IRS, HHS, EBSA: Short-Term, Limited-Duration Insurance

Notice of final rule from the Internal Revenue Service, U.S. Department of Health and Human Services, and Employee Benefits Security Administration to amend the definition of short-term, limited-duration insurance. Under the new definition, contracts issued must have an expiration date that is less than 12 months after the original effective date of the contract and, taking into account renewals or extensions, has a duration of no longer than 36 months in total. Short-term limited-duration insurance is not required to comply with federal requirements for individual health insurance coverage and is designed to fill temporary gaps in coverage that occur when individuals are transitioning from one insurance plan to another. This rule is effective on October 2, 2018.
Source: Federal Register updates via the Rural Assistance Center - Category: Rural Health Source Type: news