Short Term Health Insurance -- What is it and do I Need It?
With today's unsettled economy, lean employment opportunities and questionable investment atmosphere, consumers are looking to maximize every dollar spent. More than ever, Americans are examining their spending habits to trim the fat or, in some cases, stop the bleeding. Yet there are certain financial products that are an everyday necessity, and health insurance is a very important piece of that spending and investment puzzle.
The choice of health plans available on the market today are often confusing and frustrating to many consumers. New policyholders often do not understand coverage details and costs involved in a policy they recently purchased. There are instances when a consumer has purchased a health insurance plan that is not a proper fit for their needs. In order to ensure a customer has purchased the best plan possible, an insurance professional and client must identify their health insurance needs. It is from this profiling process that a Short Term Health Insurance policy may be identified as the best possible solution.
What is Temporary Health Insurance?
Short Term Medical is a temporary health insurance plan (30-185 days) designed for people who are between permanent health plans. Whether you are:
- Between jobs
- Waiting for employer group medical coverage
- A recent college graduate
- A temporary or seasonal employee
- A dependent falling off their parent's health plan
- A laid off, striking, or terminating employee
Short Term Medical can provide you with necessary health insurance coverage.
Cost of Short Term Health Insurance
Short term health plans often can be a one time expense. Shoppers have the availability to pay on a monthly basis or have a single payment option. Short term plans are often half the price of an individual health insurance policy.
Time Required to Get a Short Term Insurance Plan
Unlike individual health insurance plans, that can often have 4-6 weeks of underwriting time, during which you are NOT covered, short term plans are usually in-force the next business day.
Coverage Benefits of Short Term Health Insurance Plans
A lot of consumer confusion can occur when investigating their individual or group health plan details such as deductible, co-pays, and stop losses. Short term plans consist of a deductible, payment options and length of coverage. Since the plan is not an HMO or PPO, you choose your own doctors and hospitals. Short term health plan highlights include the following:
- Prescription drugs
- Intensive care
- Lab and X-ray
- Ambulance service
- Extension of benefits options such as certain disabilities
So when you're shopping for health insurance, make sure you profile your needs to target which type of health insurance is your best solution.