Short-term health insurance, also known as term medical insurance, provides temporary coverage for individuals who need immediate coverage in addition to standard long-term health insurance policies.
It is also a relief for those who cannot afford comprehensive coverage, such as employees and unemployed individuals waiting for company group insurance.
Key points about short-term health insurance:
- Coverage lasts for a few months to a year.
- Premiums for short-term plans are lower compared to long-term plans.
- Pre-existing health problems may not be covered, and certain treatments may not be possible.
- These plans require minimal health information to enroll.
- They have limited validity and are only valid at selected network dispensaries.
- Short-term policies cannot be renewed like long-term health insurance policies.
In conclusion, short-term health insurance serves a specific purpose for immediate needs, while long-term health insurance is preferred for long-term health benefits.
While premiums may increase if there are no claims, it’s crucial to consider comprehensive standard health insurance for specific needs such as maternity and mental health coverage. This will ensure you have the necessary coverage when needed most.