Since short-term health insurance plans are intended to cover policyholders for only 1 to 12 months, a lot of people wonder why they should even bother.  Of course, no one would consider leaving their car uninsured for that long, but that’s a whole other topic.  What we want to point out for now is the gaping hole for exposure 1-12 months that really is, and how dramatically life can change in that time-frame. Consider this real-life case study:
 
Renee left college and was subsequently dropped from her parents’ insurance plan.  She had health insurance off and on, but being new in the workforce, she had trouble finding employers that would offer her health benefits.  She got annual gynecological checkups through a local health clinic by paying on a sliding scale.  Otherwise, she was young and healthy and relatively unconcerned.
 
When Renee married her boyfriend, Ian, she became eligible for his employer-sponsored health insurance plan. By this time she had realized that she was avoiding seeking regular medical care because she was uninsured, so becoming eligible for group coverage through Ian's employer was a relief.   The employer had a 30-day waiting period before Renee's coverage could start.  But having gone without off and on over the past few years, 30 days seem like nothing.  Short term health care coverage didn’t even enter her mind.
 
Two weeks later, Renee began getting some severe abdominal pains.  Now 27, she was still strong and healthy and at first she thought she could ride the pain out until her health insurance kicked in.  But she couldn’t.  She ended up in the local emergency room.   After numerous tests the diagnosis was clear: she had appendicitis.  The total cost for the ER visit, the tests and medication was $17,000.  Being married, she didn't qualify for the state emergency plan.  And since her coverage through Ian's employer hadn't kicked in yet, she was left with the hefty $17,000 bill.
 
Though Renee's story is exceptional, when you opt to go without health insurance coverage during one of life's transitional periods, you're running some serious financial and health risks.  Life doesn’t wait until you’re ready for it. Short-term health insurance plans are specially designed to cover people during times like this.  Appendicitis, a biking or skiing accident, pneumonia, slipping on the stairs; any one of these unexpected events could send you to the ER and from there to the poorhouse.