Insurance health

10 Signs You Need To Renew Your Health Insurance

Health insurance is a contract that helps protect you from unanticipated costs. But like all contracts, it can expire or be terminated based on specific conditions. At the end of any policy term, you may have the opportunity to renew your health insurance plan for another period of time or with new terms. Understanding when and why your coverage might end is important so that you can take action to continue your coverage if necessary. If you’re unsure about the renewal status of your health insurance policy, then there are some clear signs that suggest renewal may be necessary soon. Renewing your health insurance isn’t always necessary; sometimes, switching to a different plan or insurer will be cheaper and more beneficial in the long run. However, in other cases — such as when you’ve changed jobs or experienced a marriage or divorce — staying with your current provider may not be ideal. In this article, we explore 10 common scenarios where you should consider renewing your health insurance policy sooner than later.

You’ve Changed Jobs

Your health insurance plan is tied to the specific job that you work for. If you leave that job, the health insurance plan that goes along with it will naturally expire. This could happen within 30 days of leaving your job. In some cases, you have the option of continuing your health insurance coverage under COBRA, which allows you to keep the same plan, terms, and costs while you look for work. If you leave a job and want to keep the same coverage, you can stay on your current plan by renewing your health insurance. If you want to change to a new policy, you can do so as long as you are not currently enrolled in COBRA coverage. If you want to keep the same plan details, you can simply renew your coverage.

Your Employment Status Has Changed

If your employment status has changed, your health insurance plan may also have to change. If you have left a job, lost your job, or taken a significant reduction in hours, then you may have to change health insurance plans. For example, if you are a full-time employee and your hours are reduced to part-time or you get laid off, your employer health insurance plan will generally end. At that time, you can choose to remain on your spouse’s health insurance plan if you are married or have children. You can also take out COBRA coverage to keep your previous health insurance plan in place while you look for work. Similarly, if you have gone from being self-employed to working for an employer, you’ll need to change health insurance policies. Your self-employed coverage will have to end, and your employer’s plan will take its place.

Your Health Has Changed

If you have serious health changes like getting a new diagnosis or undergoing a major surgery, your health insurance company could decide to terminate your coverage. In this case, you are likely able to apply for a special enrollment period and get new coverage (pending the approval of your new plan). Your health insurance company may also decide to end your coverage if you fail to report a change in your health status. If you’ve had any significant health changes — even some that may be unrelated to your diagnosis — make sure to report them. Failing to report a change could cause your plan to be terminated, and you could be hit with a premium surcharge or denial of coverage. For example, if you have diabetes, you need to report changes in your blood sugar levels and diet. If you have a mental health condition, you need to report changes in medication or therapy.

You Moved Or Will Be Moving Soon

Health insurance companies generally require that you be “fully vested” in a health plan — that is, you’ve had the coverage for at least two calendar months. If you’ve just moved to a new state, then you likely won’t be fully vested in your current health insurance plan. If you have just moved to a new state, your current health insurance plan will have a waiting period before it will allow you to be fully covered by the plan. For example, if you have a health insurance plan with a 90-day waiting period, you’ll have to wait 90 days before your coverage will be fully in effect. If you know you’re going to be switching states soon, you can look for a health insurance plan in your new state. If you don’t have time to fully research and review health insurance plans, you can also use a service like Health Sherpa to help you pick a plan.

There Was Or Will Be A Big Life Event

If you’ve gotten married, divorced, or had a child, your health insurance company may decide to end your coverage. In these cases, you can apply for a special enrollment period and get new coverage. You can also renew your current coverage to keep the same plan in place. If you got married, your health insurance company may decide to end your coverage, but you can apply for a special enrollment period and get new coverage. If you got divorced, you can also apply for a special enrollment period and get new coverage. If you have had a child, you may be able to add the child to your health insurance plan. Some health insurance companies have specific rules about adding dependents, so check with your insurer.

You Want Or Need New Coverage Options And Features

If you want to change your health insurance plan and coverage options, you can do so by renewing with your current insurer or finding a new plan. If you have your health insurance policy under COBRA, you can’t change plans until the COBRA coverage expires. Once COBRA coverage ends, you can contact different insurance companies and review their plans to find one that best suits your needs. You can also use websites like Health Sherpa to help you compare plans and find the one that best fits your situation.

The Plan Or Insurance Company Is Changing Its Terms And Conditions

If your health insurance carrier starts offering new plans or changes its terms and conditions, you may have to renew your health insurance policy. If you get a letter from your insurance company notifying you of new terms and conditions, then you will likely have to renew your health insurance plan in order to remain in the company’s network. If your health insurance company is offering a new plan, you can renew your current plan or switch to the new plan. If the new plan terms and conditions are better than the old plan, then you should definitely switch to the new plan.

You Experienced Or Will Experience A Claim Denial Or Overlimit Fee

If you have had a claim denied or have an overlimit fee, then your health insurance company may decide to end your coverage. In this case, you can apply for a special enrollment period and get new coverage. If you have a denied claim or an overlimit fee, you should definitely apply for a new health insurance plan.

Conclusion

Significant life changes and changes in health status are the two biggest reasons that health insurance needs to be renewed early. If you have had a recent major life change, like getting married or divorced, having a child, or losing your job, then it is important to renew your health insurance as soon as possible. Health insurance renewals can be as simple as picking up the phone and calling your health insurance company. You can also shop for new health insurance plans online if you want to compare different plans and find one that meets your needs.

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