Who needs Short Term Medical coverage?
Most people who are not covered by group health insurance are in temporary positions. They could be between jobs, waiting for thier coverage to begin, starting a business, working as a temporary or seasonal employee or have recently graduated. In addition, most purchasers of Individual Medical Insurance will keep the plan less than one year. Therefore, people in these particular situations would benefit most from the affordability of Short Term Medical insurance.
Am I restricted to certain doctors or hospitals?
The Short Term Medical plan is an indemnity plan. This means that coverage provisions are not based upon managed care principles. You have freedom to choose from any licensed medical professional that provides services, covered under the plan.
Am I covered for everything?
Virtually all medical plans contain some types of limitations or exclusions. This is necessary to try to maintain costs so that premiums do not escalate further than needed. While the Short Term Medical policy contains most of the standard limitations, it is probably most important to note that pre-existing conditions are not covered. Basically, this means that any condition that has been diagnosed and/or treated prior to becoming covered under the Short Term Medical plan would most likely not be eligible for benefits.
Is coverage under a Short Term Medical policy counted toward "continuous coverage" as defined by HIPAA (Health Insurance Portability and Accountability Act)?
Yes. For individuals who are using the policy to provide protection between two group medical plans, the amount of time covered under this policy will be counted as "creditable coverage" for the purposes of HIPAA, to help satisfy any pre-existing condition period.
