THIS PLAN PROVIDES LIMITED BENEFITS.

STM plans don’t count as compliant coverage under the Affordable Care Act, so enrolling in short-term insurance may mean you’ll pay a penalty when you file your federal income tax return. They also don’t offer minimum essential coverage, which means that benefits such as free preventative care and pre-existing condition coverages are excluded.

SHORT TERM MEDICAL (STM) AND HEALTH CARE REFORM
SHORT-TERM, LIMITED-DURATION PLANS ARE NOT SUBJECT TO CERTAIN PROVISIONS OF FEDERAL HEALTH CARE REFORM, INCLUDING THE PROVISIONS RELATED TO ESSENTIAL HEALTH BENEFITS, LIFETIME LIMITS, PREVENTIVE CARE, GUARANTEED RENEWABILITY, AND PRE-EXISTING CONDITIONS. THE PRE-EXISTING CONDITION EXCLUSION FOR SHORT TERM MEDICAL PLANS WILL APPLY FOR ALL INSUREDS, INCLUDING THOSE UNDER THE AGE OF 19. EXAMPLES OF THE CLAIMS STM PLANS DO NOT COVER ARE FOR MOST PREVENTIVE CARE, MATERNITY, MENTAL HEALTH AND TREATMENT RELATED TO MEDICAL CONDITIONS THEY HAD PRIOR TO THE PLAN’S EFFECTIVE DATE. BECAUSE THESE PLANS ARE NOT GUARANTEED RENEWABLE, THE APPLICANT MAY NOT BE ELIGIBLE FOR ANOTHER SHORT-TERM PLAN AFTER THE PLAN’S TERMINATION DATE; AND THE PRE-EXISTING CONDITION EXCLUSION WILL APPLY TO ANY CONDITIONS THAT AROSE DURING ANY PRIOR SHORT-TERM PLANS. KNOW YOUR PLAN.

SHORT TERM MEDICAL AND SUPPLEMENTAL ACCIDENT AND CRITICAL-ILLNESS PLANS OFFER AFFORDABLE COVERAGE, BUT MAY HAVE ELIGIBILITY QUESTIONS (SO YOU CAN BE DECLINED) AND DO NOT PROVIDE MINIMUM ESSENTIAL COVERAGE. THIS MEANS THE INSURED MAY HAVE TO PAY A TAX PENALTY, DEPENDING ON THEIR INCOME LEVEL AND THE COST OF PLANS AVAILABLE.