Short term health insurance is the cheapest health insurance available. But, not everybody is eligible for it. It's designed for those who are young, healthy and in between regular health insurance plans.

You might be able to get short term health insurance if you are:

- Temporarily unemployed.

- Just starting a new job, but the company's group plan doesn't kick in for a month of two. - In school, or just graduating from school.

- Retiring early.

- Moving away from home for the first time and getting off your parents' insurance plan.

Short term health insurance is intended for healthy people who are in transition. Because of the competition between companies offering short-term policies, premiums are low. Companies know they don't have to insure you over a long period of time, so they have less risk.

Short term plans can last anywhere from 1 to 6 months. You'd be hard pressed to find a plan for shorter than a month. There are plans that go for longer than 6 months, but none over a year. Some plans allow you to renew, but most do not. If you think you'll need insurance for longer than 6 months, you are probably safest getting a regular health insurance policy.

Short term plans are designed to cover you in the event of a sudden unforeseen illness or accident during the time in-between. It's also good for those who need continuing medical attention. Like regular health insurance policies, they have limits and restrictions.

Like a long term plan, you will pay premiums and have deductibles. Like a long term plan, you should find out everything you can about the payment situation when you go in for your quote. If you take a higher premium, you'll pay less in deductibles when you have to see a doctor. But, most people who take a temporary health insurance policy, choose to go with smaller premiums, which means that you will pay more in the event that you have to see a doctor.

Most short term plans are very flexible about letting you choose your own health care providers. They usually cover inpatient, outpatient, lab tests and X-rays.

Getting a short term plan is relatively simple. It starts as soon as the company gets your application, and you can apply for most short term plans online.

As you might expect, there are lots of things small term insurance plans do not cover. Premiums are low (often less than a monthly car payment!), so dental care, checkups, treatment of pre-existing conditions, optical and pregnancy-related expenses will probably not be covered.

While some policies are renewable, usually just once, not every policy is. Long term insurance providers are required to renew your policy if you want to, but short term providers are not required to.

Short term insurance policies are designed to fill in for times when you don't have regular insurance. If you have a few months when you will be uninsured, you might want to look into taking out a short term policy.