Health Insurance Articles
When To Consider Buying A Short Term Health Insurance Policy
2010-10-07
A short term health insurance policy isn't as protective as a longer term health insurance policy, for obvious reasons. However, the protection offered by a short term policy is still better than no protection at all, and there are several situations in which a short term policy can be a good choice for both private insurance buyers.
One such situation occurs when a buyer is between jobs. After being laid off, fired, or quitting, it's important to keep a health insurance policy intact to avoid a lapse in coverage. This is even true for healthy policy holders who don't have any history of medical conditions whatsoever; a lapse in coverage can be bad, and can lead to higher rates on a future health insurance policy or denial of coverage if you develop a serious condition (although denial of coverage laws can provide some assistance). Of course, being between jobs usually means very strict budgeting, and it can be difficult to stay insured during this time. A short term health insurance policy will help to keep costs down while keeping coverage intact. Many companies that offer short term health insurance have special programs for unemployed buyers, and if you're in good health, you can ask about special discounts to further reduce the cost of your coverage.
A short term health insurance policy may be kept for up to 12 months or so, so it can also be a good buy if you're trying to evaluate different coverage options without experiencing a lapse in coverage. It's unwise to rush into a long term health insurance policy, but one of the major advantages of short term policies is their relatively low risk. There are rarely any significant early cancellation charges involved with a short term health insurance plan, and coverages can be chosen and implemented almost immediately. Most short term health insurance policies will start within a day, allowing their buyers to quickly obtain the insurance coverage that they need while looking for a good long term private health insurance policy that will work within their budgets.
When buying any health insurance policy, be sure to carefully evaluate it to know what you're buying. Think carefully about each coverage, and read through the contract. Just because you're buying a short term health insurance policy, don't avoid doing your research. Look online for quotes from different health insurance providers, and buy a policy that will pay for your expenses if you're hospitalized or ill during your short term coverage. A short term policy can help bridge the gap between long policies, and it can be a great, low cost way to stay protected.
