Short Term Health Insurance Blog
Saturday, February 04, 2012
- 18
May
2010 -
Short Term Insurance That Lasts Long
Filed Under: Blogging
Short term health insurance is sometimes considered a misnomer, simply because it can be purchased for up to three years in most cases. COBRA insurance, on the other hand, is valid for 18 months, and is considered long-term coverage.
The term is used not just because of the term of coverage. It also factors in the type of coverage that is offered by the plan. Short term coverage typically excludes pre-existing conditions and offers limited benefits for regular scheduled medical care. It is primarily meant as a stop-gap arrangement, and hence, the name.
The temporary nature of the coverage is also seen in other areas such as underwriting requirements, which are typically less cumbersome. Temporary insurance can be purchased and paid for online. A simple medical questionnaire and application form are usually all that are required. In some cases, a medical evaluation may be required.
Short term coverage also costs substantially less than long term health coverage, and is a preferred alternative to COBRA insurance when one is left without a subsidized form of insurance. However, remember that short term coverage can never substitute long-term insurance in, well, the long-term.