When a big life change happens, your health insurance coverage may change.
You might move across state lines, get a new job or otherwise lose the health insurance you already have. Being without health insurance today is risky. Not having coverage often shakes a person's sense of security.
The Affordable Care Act (ACA) requires most Americans to carry health insurance coverage. How can you protect yourself as you wait to get new, permanent coverage?
Not to worry. You may have an option in short-term health insurance. Many insurance providers offer short-term health insurance plans. You can often use these plans for periods during which you don’t have long-term coverage.
Short term plans come with many benefits:
- You can often still choose a deductible and different coverage options.
- Premiums might be lower than those with regular health care plans. However, this can vary from provider to provider.
- You can choose how long you want a plan to last. Plans might last anywhere from 30 to 365 days. After a plan expires, you can usually re-enroll in coverage.
- You can cancel short-term plans when you obtain regular health insurance coverage. There is often no penalty to do so.
- Plans may become active quickly. Some can take effect the next day. This can ensure that your time without coverage is minimal.
- Many plans allow you to still have choices of physicians and pharmaceutical providers.
However, buying a short-term plan is not a permanent solution. Short-term health insurance plans are not meant to replace a normal, long-term plan.
- Short-term plans may not cover all the essential services that standard plans provide. Short-term plans can usually cover or exclude what they want. These plans may not cover things like routine visits or mental health care. Long-term plans offer much more comprehensive coverage.
- If you apply for a short plan, your provider could deny you coverage if you have a pre-existing condition. However, a provider can't deny you a long-term plan if you have a pre-existing condition.
- Some states have very strict laws on short-term insurance limits and coverage periods. Some states don’t even offer these policies.
Before you invest, consider the costs and benefits of short-term insurance coverage. You have a responsibility to maintain health care coverage. Often, short-term coverage is a great temporary option.
If you want to learn more, explore the General Insurance Services website. You can also call us at (219) 362-2113 to discuss Indiana short-term health insurance options.