About Short-Term Medical Insurance Coverage

Going without medical insurance for a short time can be expensive. One serious illness or trip to the emergency room can turn into a financial nightmare. There are ways people can gain short-term medical insurance to help fill the gaps between jobs or directly after college.

Know the Basics

Short-term medical insurance typically covers emergency room visits or serious illness. It may not cover routine annual checkups, dental or vision. Short-term medical insurance may not cover existing medical conditions. This type of insurance is designed to last as little as one month and as long as 18 months. Some plans may be renewable dependent on certain conditions, like on-time payments and no long-term medical conditions. Some short-term medical insurance policies may not renew if the person has been diagnosed with a long-term medical problem.

Where to Look

Many private insurance companies offer short-term medical insurance. They may feature a high deductible, which is the amount the patient has to pay out of pocket for a procedure before the insurance will begin to pay. Private short-term insurance typically allows you to visit any provider. It may offer a discount to patients who visit providers in their network.

COBRA

Former employees who have worked for companies with more than 20 employees may be entitled to COBRA. COBRA requires employers to extend the insurance coverage of employees for 18 months after the employee leaves the company. The benefits remain the same, and the employee becomes responsible for premiums, deductibles and co-pays. Many may find COBRA cost prohibitive. Some states require small companies with fewer than 20 employees to provide the same type of coverage to their former employees.