Advantages and disadvantages of short term insurance

Short term health insurance is becoming more popular day by day because of its flexibility and affordability. Many low-income households have no choice but to opt for these short-term insurance policies, especially when long-term plans are not affordable. While these temporary plans have their own limitations, these drawbacks are overshadowed by several benefits that these flexible packages offer, making them extremely attractive, especially for those who can only afford low-income health insurance.

What exactly are the disadvantages of short-term health insurance? First, it is extremely easy to obtain as application processes take no time, you could probably get approval within a day of applying. This makes the application process simple, which is why many mass health insurers get these packages. Another primary advantage is the low premium, this would especially appeal to those who cannot afford comprehensive health insurance. Temporary health insurance also works great for travelers who need insurance in the country of travel during vacations or field trips, as well as those who are in-between jobs or are college freshmen. The flexibility of these plans allows you to choose how long you want to be covered and how much you want to pay for your premium (this depends on the amount of coverage you receive).

Nevertheless, these plans also have their drawbacks. These health plans don’t guarantee renewals, so if your policy expires, you’ll have to reapply and hope to get re-approved. This can prove to be a bit tricky as the term of the policy is normally only between 30 and 360 days. Short-term health coverage also doesn’t include optical, dental, or medical checkups, so you may incur additional costs if you need medical attention.

In conclusion, short-term health insurance works well for those who are in a financial transition period or need insurance while traveling. If the limitations of these plans don’t scare you, then you’d be happy with what term health insurance plans can offer you.

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