The 5 Best Short-Term Health Insurance Providers of 2020

Everest has been underwriting insurance since 1973. The company has a Moody’s insurance financial strength rating of A1 with various policy types on the market, including property, casualty, specialty, and accident and health insurance. They offer policies in 25 states across the country.

Regarding Everest's short-term health insurance plans, the prices ranged from $106 per month up to $191 per month when we quoted a 27-year-old female, non-smoker in good health. These quotes included a wellness benefit to take care of preventative medicine.

Other features of Everest STM include:

• Deductibles of $1,000, $2,500, $5,000, $7,500, or $10,000
• Out-of-pocket maximums of $2,000, $3,000, or up to $4,000
• Maximum coverage benefits from $250,000 to $1,500,000
• Coinsurance options are 50/50, 70/30, 80/20, or 100/0 with copays of $30, $40, or $50

When you get approved, emergency coverage begins the next day, and there's a five-day waiting period for the routine wellness benefit. There is a 30-day waiting period for cancer benefits (cancer must be newly diagnosed 30 days after plan start date), and a six-month waiting period for certain other covered services, such as tonsillectomy, herniorrhaphy, and more. Although Everest does not offer coverage for prescriptions, it does provide discount cards.

Why We Chose It: We chose Everest as best overall for its low deductibles, reasonable prices, and having the most dynamic doctor visit coverage that includes wellness visits, emergency care, and mental disorder care.

The IHC Group is an organization of insurance carriers operating in 23 states and including member insurers such as Standard Security Life, Madison National, and Independence American Insurance Company. Your policy will be serviced by one of these companies depending upon where you live, and some states require membership in Communicating for America, a national non-profit organization whose mission is to promote health and wellbeing through member benefits. AM Best gives a Financial Strength Rating (FSR) of A- to the IHC Group and Standard Security Life. The IHC group offers plans in 19 to 35 states, depending on the plan.

We ran quotes for a 27-year-old healthy female, with no medical conditions, and received quotes ranging from $48 to $105 per month on a six-month plan, and $84 to $191 on a 364-day plan. We also quoted a 35-year-old ($68 to $153 per month), a 45-year-old ($99 to $119 a month), and a 55-year-old ($168 to $202 per month) on the six-month plans. Coverage can begin within 24 hours of applying. 

Exploring a range of policies from IHC Group carriers, deductible options generally included $2,500, $5,000, and $10,000. The coinsurance options we found were 50%, 70%, and 80% with out-of-pocket maximums between $4,000 and $10,000. Plans vary by state, though, and we did find outliers; for example, we saw plans with $1,000 deductibles and coinsurance maximum limits from $10,000 to $20,000.

Additional coverage for supplemental dental or hospital insurance can be added to plans, and IHC members also offer prescription discount plans and telemedicine consultation options.

Common exclusions include pre-existing conditions, including anything treated or consulted upon within five years before coverage became effective. Exclusions are different by state and issuing provider. For example, the Independence American Insurance Company policy we reviewed did not pay benefits for chiropractic care, mental health treatment, or periodic health exams, but did include an option to cover $25,000 for pre-existing conditions such as known illnesses or injuries in the Connect Plus Plan.

Why We Chose It: The IHC Group offers low- to high-deductible options and the ability to add pre-existing condition coverage, making it the most customizable plan provider that we reviewed. You'll also find other supplemental health options like telemedicine and prescription discount plans that improve the standard offerings and allow consumers to pick what is most important to them.

UnitedHealthcare underwrites its policies through Golden Rule Insurance Company, a part of UnitedHealthcare since 2003. The company has been selling short-term health insurance for over 30 years, and policies are available in 19 states. UnitedHealthcare has a Moody’s insurer financial strength rating of A1.

Policy pricing starts at $24 a month for a 27-year-old non-smoking female and ranges up to $178 per month; at 35 years old it was $112 to $236 per month, and at 45 years old it was $142 to $378 a month. In some states, you must join the Federation of American Consumers and Travelers (FACT) and there will be an additional charge of $4 per month as a result. FACT is a consumer organization that provides savings to members on 20 different benefits and coverages. The length of policies varies from one month to 12 months with options to renew up to 36 months on the TriTerm Medical plan.

There are STM plans that cover 100% of medical costs after you meet the deductible, or options with 20%, 30%, or 40% copays until you reach the annual maximums. You can also customize if your plan needs to include prescription medication.

Maximum benefits range from $250,000 to $2,000,000 and are subject to exclusions, such as maternity care, accident-related events, emergency services, preventative care, hospitalization, pre-existing conditions, and prescription drugs. Coverage begins after you meet the deductible with options of $1,000, $2,500, $5,000, $10,000, or $12,500.

Waiting periods vary depending on the coverage in the plan. Coverage for illness begins on the sixth day after the plan begins, and there is a six-month waiting period for preventive care benefits. Services related to eligible pre-existing conditions are only covered after 12 months.

Why We Chose It: UnitedHealthcare was our top choice for the longest policy options because it is the only provider with up-to-36-month coverage where allowable by state law.

LifeShield National Insurance Co. has been in business since 1982 and offers group and individual health insurance nationwide. LifeShield has an AM Best Financial Strength Rating of B++ (Good).

LifeShield has two plans, with deductible options of $1,000, $2,500, and $5,000. The coverage period maximums range from $750,000 to $1,000,000. There are 80/20 or 100/0 coinsurance options with out-of-pocket maximums from $2,000 to $4,000. LifeShield policies include exclusions and limitations on emergency rooms, hospital stays, and surgery benefits, among many other things.

Plan coverage provides for mental health professional visits that include counseling, psychiatric treatment, and mental illness diagnostics. There is also coverage for the treatment of alcohol and drug abuse except in the states of Georgia and South Dakota.

You can obtain a LifeShield STM policy fairly quickly thanks to the company's next day policy issuance. There is a five-day waiting period for sickness and a 30-day waiting period for cancer.

Why We Chose It: LifeShield provides the most robust options for mental health coverage with some substance abuse coverage along with plans that cover preventative care.

Pivot Health has been around since 2016, managing over $7 billion in insurance premiums, and is affiliated with Communicating for America, a consumer advocacy group in favor of affordable healthcare for Americans. Pivot Health underwrites its short-term health plans through Companion Life Insurance Company, which has an AM Best financial stability rating of A+ (Superior). Pivot Health is available in 27 states.

Pivot Health has easy-to-use online tools that help you prioritize your insurance needs before it gives you quotes, and it offers you a selection of available features, as well, such as 70% off prescription drugs. You will also receive discounts up to 30% off of eye exams, frames, lenses, and contacts, making this company our stand-out for excellent STM value.

We got 51 plan options ranging from $62 to $269 per month for a 27-year-old. Almost half of the options were under $100. For a 35-year-old, the pricing was the same at $62 to $269 per month, and for a 45-year-old it was $89.69 to $411 per month. At age 55 it was $121 to $618 per month.

You can choose deductibles between $1,000 and $10,000, the maximum out-of-pocket cost is between $3,000 and $10,000, and the maximum annual limits range from $100,000 to $1,000,000. All plans have co-pays of 20% or 30%.

Examples of some of their common exclusions include pre-existing conditions, immunizations, routine physical exams, and injuries resulting from extreme sports. The waiting periods are five days for illness, 30 days for cancer, and six months for certain specified items like a tonsillectomy.

Why We Chose It: Pivot provides a vast selection of affordable basic coverages and valuable options so that you can get the right policy for the right price, with the ability to add numerous discounts for things like prescription drugs and vision care.