When you need health coverage, you'll usually hear about two kinds of plans: ACA plans (also called Marketplace or Obamacare plans) and short-term health insurance. They're built for different situations.
ACA plans: comprehensive coverage
- Must cover essential health benefits, such as hospital care, prescriptions, maternity care, mental health care and preventive care
- Can't deny you or charge you more because of a pre-existing condition
- You may qualify for federal savings based on your income
- You can enroll during Open Enrollment, or during a Special Enrollment Period after a qualifying life event
Short-term plans: temporary coverage
- Designed to fill a gap, such as between jobs
- Not comprehensive coverage and not ACA-compliant
- May not cover, or may limit coverage for, pre-existing conditions and essential health benefits
- Don't qualify for federal financial help
- How long a plan can last, and whether it's sold where you live, depends on federal and state rules
Which one fits?
If you have ongoing health needs, take regular prescriptions or may need care for a pre-existing condition, an ACA plan is usually the safer choice. A short-term plan may make sense for a short gap when you can't get Marketplace coverage right away and understand what it doesn't cover.
Before you choose, read our short-term plan notice and talk it through with a licensed agent. We'll compare both side by side.