Short-term health plans in Kansas
- State statute defines and limits short-term health insurance in Kansas.
- Kansas law limits the initial length of a short-term plan to 12 months with only one renewal.
- So the maximum duration of a short-term plan in Kansas is 24 months.
- At least five insurers offer short-term health insurance in Kansas.
As the name indicates, short-term health insurance is designed to fill short gaps in coverage. It’s not as comprehensive as regular major medical health insurance, and it’s not suitable to serve as a person’s only coverage for a significant length of time.
Kansas short-term health insurance regulations
Kansas has a minimum loss ratio requirement of 60 percent. But under the terms of Kansas Statute 40-2, 193, this only applies to Kansas short-term coverage if any monthly administrative fees are excluded from the medical loss ratio calculation.
Short-term plan duration in Kansas
The state law limits short-term health insurance in Kansas to terms of “six months or 12 months, based upon policy design.” (The Kansas Insurance Department has clarified that the distinction between six-month and 12-month plans is up to the insurer; from a regulatory standpoint, the maximum term is 12 months).
Kansas statute also limits short-term coverage to no more than one renewal period, regardless of whether the insurer uses medical underwriting for the renewal.
Under federal rules that took effect in 2018, short-term health insurance plans can have initial terms up to 364 days, and total duration, including renewals, of up to 36 months. The regulations are clear, however, in noting that states may continue to impose tighter regulations than the new federal rules. Since Kansas statute only allows for a maximum short-term plan duration of 12 months and no more than one renewal, the maximum total duration of a short-term plan in Kansas is 24 months.
And insurers can impose shorter duration limits. They can, for example, limit their initial policy terms, and can offer plans that are not renewable at all (the state limits Kansas short-term plans to one renewal, but does not require an insurer to make short-term plans renewable).
Which insurance companies offer short-term plans in Kansas?
As of early 2020, the Kansas Insurance Department reported that five insurers were offering short-term plans in Kansas: BCBSKC, Independence American Insurance Company, Freedom Life, Golden Rule, and United States Fire Insurance Company.
As of mid-2020, however, there were also Kansas short-term health insurance plans for sale from National General. Providers of short-term health insurance in Kansas as of 2020 include:
- Blue Cross Blue Shield of Kansas City
- Independence American Insurance Company
- National General
- United Healthcare (Golden Rule)
- Freedom Life
- United States Fire Insurance Company
An agent or broker can help you compare the available options for short-term health insurance in Kansas and determine which will best fit your needs. Some things to keep in mind are the allowable plan durations (some insurers cap their plans at shorter durations than the maximum the state allows), whether the insurer offers guaranteed renewability, and the specific benefits the plan covers.
Pay attention to things such as whether the plan covers outpatient drugs (most short-term health insurance plans do not, but some do), and whether it imposes specific dollar limits on services such as inpatient care, surgery, etc. (in addition to the plan’s overall benefit maximum).
Who can get short-term health insurance in Kansas
Short-term health insurance in Kansas can be purchased by residents who can meet the underwriting guidelines of insurers. In general, this means being under 65 years old (some insurers put the age limit at 64 years) and in fairly good health.
Short-term health medical insurance plans typically include blanket exclusions for pre-existing conditions, so these types of plans are not adequate for someone in the Sunflower State who needs medical care for ongoing or pre-existing conditions. It is advisable to seek a medical insurance policy that will cover those needs.
If you’re in need of health insurance coverage in Kansas, first check your eligibility for a special enrollment period which would allow you to enroll in an ACA-compliant major medical plan. There are a variety of qualifying life events that will trigger a special enrollment period and allow you to buy a plan through the health insurance exchange in Kansas. These plans are purchased on a month-to-month basis, so you can enroll even if you only need coverage for a few months before another policy takes effect (with a premium subsidy if you’re eligible).
When should I consider short-term health insurance in Kansas?
From Colby to Wichita, there may be situations when a short-term plan might be your only realistic option, such as:
- If you missed open enrollment for ACA-compliant individual market coverage (ie, Obamacare) or your employer’s healthcare plan, and do not have a qualifying event that would trigger a special enrollment period.
- If you’re not eligible for Medicaid or a premium subsidy in the exchange, the monthly premiums for an ACA-compliant plan might simply be too costly.
People ineligible for premium subsidies include:
- Those who earn over 400% of the poverty level. (For 2021 coverage, that amounts to $51,040 for a single person. If your ACA-specific modified adjusted gross income is just a little above the subsidy-eligible threshold, there are steps you can take to reduce it).
- People caught by the ACA’s family glitch.
Louise Norris is an individual health insurance broker who has been writing about health insurance and health reform since 2006. She has written dozens of opinions and educational pieces about the Affordable Care Act for healthinsurance.org. Her state health exchange updates are regularly cited by media who cover health reform and by other health insurance experts.