Quick answer
Short-term health insurance is temporary coverage meant to fill a gap, like the time between jobs. It usually costs less than an ACA plan because it covers less: it can turn you down or exclude pre-existing conditions, cap what it pays, and leave out benefits like maternity care, mental health care and prescriptions. It isn’t sold in 14 states and DC, and how long you can keep it depends on federal and state rules.
Key takeaways
- Short-term plans aren’t ACA coverage and don’t qualify for premium tax credits. Neither do health care sharing ministries, which aren’t insurance at all; see health care sharing ministries.
- They can exclude pre-existing conditions and commonly exclude maternity, mental health, preventive care and prescriptions.
- A 2024 federal rule limits them to four months, but federal agencies said in 2025 they won’t prioritize enforcing it.
- They aren’t available in California, Colorado, Connecticut, DC, Hawaii, Illinois, Maine, Massachusetts, Minnesota, New Jersey, New Mexico, New York, Rhode Island, Vermont or Washington.
- Losing a short-term plan doesn’t open a marketplace enrollment window.
On this page
How short-term plans differ from ACA plans
| Feature | ACA-compliant plan | Short-term plan |
|---|---|---|
| Pre-existing conditions | Covered; can’t deny or charge more | Can deny you or exclude them |
| Essential health benefits | All 10 required | Often excludes maternity, mental health, prescriptions and preventive care |
| Dollar limits | No lifetime or yearly limits on essential benefits | Often caps benefits |
| Out-of-pocket maximum | Capped by law ($10,600 in 2026) | Not capped by federal law |
| Premium tax credits | Available if you qualify | Not available |
| When you can buy | Open enrollment or a qualifying event | Usually any time, where sold |
Because they leave out so much, short-term plans can look cheap. For maternity care, therapy or prescriptions, an ACA plan is usually the safer choice. See how much coverage health insurance actually offers.
How long short-term plans can last
A 2024 federal rule limits new short-term plans to an initial term of less than three months and four months total, including renewals. In August 2025, federal agencies said they wouldn’t prioritize enforcing that limit while they reconsider it, so some insurers again sell longer plans where states allow. Many states set their own limits.
Who might consider a short-term plan
- You’re healthy and need coverage for a short gap, like a few weeks before a new job’s coverage starts. See is it cheaper to get health insurance through your employer.
- You missed open enrollment and don’t have a qualifying event.
- You earn too much for a tax credit and can’t afford an ACA plan at full price.
Better options to check first
- A marketplace plan. If you just lost coverage, you have 60 days to enroll, and a tax credit may make it cheaper than you think. See health insurance for the unemployed.
- Medicaid. You can apply any time, based on your current monthly income.
- COBRA. Keeps your old job-based plan, often at a high price.
- A parent’s plan if you’re under 26.
- Catastrophic plans if you’re under 30 or qualify for an exemption.
If you’re retiring before 65, see can I get health insurance if I retire early; at 65, see who is eligible for Medicare. For more low-cost options, see the cheapest ways to get health insurance.
If you buy a short-term plan
- Read the list of exclusions and benefit caps.
- Ask how the plan handles pre-existing conditions and whether it reviews your medical history after a claim.
- Check the network and whether your doctors are covered; care outside it can cost more, see what to do about out-of-network costs.
- Compare several insurers; see how many insurers to compare.
- Put a reminder on your calendar for open enrollment so you can move to ACA coverage.
Compare ACA plans before you settle for short-term coverage: see quotes by ZIP code.
Frequently asked questions
Is short-term health insurance worth it?
It can be for a healthy person with a short gap in coverage. It’s risky if you have health problems, are pregnant or need regular prescriptions.
Does short-term health insurance cover pre-existing conditions?
Usually not. Insurers can deny you or exclude conditions you had before the policy started.
Can I switch from a short-term plan to a marketplace plan?
Yes, during open enrollment. Losing a short-term plan doesn’t count as a qualifying event, so you can’t use it to enroll mid-year.
Sources
This article is general information, not insurance advice. Short-term plan rules vary by state. Last reviewed September 2026.