By Karren Appold, Managed Healthcare Executive
The secretary of HHS, earlier this year, proposed a regulation to increase the maximum coverage term under short-term limited duration (STLD) insurance plans. The hope is to create more options for consumers to purchase less expensive health plans that provide varying levels of coverage, says Denise Stefan, president, Engage Insurance, a subsidiary of Engage Professional Employer Organization, a national human resources outsourcing firm.
Rules issued during the Obama Administration limit these plans to no more than three months in duration. The proposed regulation would allow short-term coverage to be offered for up to one year (364 days), or possibly longer.