The Pros and Cons of Short-Term Health Insurance

[Leah Kelvin]

For a few months to a year, short-term health insurance also called as temporary health insurance offers limited coverage. Affordable, flexible length of coverage, quick enrollment, available throughout the year and allows for customization of benefits are the desirable aspects of this type of health insurance. On the other hand, limitations in coverage for pre-existing conditions, preventive care services, pregnancy care programs and mental illnesses among others limit its use. This kind of policy is best for people who have no work and are waiting on their employers to give them their policies or for those who can’t afford extensive coverage; but it may not be able to offer similar types of advantages as conventional health plans.

Short-term health plans might contain waiting periods or coverage gaps; however they do not guarantee renewability and often have exclusions, limitations or restrictions on treatment. Such plans must comply with ACA requirements therefore they offer less comprehensive protection than products that obey the act. People need to evaluate these possibilities when considering temporary options but should take into account all possible alternatives such as Medicaid or an ACA-compliant plan and their own circumstances regarding healthcare requirement and financial position before making decision so that they will select the most suitable plan according to cost-related concerns.