For many, not having access to major medical insurance coverage can be a bit concerning.
- What if a member of my family has an accident?
- What if I am diagnosed with a catastrophic illness? How will I afford my care?
- Will unexpected medical bills cost me my home?
Not to worry! You have options. A Short-Term Medical Plan is one of them!
Short Term Medical Plans (STMP) may be a great option to give you the security and protection you need from the financial burden that a catastrophic illness or injury can inflict, for a limited period of time.
What are Short Term Medical Plans?
Short Term Medical Plans are a type of medical insurance coverage that are only available for a limited period of time. Plans typically don’t have as broad of coverage as major medical plans, but they are available at less cost and are easy to obtain.
What does a Short Term Medical Plan cover?
You can shop for the coverage options that best fit your needs. Covered expenses generally include hospital visits, emergency room visits, ambulance services, diagnostic labs and x-rays, and even doctors visits that are sought as a result of an accidental injury or serious illness (like heart attacks, strokes, etc.).
- Low cost
- No specified open enrollment period - you can get them anytime
- Benefits are customizable - you get what you need and do not have to pay for excess coverage
- No networks - you can see who you want to see
- Limited coverage durations (varies by state)
- Coverage is not as broad as major medical coverage
- Pre-existing medical conditions are generally not covered
Who is this product meant to serve?
- Members who have inadvertently missed an annual open enrollment window and do not have a qualifying life event that creates a special enrollment window;
- Employees who are newly hired and are waiting for their employer’s waiting period to be satisfied (as an alternative to pricey COBRA/State Continuation coverages);
- Part-Time, Variable, and/or Seasonal employees and their families who do not have access to coverage elsewhere;
- Retirees who are not quite eligible for their Medicare coverage (this can be a way to bridge the gap);
- Dependents who are no longer qualified for their parents coverage but do not have access to coverage on their own, or those who feel that they do not need major medical coverage (or the cost associated with it).
It is important to research and ensure that this product is indeed right for you and your needs. We recommend that you follow these handy tips when shopping for Short Term Medical Plans:
- Be sure that you are working with a reputable provider of this type of plan. Ensure that they have a strong network of doctors and hospitals. The larger the network, the more likely that they will have strong discounts in place which will save you money!
- Be sure that the plan provider has enough flexibility in the plan design options to cover your specific needs. Ask to review the plans that are available, including details like what deductibles they have and what type of coverage time periods are available. Make sure to read the fine print to ensure that you have the coverage you need for a price that you can afford without any hidden fees or penalties for early termination, etc.
- Lastly, if there is a preferred medical provider that you absolutely want to be able to see, make sure that they will accept the policy that you are thinking about purchasing. Just because you choose a plan that does not require you see an in-network provider, it does not mean that your provider will accept your coverage plan. Be sure to ask the right questions so that you don’t end up incurring unexpected expenses by visiting your preferred medical provider.
Not sure whether or not a Short-Term Medical Plan is right for you? Ask Pendella!
Our Benefit Advisors are available to answer your questions and point you in the right direction. Request a quote or contact us to learn more.