Indy Health Insurance Agent
Short-term health insurance plans are typically for those between jobs and outside open enrollment. In the last couple of years, many customers have started to use short-term health policies as their permanent coverage, waiting to see if new healthcare bills are passed. While usually more affordable than other options, it's important to understand the risk involved when doing this and ways to reduce the risk. We can help you find the right affordable short term insurance plans in Alabama or Indiana at the best possible price while reducing your overall risk.There are several short-term affordable Alabama & Indiana health insurance carriers to choose from but not all of these health plans are created equally. Due to a new law, short-term policies have to be renewed every 3 months. This creates a new type of risk for these policies in that if something happens to your health while insured under one of these policies, the carrier is likely not going to renew you at the end of the 3-month term. Because of this rule, some insurers have developed plans that will guarantee a second (or even third 3rd and 4th) term renewal regardless of health issues or other conditions that would typically cause a denial of renewal. This is known as a 3x2 or 3x4 policy. UPDATE:
On February 20, 2018, the HHS (Department of Health and Human Services) proposed a new rule that will raise the duration of short-term medical insurance plans from 3 months to 12 months. They proposed this guideline as part of an executive order President Trump issued on October 2017 telling the division to create regulations or guidance that could make short-term health insurance plans more easily available to purchase and to encourage customer options and increase carrier competition in the medical insurance market.
In late 2016, the government put a cap on the duration of short term insurance plans at 90 days due to worries that the plans had been allowing people to avoid the ACA health care legislation and keeping the healthiest individuals from purchasing on the ACA exchange. The White House desires to cancel the 90-day cap and to increase insurance coverage options for people who don’t have insurance coverage through the ACA exchanges. Insurers have previously discovered an easy method around the 90-day limit by providing four and two-segments or packages of three-month plans that just require the applicant opt into automatic renewal each quarter. However, with most of these methods, the deductible was renewed every quarter. Under the proposed law deductibles will not renew until the start of a new 364 day period. Get a free quote from the top short-term health insurance carriers in Alabama or Indiana. Want more info on short-term health insurance checkout this article...Shopping for the Right Short Term Health Plan.