what is short term insurance

Short-term insurance is a type of insurance that provides temporary coverage for a limited duration, typically several months to a year. Short-term insurance plans are designed to provide basic coverage for unexpected medical expenses, such as emergency care and hospitalization. They are often used by people who experience a temporary coverage gap in major medical insurance offered by an employer, or purchased on the state or federal exchange, or provided by Medicare, for example. Short-term insurance plans are medically underwritten and may have lower premiums compared to other plans. However, they are not required to comply with certain federal market requirements for health insurance, and may not cover the full list of health benefits required by the Affordable Care Act. It is important to read the policy terms and conditions thoroughly to understand the coverage you are purchasing, as short-term health insurance is not a comprehensive substitute for long-term plans and typically have limitations in coverage.