Short term medical insurance averages about half of the price of regular health insurance. The price is based on sex, age, location of residence and policy details like deductible, co-insurance, optional coverage selected and the method that you choose to pay the premiums. Since coverage is based on age, a 64 year old might expect to pay $300 per month while a 24 year old might pay less than $60 per month.
Not everyone qualifies for this type of coverage. Eligibility is not guaranteed by any state or federal law. Certain groups do not qualify: 1) residents of MA, NJ, NY, and VT, 2) people with significant prior medical conditions, and 3) applicants over age 64. Applicants who have difficulty qualifying for a specific short term medical insurance should check the article “Short Tem Medical Insurance for Special Situations” posted at www.MedSave.com for possible alternatives.
IssuesShort term medical insurance is exempt from many federal and state laws that pertain to other health plans like HIPPA and some mandated benefits like maternity coverage. This is another reason for the lower costs.COBRAShort term medical insurance is not COBRA coverage and is not subject to COBRA health insurance laws. Many people use short term medical insurance as a lower cost alternative to COBRA coverage. For more information on this topic and a list of Frequently asked questions about COBRA coverage and COBRA alternative coverage, see www.
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