Short-term health insurance plans are meant to bridge the gaps during transitional periods in life. While these plans provide some coverage, they’re often low-cost, low-coverage, and require copayments or deductibles. While they’re not ideal for long-term coverage and usually have nonrenewable coverage dates spanning less than a year, there are some situations in which a short-term plan can be very beneficial. Read on to learn more about when you should get short-term health insurance.
When There’s a Gap Between Current Employer Coverage and a New Job
Whether you’re unemployed, self-employed, or transitioning into a new job, there may come a time when you find yourself between situations and lacking health insurance coverage. While you may feel like riding out the storm, finding yourself in a medical emergency and responsible for all the bills will be much more catastrophic than biting the bullet and securing short-term health insurance coverage to bridge the gap.
When You’re in a Waiting Period at a New Job
According to a recent poll, 68% of covered workers faced a waiting period before employee-sponsored health coverage is made available. If you just got a new job and have to wait this period out, do yourself a favor and stay covered with short-term health insurance.
When You Miss an Open Enrollment Period
Sometimes life gets so busy that important dates can pass us by. Whether you intentionally put off a tough decision or genuinely missed your open enrollment period, you’ll need to stay covered while waiting for the next. This is one situation where short-term health insurance comes in handy.
When You Retire Early and Are Under the Qualifying Age for Medicare
Some people are lucky enough to retire well before they reach the qualifying age for Medicare. Whether you’re less than a year away or half a decade away, you may be able to take advantage of short-term health insurance to enjoy the start of your golden years with peace of mind – as long as you don’t have preexisting health conditions.
When You’re Aging Off Your Parents’ Plan
Anyone under 26 years of age is eligible to remain on their parent’s or caregiver’s health insurance plan. However, if you’re aging off of it or can’t stay on it for other reasons, a short-term health insurance plan can help carry you through until you sort out a permanent option.