Short Term Health Insurance
Availing of a typical insurance plan is a big responsibility. You need to pay the insurance company a specific amount every month, called a premium. This takes a couple of years to complete, depending on the face amount and coverage of your policy. With the looks of it, getting an insurance plan would be costly for those who are living from paycheck to paycheck. They cannot afford to let go a considerable portion of their income every month.
Fortunately, most insurance companies now offer a short term health insurance, which is more affordable than the normal insurance plans. This health insurance will provide you coverage for a limited amount of time, hence the term “short term”. Most of these short-term plans offer six months to one year of coverage. Because of its time frame, it only makes sense that this will be less costly compared to a normal insurance plan which offers 10 to 15 years of coverage.
What’s great about this insurance is that you get the same coverage as a traditional insurance policy. If during the duration of your policy there had been an incident where you needed hospital services, the short term health insurance will pay for your bills. Covered expenses include x-ray and other laboratory services, in-patient hospital services, prescription drugs, and the use of an ambulance. Note however that this is subject to the overall face amount of your policy. Any excess from the face amount will be paid by the policy-owner.
This insurance has its limitations. First, your protection is only limited to injuries arising from accidents and unexpected illnesses. It does not consider the pre-existing conditions of the insured. For instance, if you already have diabetes prior to your policy, any expenditure related to that disease won’t be paid by the insurance company. Also, it does not cover preventive health care services.
Who benefits the most from a short term health insurance? Those who are in between jobs can avail of this so that there won’t be a lapse on their insurance coverage. People who are self-employed can also get this insurance if they find a comprehensive plan too expensive.