Learn how this affordable coverage option compares to Marketplace insurance.
Short-Term Medical insurance, also known as Short-Term, Limited Duration Insurance (STLDI), is designed for people under age 65 who need fast, affordable health coverage during a temporary gap. It offers an alternative for individuals who missed the Affordable Care Act (ACA) Marketplace Open Enrollment, are between jobs, or are waiting for their Medicare to start.
If any of the above situations apply to you, these plans can provide you with peace of mind in the interim.
How Short-Term Medical Insurance Works
Short-Term Medical coverage typically lasts 1-12 months, depending on your state. Because these plans are not required to follow Affordable Care Act standards, insurers can offer them at much lower costs. Since there’s no set enrollment period, you can purchase it anytime during the year and cancel whenever you wish—without penalty!
What Do Short-Term Medical Plans Cover?
Benefits vary by plan and insurer, but most Short-Term Medical plans cover:
· Doctor’s office visits, x-rays, and lab tests
- Emergency room services, hospital stays, and surgeries
- Prescription drugs (in select plans)
Some policies also provide limited coverage for preventive care and pre-existing condition coverage after a waiting period, but it’s important to note that these services are not guaranteed.
What’s Not Covered by Short-Term Medical Insurance?
Unlike ACA Marketplace plans available through Healthcare.gov, Short-Term Medical plans generally do not cover:
- Maternity and newborn care
- Mental health or substance abuse treatment
- Vision and dental care
If you need these services or qualify for subsidies, an ACA plan may be a better fit.
Is Short-Term Medical Right for You?
Short-Term Medical insurance is a cost-effective safety net for people under age 65 who need coverage quickly. Whether you’ve lost job-based coverage, aged off a parent’s plan, or missed the ACA enrollment window, Short-Term Medical insurance provides a practical solution.
These plans don’t meet Affordable Care Act requirements, so they may not be ideal for individuals with chronic health needs or those who qualify for Marketplace subsidies. Always weigh out your options before committing, and work with a trusted AMAC insurance agent to make sure your coverage matches your needs.
Need coverage fast?
Contact AMAC’s Individual Major Medical insurance team today to review your options and secure the Short-Term Medical plan that works best for you.
Comments