How to Define Stopgap Insurance

Stopgap insurance offers short-term coverage for emergency health care, such as X-rays, ambulance fees and intensive care. It is used in specific or immediate circumstances. If you do not qualify for or have the financial strength to purchase a traditional insurance policy, a stopgap insurance policy can be an alternative. It's important to familiarize yourself with the terms and conditions of stopgap insurance, so you know exactly what your health care coverage will be.

Instructions

• 1

  Choose between a 30-, 60-, 90- or 180-day term. Rarely will a stopgap policy -- or any short-term insurance policy -- extend past the one-year mark.

• 2

  Compare policy benefits. Stopgap insurance can cover emergency or serious medical expenses. Frequently, the greater the variety of covered services, the higher the policy premium and/or deductible.

• 3

  Weigh policy restrictions and limitations against your needs. Preventive and wellness services such as annual health checks, regular doctor visits and screenings are excluded from stopgag insurance policies. Analyze if you can go without preventive or wellness coverage during your policy's term.

• 4

  Check pricing. Policy premiums can range between $25 and $100. Policy deductibles can begin at $250 and reach as high as $5,000. Compare policies based on the maximum pay-out, deductible, number of benefits and policy term.

• 5

  Purchase stopgap insurance from a local or online broker. An Internet search for brokers in your area will produce several options. Contact your state's department of insurance or the Better Business Bureau to research the broker's history and consumer rating.