Short-term insurance is insurance that can be purchased for a short period of time as opposed the typical annual policy; it is meant to meet the temporary insurance needs of those who purchase it. The main difference between short-term and long-term insurance is simply how long a contract will last. In terms of auto insurance, coverage is the same as a long-term policy. You can still choose to purchase just a liability insurance policy, or a liability and property damage policy. Short-term auto insurance can be purchased for as little as one day and some insurance companies offer 6 month policies, depending on the insurance provider you choose.
Short-term health insurance, on the other hand, isn’t the same as long-term. It is meant to provide users coverage in the event of an unexpected accident or illness; however, unlike long-term insurance, it does not provide the same comprehensive coverage. Short-term health insurance programs, though they vary from company to company, typically don’t cover annual office visits or preventative care visits. They also don’t generally cover emergencies that are the result of a pre-existing condition. In fact, pre-existing conditions procedures are usually pretty limited. That being said, health policies can be purchased for as little as 30 days and in some cases, as long as a year.
Who Needs Short-term Insurance?
Short-term insurance isn’t something many people consider when they think about purchasing health and auto insurance. Nonetheless, some find themselves in situations that require it. In terms of health insurance, when people get laid off from a job that provides them with a health benefits package, short-term health insurance might be purchased to cover themselves during the period between their old and new job. Similarly, some must turn to short-term insurance if they go on strike. Other situations also require short-term insurance. For example, many recent college graduates and seasonal employees opt for short-term options.
Short-term car insurance is another story. Many travelers opt for such insurance if they rent a car or if they’re visiting another country. Others do so if they live in regions known for tornados, hurricanes, and other natural disasters and want to protect the vehicles they have in storage. Some purchase coverage if they will only own a vehicle for a small period of time or if they are uninsured and need to use or rent a car for only a day.
Locating Short-term Insurance
Locating those companies that provide short-term insurance isn’t difficult. One can contact short-term policy granting companies by phone, but insurance companies online usually provide ample information. Insurance search engines are particularly helpful and convenient for learning about your short-term insurance options; you can even contact insurance companies using social media. This is especially the case with auto insurance because not all insurance companies for cars offer short-term insurance options. Some companies even allow you to apply for coverage online.
Meanwhile, the process of signing up for short-term health insurance is usually simpler and quicker than that of a long-term program. Online quotes are available, and speaking with an agent or broker of an insurance company that will grant short-term health insurance is also an option and may be a good route for those with questions about their short-term insurance coverage.