Three Myths about Short-Term Medical Insurance
|Three Myths about Short-Term Medical Insurance|
Three Myths about Short-Term Medical Insurance - With medical insurance plans being adjusted and redesigned under the Affordable Care Act, also known as Obamacare, other kinds of medical coverage which include short-terms medical insurance are recently being given renewed scrutiny by the press and also consumers.
This is typically true for those consumers that may face a temporary obstacle in obtaining medical insurance due to some technical problems with the enrollment with the new medical insurance.
Historically speaking, short-terms medical insurance plans were quite popular with those who experienced a gap in insurance coverage because of divorce, hob loss or other influential life events.
But, the limitations and nature of short-terms medical insurance are sometimes misapprehended by the society, partly due to market presence of these insurance plans. Let us have a look at how this particular insurance plan has been misunderstood, causing some myths among consumers.
How Short-Term Medical Insurance Has Been Misapprehended
It has been widely rumored amount consumers in the business of insurance that Short-Term Medical Insurance is just the same as regular health insurance yet its coverage lasts for a more limited period of time. Health insurance has been changed under the Affordable Care Act and the difference between Short-Term Medical Insurance and the more conservative heath insurance has been wider than ever.
All medical plans compliant with the regulations of the Affordable Care Act have to cover at least ten essential medical benefits and have to pay at least sixty percent of the covered medical expenses for a certain pool of enrollers.
Short-Term Medical Insurance, on the other hand, is not obliged to keep abreast with the affordable Care Act’s requirements of coverage. As a result, medical services such as maternity care, preventive care, and the treatment of mental illness or the abuse of substance may be out of the coverage provided.
Another myth regarding Short-Term Medical Insurance is that it is accepted by very few medical practitioners or doctors. Short-Term Medical Insurance is actually accepted by a lot of doctors across the USA.
Just like other forms of medical insurance, this particular insurance may rely on the network of pre-determined healthcare provider. For Short-Term Medical Insurance plans that include a pre-determined healthcare provider network, any medical treatment given by a foreign healthcare provider can result in drastically higher costs.
The same is true for traditional medical insurance plans. If you get a non-emergency treatment from an out-of-network hospital, the health plan may simply deny payment for the health service or require you to pay even a higher percentage of the medical expenses that you will have for the very same health service which is delivered by an in-network provider.
The last myth you need to be aware of is that Short-Term Medical Insurance costs just the same per month as the renewed Qualified Health Plans under the Affordable Care Act. One thing that you need to know is that the Affordable Care Health plans and Short-Term Medical Insurance are so different and their respective prices clearly reflect that. Short-Term Medical Insurance can use the medical underwriting in order to eliminate less healthy consumers from enrollment.