With the health insurance tax penalty going away in 2019 for those who do not enroll in Affordable Care Act-compliant health insurance plans, many healthy individuals will be attracted to short-term medical plans as a substitute. Short-term medical plans are designed to cover you in case of an accident or illness and many Californians have used these plans to fill a gap in coverage before they are able to re-enroll at the annual Open Enrollment Period. However, California Senate Bill 910, introduced by Senator Ed Hernandez (D – West Covina), would ban short-term medical plans entirely from the state.

SB 910 has already passed California’s Senate and is awaiting a vote from the State Assembly. With this legislation likely to pass, we will finally see some counters from the California legislature to combat federal deregulation of the health insurance marketplace. On the other hand, what options would be available for those that fail to enroll at Open Enrollment Period or…


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