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The New Health Plan Options

President Trump signed an executive order in October 2017 that reverses an Obama Administration rule that limited the duration of short-term health insurance plans to 3 months.

In response to this executive order, HHS, the Department of Labor, and the Department of the Treasury finalized new rules for short-term plans in August 2018.  Short-term plans operating under the new rules could be available as soon as October 2018.

Under the new rules short-term insurance plans can:

  • Can be sold with initial terms of up to 364 days.
  • Renewable for up to 3 years. (If certain conditions are met.)
  • Can be purchased anytime. (No need to purchase within an "open enrollment period".)
  • Must include a disclosure that clarifies that short-term plans aren't ACA-compliant.

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