Life is unpredictable and anything may happen at any time. So, everyone of us keep ourselves covered by buying health insurance, so that if any accident or disease take place, we will be assured of getting proper treatment without having to worry about the high medical and diagnosis costs. But, if suddenly you become unemployed and you cannot continue with your premium payments, your insurance policy may be terminated.

Insurance options for the unemployed:

Continuing to pay the premium towards health insurance becomes a headache, if you’re suddenly out of your job. You can opt for any of the 5 insurance options stated below:

COBRA insurance: It is a short form of federal law (the Consolidated Omnibus Budget Reconciliation Act). It allows you to keep your employer group coverage for a stipulated time, even after you become jobless. The government gives a subsidy and lets you continue with the same terms and conditions, as when you were employed. Generally, the subsidy expires after nine months and the insurance policy lapses after eighteen months.

Short term insurance: You can take advantage of short term insurance plan, if you’re unemployed. This plan gives you coverage from one month to thirty-six months and covers all hospitals and doctors. The plan is least expensive, but, you will not get any coverage for pre-existing medical conditions.

Public programs: This plan is for you if, you’re unemployed or your income has suddenly become so low that you cannot afford to buy other insurance plans. Whether or not you will qualify for this plan will depend on your age, medical condition, income, previous health insurance options, etc. Though this plan comes practically free of cost, but, the application process is tiresome and you cannot apply online. You will also have a limited number of doctors and cannot be recommended for the treatments which are not approved by the plan.

Family coverage/Private individual: This is a more stable and flexible type of plan. This plan has two subtypes. First is the major medical plan that covers the maximum of catastrophic medical expenses. The second type or supplemental gives cash to the insured persons to help with loss of income and out-of-pocket medical expenses. For both the types, the coverage can be kept for 65 years of age or till your Medicare eligibility.

You can select any one of the health insurance plans mentioned above according to your financial affordability, length of time you need the coverage and your health history.

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