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A non-government resource, powered by health insurance experts.
A non-government resource,
powered by health insurance experts.
Press Releases
September 30, 2019

HealthCare.com Releases Customer Survey Showing 58% of Short Term Health Insurance Buyers Were Uninsured


Findings show very few plans replace Obamacare plans, although there is growing concern about affordability

New York, September 30, 2019 – HealthCare.com, a leader in technology-enabled health insurance solutions, has released customer survey data gathered in September debunking the myth that short term health plans are damaging the market for Obamacare plans. More than 200 survey responses were collected from current members who purchased a plan through HealthCare.com’s  short term health insurance division, Pivot Health.

Pivot Health found 58% of its customers were uninsured when they purchased a temporary health insurance policy, and of those uninsured, many were first time health insurance buyers (43%). Only 6% had left their ACA plan because they could no longer afford the premium. Additionally, 17% credited their purchase to a life event occurring like aging off a parent’s plan or losing access to Medicaid.

When customers were asked why they did not enroll in an ACA plan instead of short term health insurance, most said they only needed a temporary option (38%) or didn’t want to be “tied down” (24%). Affordability was the driving response. Thirty-one percent of survey participants said they didn’t qualify for a subsidy and ACA premiums were too expensive for their budget.

Of those who lost their employer health insurance, 80% stated they couldn’t afford COBRA coverage which forced them to seek an alternative solution.

When asked what is the greatest concern facing the health insurance market today, survey participants said out-of-pocket costs were the No. 1 issue they are concerned about when it came to healthcare.

Losing access to an in-network doctor was the least of their concerns when it came to fears about healthcare sustainability.

“Short term health insurance is extremely important to the market because it fills a temporary need and provides consumers added financial protection should an unexpected accident or illness strike while they are waiting for permanent major medical coverage. Our customers also expressed that ACA coverage was either too expensive or they wanted coverage right away and didn’t want to commit to permanent coverage while they were figuring out next steps,” said Jeff Smedsrud, Chief Executive Officer of Pivot Health. “We hope our findings, which are echoed by other recent studies, help demonstrate to elected officials the true nature and need for this important product niche.”

A copy of the survey results is available for download.

About HealthCare.com

HealthCare.com is an online health insurance company providing a data-driven shopping platform that helps American consumers enroll in individual health insurance and Medicare plans. HealthCare.com also develops and markets a portfolio of proprietary, direct-to-consumer health insurance and supplemental insurance products under the name Pivot Health. Founded in 2014, the company is headquartered in New York City and is backed by PeopleFund and individual investors including current and former executives of Booking.com and Priceline. HealthCare.com is a 4-time honoree of the Inc. 5000 list of America’s fastest-growing companies and has been recognized by Deloitte as one of the fastest growing technology companies in North America. For more info, visit www.pivothealth.com.

Media Contact: Colleen McGuire | colleen@colleenmcguire.com