase a full month.
See related tips on individual health insurance coverage:
- FAQ - What If I Miss Open Enrollment for an Individual Health Plan?
- Infographic - How to Buy Individual Health Insurance in 4 Easy Steps
- FAQ - Do I Have to Buy Health Insurance in 2014?
