Every year, millions of Americans find themselves unexpectedly without health insurance. This can happen for a few reasons, which include losing your job, graduating from college, or turning a certain age and no longer being covered under your parent’s plan. Luckily, there are a few options out there for individuals, so today we’re breaking down the pros and cons between Obamacare and short-term medical plans.
This subject is a little complex, so just bear with us while we explain the basics. Obamacare is also referred to as the Affordable Care Act and was conceived by the Obama administration in 2010. The goal of this health care act was to ensure all Americans could get access to health insurance regardless of their medical history, income, or age.
The pros of Obamacare include being covered for ten essential benefits, which insurance companies are now required to provide. Some of these benefits include maternity care, mental health services, prescription drugs, and dental insurance coverage for children and teens. Another pro is that health insurance companies cannot reject your application based on your age or previous/current health conditions. Before the Affordable Care Act, insurance companies used to reject cancer patients and HIV positive individuals, because they’d prove to be too costly for the company.
On the other end of the spectrum, Obamacare can be quite pricey if you don’t qualify for the subsidies. These subsidies vary from state to state but can lower your monthly premium by a significant amount.
The current state of the Affordable Care Act is in a state of limbo, as President Donald Trump has vowed to dismantle the act (leading to the introduction of “Trumpcare“). This has left many Americans in a state of panic and disarray. Since the beginning of the year though, it’s clear President Trump will keep the key pillars of Obamacare, but the details are still very murky.
Short-Term Medical Plans
Short-term medical plans are great for individuals who missed the open enrollment period or who simply need a safety net for a few months. According to HealthCare.com, short-term plans offer limited coverage for a short duration of time. These plans are not meant to be long-term solutions.
The pros of short-term plans include being able to tailor the duration of your coverage, so it’s very customizable and is perfect for individuals who are uninsured and are about to move to a different state. It’s also really easy to sign up online, so within a matter of minutes, you’ll be enrolled and can start utilizing your plan the next day.
The cons include being denied because of your medical history. The discriminatory policies banned under Obamacare do not apply to short-term plans, so it’s possible to be automatically rejected if you have preexisting medical issues. These plans are usually minimal and do not cover the ten essential benefits, so make sure to read the fine print and understand what you’re paying for.
Both short-term medical plans and Obamacare offer different forms of health coverage, but it’s important to make an informed decision regarding which option is best for you. For more trustworthy information regarding this ever-changing subject, you can always consult HealthQuoteInfo.