The Benefits of Short Term Health Insurance

Short term health insurance is of greatest benefit to individuals and families who require medical health cover for not more than a year. If you are between jobs and therefore without health insurance or waiting for employment based health insurance to start, short term health insurance is perfect for you. In this article, I am going to discuss about the advantages of short term health insurance and the reasons to go for it.

 Short Term Health Insurance

Understanding Short Term Health Insurance

It is therefore important that one has some background knowledge of what short term health insurance is before we proceed very much further in discussing some of the advantages of the policy. Temporary or short term health insurance, or as it is sometimes referred to as gap coverage, is designed to afford you medical insurance for a short time only. To the contrary, short term health insurance plans are much more convenient because they do not contain annual subscriptions as most of the traditional health insurance plans have.

Definition and Key Features of Short Term Health Insurance

Temporary or short term health insurance on the other hand, is a kind of insurance plan that will provide for health risks when one is without major medical insurance for a short time only. Such plans can be for a period of several months up to a year depending with consumer’s preference. Some key features of short term health insurance include:Some key features of short term health insurance include:

• Flexible coverage periods
• Easy approval of loans and other credit services
  
• No network restrictions
• Lower premium costs compared to traditional health insurance

Short term health insurance is also unique in that the coverage periods can only be described as flexible. Also, the plans are made in such a way that you can choose the period you wish to be covered which could be one month, three months or up to a year. This implies that you have the option to select the coverage period that should suit your needs; it can be for a temporary period, for instance, job transfer period or waiting period for the next company sponsored health insurance plan, among others.

Short term health insurance is also characterized by its simple application procedure this is one of the major benefits of short term health insurance. Unlike other types of health insurance policies that may demand application forms and days or weeks to process the application, short term health insurance policies can easily be applied with approval being completed in a few days. This makes it possible for you to be sure that you are protected against emergent medical costs in the shortest time possible.

However, one of the main advantages of short term medical insurance is that there are no restrictions as to the network. Contrary to conventional health insurance plans where one is restricted in accessing a particular or rather a number of practitioners or even facilities, short term health insurance plans give the consumer the privilege to seek healthcare from any legally registered healthcare provider and facility of the individual’s choice. This allows you to freely attend facilities where you find competent doctors and other medical practitioners without having to cut previous contracts you signed that bar you from accessing a particular provider because they are out of the network.

Finally, short term health insurance plans give the buyer lesser premium charges compared to a standard health insurance plan. This can be a major boon for those people who are on the lookout for cheap insurance policies, or those who have lost their jobs and therefore cannot afford to pay for regular insurance policies. Short term health insurance plans are convenient for people that are between jobs or waiting for employer based coverage to begin and can offer coverage for major medical issues when it is most needed.

How Short Term Health Insurance Works

Short term health insurance is basically when a person sign up for and obtain coverage for a limited period of time. If you encounter a medical episode or require medical services in the course of this period, the insurance plan will offer compensation of qualifying expenses. Most short term health insurance plans do not include preexisting medical conditions and may have restrictions on services that can be provided. Yet, they are rather an interesting choice for people that need the insurance during the transitional moments.

The Advantages of Short Term Health Insurance

Having known what short term health insurance is, it is now time to take a look at the benefits of the short term health insurance.

 Short Term Health Insurance

Affordability and Flexibility

Another benefit of short term health insurance is that it is cheap, or relatively cheap, depending on the plan in question. Paying for short term plans are cheaper compared to that of the normal health covers and this will be especially useful for those that have limited funds. This is to mean that people and families especially can afford to put a foot in the door to access qualitate healthcare services.

Also, short term plans provide options in terms of the periods that they are able to cover. Contrary to the usual plans which offer a long-term subscription, specifying monthly charges, short-term plans do not tie you up for a year and let you subscribe for as long as you need. Short term health insurance can be used if you need insurance for several months or up to one year and it is fully flexible.

Quick Coverage and Easy Approval

A further advantage of short term health insurance is the speed with which it covers a person. Short term health insurance plan has also certain limitations and does not include the coverage of pre-existing medical conditions unlike the open enrollment plans that may have waiting periods or complicated approval processes for coverage. This implies that you can be assured of being protected and be able to access heath services without undue delay.

In addition, short term health Insurance is famous for its requirement of short and basic health questions. Unlike other types of plan, there is usually little or no documentation to fill, no medical underwriting usually involved in the plans. This really does mean that people can be offered protection surprisingly fast and with great ease.

Supplemental Coverage During Transitional Periods

Short term health insurance can also used at those moments when a person needs coverage for a limited period of time. For instance, if you are between jobs and hence unemployed and waiting to be sponsored a health insurance by your new employer then getting a short-term coverage is very good as it offers you the cover you need before you can be accorded a permanent medical insurance. It provides cushioning in the sense that you have to clock in to be protected from other health expenses during this transitory period.

Besides, short term health insurance can be essential if, for instance, you are changing your job and has a waiting period before generating your new employer’s insurance. For example, when one completes college, they reach the end of the grace period in which they are allowed under their parents’ insurance plan. Currently, short term coverage can offer you the necessary protection during the time that you search for permanent health insurance.

In summary, the advantages of short term health insurance include the low cost of the premium, flexibility, timely access to health plan cover, easy approval and supplemental plan for the transitory times. For people and families in need of insurance-related healthcare service without engaging in a long-term insurance product, then health sharing ministry is a great choice. Short term health insurance should also be seen as a possible solution to protect own’s health and money.

Comparing Short Term and Traditional Health Insurance

In the following section, it is worth stressing that short term health insurance has numerous advantages, yet it is different from the standard health insurance.

 Short Term Health Insurance

Coverage Differences

However, the considerable distinction between STHI and traditional plans is the extent of coverage. Short term plans are meant to ensure minimal needs are met in case of any eventuality in this case, medical need, while traditional plans are meant to get full compensation of all medical costs including the preventive and emergency cases, treatment of illnesses including the pre-existing ones. This means that there is need to evaluate your health care needs and compare these coverage options which are most appropriate that will meet them.

Cost Differences

Price is the other element of differentiation between short term and the normal health insurance policies. Often, the short term plans cost less in terms of premiums compared to the traditional plans but the level of cover may also be reduced. In the same respect, short term plans may not include all the benefits offered in long term plans thus they may come with higher out of pocket expenses like deductibles and copayment. This means that any differences in costs must be checked and balanced against one’s finances as well as the quality of health care services to be delivered.

Who Can Benefit from Short Term Health Insurance?

There are a number of situations where short term health insurance proves helpful to a number of people.

 Short Term Health Insurance

Ideal Candidates for Short Term Health Insurance

Short term health insurance is an ideal option for those who are:Short term health insurance is an ideal option for those who are:

• Between jobs
• Delaying an employer-sponsored health plan to start
• Early retirees
• Leaving college, no longer being able to qualify for parents’ medical insurance.

Situations Where Short Term Health Insurance is Beneficial

In addition to the ideal candidates mentioned above, short term health insurance can also be beneficial in other situations such as:In addition to the ideal candidates mentioned above, short term health insurance can also be beneficial in other situations such as:

• Moving to a new state or a new country
• Loss of dependent status
• Divorce or legal separation

Things to Consider Before Opting for Short Term Health Insurance

However, there are some points that one need to understand regarding the short term health insurance such as;

Understanding the Limitations

STHP’s may have restrictions in that they can exclude coverage for pre-existing conditions, and perhaps limit coverage for specific medical procedures. To understand the features of the particular plan, there is a strict recommendation to read the terms and conditions of the plan before joining.

Evaluating Your Health Care Needs

Any time you are considering using the short term health insurance it is good to look at your health care cover needs. Ways to do this include the future medical history, your current medical condition, presence of diseases, and any treatment of such diseases as well as prescriptions that one might be under. This evaluation will enable you to decide whether short term health insurance policy will be suitable for your personal situation.

Conclusion

Short term health insurance can thus come in handy in offering a good solution for those in need of an insurance cover for a short term basis. It is cheap, highly mobile and efficient in terms of the coverage formula; and thus perfect for use during transitioning moments. But it is essential to consider your health care requirement and understand the restrictions of short term health insurance plan before going for it. Based on the foregoing factors, it is possible to make the conclusion on the appropriateness of short term health insurance.