Last year the federal government rolled back rules that restricted short-term health insurance plans. These plans do not have to comply with protections under the Affordable Care Act, including pre-existing conditions.
A state insurance committee this week advanced a bill that would limit these plans to under a year.
Mark Fairchild, policy director with Covering Kids and Families of Indiana, says it would also help consumer understanding.
“So, they are really just in place where they’d be filling a gap and they would have a specific consumer disclosure about what is and isn’t covered by the plans,” Fairchild says.
The plans usually cover hospital and emergency costs related to a serious accident, but may include additional restrictions.