Understanding Short-term Health Insurance

A short-term health insurance plan is a provisional health policy that gives you low cost, flexible medical coverage for a specified period of time. It is designed to provide a more affordable, temporary alternative to full coverage insurance plans. As its name suggests, short-term health insurance generally provides coverage from 30-180 days.

Short-term health insurance plans are structured for healthy individuals and families, who do not need cover for preexisting illnesses. People between jobs, recent college graduates, frequent travelers and temporary or part-time employees are most likely to benefit from this plan. Short-term health insurance is typically available only to people under the age of 65.

Short-term health insurance plans typically cover only accidents and catastrophic health problems or sudden illnesses. In other words, it covers major health problems, not the more typical illnesses such as the flu. Also covered is surgery, emergency services, diagnostic tests, prescribed drug' costs, hospital care and follow-up visits to the consultants. In addition, the policy will pay out for outpatient and in-patient services, X-rays, lab exams, hospital room and board, among other medical services.

The short-term health insurance plans are beneficial as they are low in monthly cost but high in coverage limits. They involve a fast purchase process, because complicated underwriting procedures are not conducted to get the policy issued. These plans do not require the physical examinations, either. As soon as the insurance company receieves your application and first monthly payment, your policy coverage begins. It is the shortest application in the health insurance business and is available across the country. And now, many of the companies are offering credit card payment plans, which make it a very convenient option.