Short Term Medical

Short-term health insurance is ideal for people in transition. If you are healthy and unemployed, employed part-time, going to school, graduating from college, leaving home for the first time, or even retiring early, you might consider carrying short-term health insurance coverage: a low-cost health insurance policy

Designed for healthy individuals and families who do not need coverage for pre-existing conditions, short-term policies can provide a low-cost safety net in case of illness or injury that might develop during the coverage period.

However, just as the name implies, short-term health policies are a temporary solution.  Most short-term policies limit the amount of time that you can keep the policy to 12 months or less. Short-term health insurance is typically bought in one-month increments which makes it convenient to drop at the end of any month.

Who needs short-term health insurance?

Because of its low monthly cost and high coverage limits, sales of short-term health insurance policies have grown in popularity in recent years. Short-term insurance has the shortest application in the health insurance industry and many insurers now offer credit card payment plans. Because of its low cost, high coverage amounts and fast purchase process, short-term health insurance serves an important function for certain groups of healthy people:

• People between jobs are among the most likely consumers of short-term health insurance. Short-term underwriters will gladly accept individuals who are temporarily out of work, which is often not the case with the standard health insurance markets.  Many people who are laid off or are between jobs can continue coverage with their previous employer under the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) for up to 36 months depending upon the circumstances, until a new employer's plan kicks in. Some people might experience sticker shock upon learning what their COBRA premiums will be in order to maintain a corporate plan. If COBRA premiums are too high for your budget, and you donýt need coverage for pre-existing conditions, a short-term policy with lower premiums might be the solution.
• Recent college graduates are another group of consumers of short-term health insurance. Many grads will look for jobs offering health insurance benefits, but until they succeed, short-term insurance can fill the gap.
• Those losing dependent status under their parents' health coverage are also likely consumers of short-term coverage. If you reach age 18 and are not enrolled as a full-time student, you will most likely be dropped from your parents' health insurance policy.  A short-term policy can keep you insured for less until you find a job that offers health insurance, or you enroll in an individual health plan.

Who's eligible?

Most insurers only sell short-term health policies to people under the age of 65. And if you have ever been denied health insurance, you probably wonýt qualify for short-term insurance.

You shouldnýt buy short-term health insurance if you are already covered by another policy. Each short-term health plan has its own application that contains a number of qualifying questions. Additionally, you must meet published acceptance guidelines, usually including acceptable height and weight charts.