Short term health insurance

Today's Assignment

If you cannot afford the more traditional, comprehensive health insurance, consider a short term alternative

Short-term health insurance is meant to protect you against accidents, injuries and illness. These are policies do not cover existing or pre-existing health conditions. Short-term health insurance does not provide for routine care such as an annual physical but instead is meant to help you cope with a health crisis.

Short-term health insurance is typically less expensive than a traditional, comprehensive plan. Of course, the short-term plan is less expensive as it covers only those situations which arise out of unexpected accident, injury or illness. You will find that most plans provide for hospitalization but may or may not cover needed home care services or medications. You need to review any plan to know exactly what you are buying.

Short-term health coverage is most often available for a period of 6 – 12 months. It is not designed to be a long-term solution to your health insurance needs. Some policies are extendable after one period but your premium may be increased.

In some situations, the purchase of a short-term policy may limit your ability to obtain comprehensive insurance at a later time. Don’t let any insurance agent or salesperson pressure you into taking out a short-term policy until you know how these policies may impact your access to other coverage programs in the future.

When shopping for any insurance, it’s best to check out the plan as well as the company selling the plan with your state insurance commissioner’s office. Believe it or not, there are companies selling “fake” policies to unknowing consumers. You may find only when it’s too late that your policy is not valid in your state or that the company has folded due to federal investigation or lawsuit.