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Short Term Health Insurance vs. ACA Compliant Health Insurance

Short Term Health Insurance vs. ACA Compliant Health Insurance

Comparing short term health insurance with ACA health insurance is like comparing apples to oranges. Both have their advantages and disadvantages.

Short term health insurance should be considered for temporary situations until qualifying for ACA health insurance.

There are many important differences between the two types of plans:

FeatureShort Term Health InsuranceACA Health Insurance
AvailabilityAt any timeOnly during open enrollment or if you qualify for Special Enrollment
Minimum Essential CoverageNoYes
CostLowHigh
Tax PenaltyMaybeNo
Tax SubsidyNoDepends on income and household size
Maternity and newborn careNoYes
Mental health and substance abuseNoYes
Prescription drugsDepends on the planYes, cost and drugs covered depends on the plan
Preventive careNone or limited coverageYes
Pediatric dental and vision careOnly if mandated at state levelYes
Pre-existing conditions coverageNoYes
NetworkPPO or IndemnityPPO or HMO
Referrals requiredNoYes in HMO plans
Rehabilitative servicesLimited coverage in some plansYes
RenewableNoYes

If you qualify for an ACA compliant health insurance plan, you should enroll. If you are considering short term health insurance as an alternative to ACA health insurance, you should examine your specific situation and make sure it is the right choice for you. Don’t make a decision based on price alone.

When it comes to health insurance, what you pay for is what you get. You can’t pay short term health insurance’s lower premiums while expecting the greater benefits of ACA compliant medical insurance.

If you have chronic medical conditions, need maternity and newborn care or need preventive and wellness care, ACA health insurance is the right choice.

Short term health insurance does not provide minimum essential health coverage under ACA. However, it is still considered a major medical insurance and is meant to cover unforeseen illnesses, injuries or accidents that may occur after the policy’s effective date. Short term health insurance is not meant to be a long term or permanent solution to your healthcare needs.

Short term health insurance plans can vary greatly in coverage, so you should read the details of your plan carefully.

Did you know?

Prices are regulated by law.

You cannot find a lower price anywhere for the same product.

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Why purchase insurance from Insubuy®?

Same Price. Better Service.®

There are many advantages in purchasing from Insubuy® and no disadvantages.

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Visiting USA?

Healthcare costs are very high in the U.S.

Buy U.S. based visitors insurance and enjoy your trip.

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Traveling abroad?

Did you know that your insurance may not cover you abroad or that it may only provide limited coverage?

Purchase travel medical insurance that includes emergency medical evacuation.

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New immigrant to USA?

You would not be eligible to enroll in Medicare for the first 5 years.

Purchase new immigrant medical insurance to bridge the gap.

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Going on a vacation?

You could lose your non-refundable trip costs if you had to cancel your trip.

Buy a trip cancellation insurance package plan and be worry-free.

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Are you an exchange visitor to USA?

The U.S. Department of State requires all J visa holders to purchase compliant insurance.

Buy J visa medical insurance to meet your requirements.

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Traveling to Europe?

Schengen countries require most non-US citizens to purchase Schengen visa insurance.

Make an instant purchase online and get instant visa letter.

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Traveling frequently throughout the year?

You don’t need to purchase travel insurance for every trip.

Purchase annual multi trip travel insurance for your travels.

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International student in the U.S.?

Most schools require international students to purchase health insurance.

Purchase international student health insurance that meets most school requirements.

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