Short Term health insurance Arizona
As an independent insurance agent with Blake Insurance Group in Arizona, I’ve seen firsthand how short-term health insurance can be a lifesaver for folks in tricky situations. Maybe you’re between jobs, waiting for Medicare to kick in, or just missed the open enrollment period for ACA plans. Whatever the reason, short-term coverage can help bridge those gaps and give you some peace of mind.
Now, I’ll be straight with you – these plans aren’t for everyone. They’ve got their pros and cons, and it’s my job to help you figure out if they’re the right fit for your situation. I’ve been in this business for years, and I’ve helped all sorts of people navigate their health insurance options. So, let’s dive into Arizona’s nitty-gritty of short-term health insurance. I’ll break it down for you in plain English, no fancy insurance jargon here. We’ll cover everything from what these plans typically cover (and what they don’t) to how much they might cost you and what alternatives you might want to consider.
Remember, my goal is to ensure you have the coverage you need at a price you can afford. So, let’s get started, shall we?
Share This
Customer Reviews
Benefits of Short-Term Health Insurance in Arizona
Affordability is a big one. Short-term plans often have lower monthly premiums compared to traditional health insurance. For example, I recently helped a client in Phoenix save about 40% on their monthly premium by switching to a short-term plan while they were between jobs.
Flexibility is another major advantage. You can choose coverage for as little as 30 days or up to a 3-month period. This works great for seasonal workers in places like Flagstaff or Tucson who need coverage during their off-season.
Quick approval is also a huge plus. I’ve had clients get approved, and coverage starts the day after applying. This rapid turnaround can be crucial if you suddenly find yourself without insurance.
These plans also tend to have broader provider networks than some ACA plans. For instance, I’ve helped clients in rural areas like Yuma find short-term plans that give them access to specialists in Phoenix or Tucson without the hassle of out-of-network costs.
Another benefit is the ability to customize your coverage. You can often choose your deductible and coinsurance levels to balance your monthly costs with out-of-pocket expenses. This flexibility has been beneficial for my self-employed clients in places like Sedona or Scottsdale who want more control over their healthcare spending.
Lastly, there’s no open enrollment period for short-term plans. You can apply anytime, which is great for folks who missed the ACA enrollment window or have a gap in coverage due to life changes.
It’s important to note that these plans aren’t for everyone. They typically don’t cover pre-existing conditions and may not include all the benefits of ACA-compliant plans. However, for many Arizonans looking for temporary coverage, they can be an excellent option to bridge the gap and provide peace of mind.
How Does Short-Term Health Insurance Work in Arizona?
Short-term health insurance in Arizona has undergone some major changes lately. It’s still designed to provide temporary coverage when you’re between more comprehensive plans, but the rules have shifted a bit.
Here’s how it’s working now:
Coverage Duration: As of September 2024, short-term plans are now limited to just 3 months, with a possible 1-month extension. This is a big change from the longer terms we used to have. It’s meant to be a quick bridge, not a long-term solution.
Application Process: This hasn’t changed much. It’s still pretty quick and easy. You’ll answer some health questions, but no extensive medical exam exists. If you’re approved, coverage can start as soon as the next day.
What’s Covered: These plans typically cover unexpected medical events like:
– Doctor visits for illness or injury
– Emergency room care
– Hospital stays
– Some diagnostic tests
What’s Not Covered: This is where you need to pay attention. Short-term plans in Arizona still don’t cover:
– Pre-existing conditions
– Preventive care
– Maternity care
– Mental health services
– Most prescription drugs (though I’ve seen a few newer plans starting to offer limited drug coverage)
Network Providers: Many short-term plans in Arizona still use the extensive PHCS network. This means you’ll likely have a good selection of doctors and hospitals.
Costs: Generally, premiums are lower than ACA plans, but out-of-pocket costs can be higher. You’ll typically have a deductible to meet before the plan starts paying.
Renewability: This is a big one. With the new 3-month limit, renewability isn’t really a thing anymore. You might be able to apply for a new plan after your current one ends, but it’s not guaranteed.
The recent changes have shaken things up. These plans are now truly just for very short-term needs. They’re great if you’re waiting a couple of months for new employer coverage to kick in or if you missed open enrollment and need something to tide you over.
But remember, they’re not a replacement for comprehensive health insurance. They’re meant to protect you from major medical events, not provide ongoing care for chronic conditions.
Pros and cons of Short-Term Health Insurance
Pros:
Affordability: Short-term plans often have lower monthly premiums compared to ACA-compliant plans. I’ve had clients save up to 40% on their monthly costs.
Quick Coverage: You can usually get approved and start coverage as soon as the next day. This is great for people who need insurance quickly.
Flexibility: You can buy these plans anytime, not just during specific enrollment periods. This is handy if you’ve missed open enrollment or have a sudden gap in coverage.
Broader Provider Networks: Some short-term plans offer more flexibility in choosing doctors and hospitals than certain ACA plans.
Cons:
Limited Coverage: These plans typically don’t cover pre-existing conditions, preventive care, maternity care, mental health services, or prescription drugs, leaving you exposed if you need these services.
Higher Out-of-Pocket Costs: While premiums are lower, deductibles and out-of-pocket maximums can be much higher. I’ve seen deductibles up to $10,000 and out-of-pocket maximums up to $20,000.
Short Duration: As of September 2024, these plans are now limited to just 3 months, with a possible 1-month extension. This makes them truly just a short-term solution.
No Guaranteed Renewal: Unlike ACA plans, insurers can decide not to renew your coverage if you’ve had significant medical claims.
Not ACA-Compliant: These plans don’t meet the standards set by the Affordable Care Act, which means they offer fewer protections.
Potential for Coverage Denial: Unlike ACA plans, insurers can deny you coverage based on your health history.
Comparison of Short-Term Health Insurance and ACA Plans in Arizona
| Feature | Short-Term Health Insurance | ACA Plans |
|---|---|---|
| Availability Period | Available all year | November 1 - January 15 |
| Coverage Duration | Up to 3 months + 1 month extension (as of Sept 2024) | Annual renewal |
| Benefits Coverage | Limited, basic medical care | Comprehensive essential health benefits |
| Pre-existing Conditions | Not covered | Covered |
| Premium Costs | Typically lower than ACA plans | Subsidies lower costs for many |
| Enrollment Period | Anytime | Defined periods |
| Renewability | Non-guaranteed | Guaranteed |
| Government Subsidies | Not available | Available based on income |
| Provider Network | Varies, often large | Extensive |
| Legal Protections | Minimal | High |
| Essential Health Benefits | Not required to cover all | Must cover 10 essential benefits |
| Maternity Care | Typically not covered | Covered |
| Mental Health Services | Often not covered | Covered |
| Prescription Drug Coverage | Often limited or not covered | Covered |
| Annual/Lifetime Limits | May have limits | No annual or lifetime limits |
Cost of Short-Term Health Insurance in Arizona
First, the average monthly premium for a short-term health plan in Arizona was about $290 in 2024. But don’t take that number as gospel—I’ve seen premiums range anywhere from $70 to over $300 per month. It depends on your specific situation.
Now, let’s talk about what affects these costs:
Age is a big factor. Generally, the younger you are, the lower your premiums. I’ve seen folks in their early 20s get rates as low as $70-$100 per month, while those in their 50s or 60s might pay $200-$300 or more.
Location matters too. Rates can vary depending on whether you’re in Phoenix, Tucson, or a more rural area. Urban areas tend to have slightly higher rates due to the cost of healthcare in those regions.
Your health status plays a role as well. Unlike ACA plans, short-term plans can deny coverage or charge higher rates based on pre-existing conditions. If you’re in good health, you’ll likely see lower premiums.
Now, let’s talk about deductibles and out-of-pocket expenses. This is where you really need to pay attention:
Deductibles on short-term plans can be pretty high. They range from $1,000 to $10,000 or even more. The higher the deductible, the lower your monthly premium, but you’ll pay more out-of-pocket before your coverage kicks in.
Out-of-pocket maximums can also be steep. They often match the deductible, but I’ve seen plans with out-of-pocket maximums as high as $20,000. That’s a lot of potential exposure if you have a major health event.
Copays and coinsurance vary widely. Some plans require a $30 copay for doctor visits, while others require you to pay 20% or 30% of the visit cost after you’ve met your deductible.
Here’s a real-world example I saw recently: A 33-year-old woman in Peoria was looking at plans ranging from $74 per month with a $10,000 deductible to $172 per month with a $5,000 deductible. That gives you an idea of the trade-offs you might be looking at.
Remember, while these plans often have lower premiums than ACA plans, they also offer less coverage. You’re trading lower upfront costs for potentially higher out-of-pocket expenses if you need significant medical care.
If you’re considering a short-term plan, I’d be happy to discuss your specific situation with you. We can weigh these costs against your health needs and budget to determine if it’s the right choice for you. Remember, with the new 3-month limit on these plans as of September 2024, we need to be strategic about when and how to use them.
Short-term health insurance companies
Allstate Health Solutions (National General): They’ve really made a name for themselves in the short-term market. Their plans often include some prescription drug coverage, which is a nice perk. I’ve had clients get approved and start coverage within 24 hours, which can be a lifesaver in certain situations.
Companion Life is known for its flexibility. I’ve found its range of deductible options particularly useful for clients trying to balance monthly costs with potential out-of-pocket expenses. Some of its plans even offer limited preventive care coverage, which is pretty rare in the short-term market.
Everest Reinsurance: They’re relatively new players in Arizona and making waves. Their rates tend to be competitive, especially for younger, healthier folks. I’ve been impressed with their customer service so far.
UnitedHealthcare: One of the big names in health insurance, UnitedHealthcare offers a massive provider network. This can be crucial for clients who want to ensure they can keep seeing their preferred doctors, even with a short-term plan.
Independence American Insurance Company: These plans have some interesting features. Many include telemedicine services at no additional cost, which can be a real money-saver for minor health issues.
Pivot Health: They’re not insurers but rather a platform that offers plans from several companies. I often use their site to give clients a quick comparison of different options. It’s a great tool for seeing what’s available at a glance.
Remember, the best fit depends on your specific needs, health status, and budget. With the new federal regulations coming in September 2024 limiting these plans to 3 months, all these companies will be adjusting their offerings. If you’re considering a short-term plan, I’d be happy to sit down with you and go through the options in detail.
Frequently Asked Questions About Short-Term Health Insurance in Arizona
Is short-term health insurance available in Arizona?
How long can short-term plans last in Arizona?
What are the advantages of short-term health insurance?
- Lower monthly premiums compared to ACA plans
- Flexibility in choosing coverage duration
- Quick approval and coverage start (often as soon as the next day)
- No fixed open enrollment period (can apply anytime)
What are the disadvantages of short-term health insurance?
- Not ACA-compliant (doesn't cover all essential health benefits)
- May not cover pre-existing conditions
- Limited coverage for preventive care, maternity care, and mental health services
- Higher out-of-pocket costs
- No guaranteed renewal
How much do short-term plans typically cost in Arizona?
Who can buy short-term health insurance in Arizona?
How do I apply for a short-term health insurance plan?
Blake Nwosu
Owner & Principal Agent
Blake Insurance Group
Phone: (888) 387-3687
Email: info@blakeinsurancegroup.com
Hours: Mon-Fri 9:00 am to 5:00 pm
Sat-Sun: Closed