Tips for Finding Short-Term Health Insurance

Short-term health insurance plans are intended to be a temporary backup plan to regular health insurance and can be taken out for one month or up to 12 months. These plans are much cheaper than regular insurance and are easier for applicants to receive, but they are also very restrictive in what they will and will not cover. Below are a few tips to keep in mind when shopping for short-term health insurance.

1. If you have recently left a job, short-term health insurance is a great option to look into after your COBRA benefits have expired (usually 18 months) or if your COBRA premiums are more than you can afford.
   
   
2. Choose higher deductibles for short-term insurance to save money. Since there is a limit on what your short-term insurance will cover, it is less likely that you will use it as often as you would with regular insurance. So having a higher deductible may actually save you more money in this instance.
   
   
3. Ask questions regarding pre-existing conditions to see if they are covered. Many short-term health insurance plans will not cover issues and situations arising from pre-existing conditions, so this may be something else that you need to prepare for. If you have a pre-existing condition that requires frequent medical treatment, you may want to consider regular insurance instead.
   
   
4. Find out if the insurance can be cancelled at any time, when you no longer need it. You don’t want to be stuck in a plan that you no longer need because you have found replacement insurance. Although it is “short-term”, some policies last up to a year which gives you enough leeway for anything to happen.
   
   
5. Compare short term prices to long term insurance premiums to make sure that this is the right choice for you. For many, especially young and single people, the cost of individual insurance is hard to swallow if they don’t have a doctor’s visit more than once every few years.  This is where short-term insurance can really be valuable.
   
   
6. Know that short term health insurance is not a replacement for traditional health insurance. If you plan to have medical access whenever you need it, then an individual health insurance plan will be a better option.
   
   
7. Be aware that short term insurance covers sudden illness and injuries, not immunizations, physical exams, and dental care. Basically short-term health insurance is more of an emergency plan, while individual health insurance is more comprehensive. Short-term insurance will be a lifesaver if you have high medical bills from an unexpected accident or illness, but a regular doctor visit (sometimes referred to as preventative care) will not be covered.
   
   
8. If you need short-term insurance for more than 12 months, you can always reapply when your policy expires.