Availability of short-term health insurance in New York

No. The sale of non-renewable (limited term) health insurance is prohibited by New York’s government, so short-term health insurance cannot be sold. In addition, all individual plans sold in New York must “provide comprehensive coverage and coverage for the ACA’s essential health benefits.”¹

All individual and group health insurance plans in New York must be guaranteed renewable (with limited exceptions, such as nonpayment of premiums, fraud, or an insurer’s discontinuation of all policies in a given market). As such, plans with limited terms are not permitted.¹

In addition, New York requires that “every accident and health insurance policy or contract that provides hospital, surgical or medical expense coverage must be comprehensive and, with respect to individual and small group coverage, must provide coverage for essential health benefits.”² Short-term healthcare plans in most states typically don’t provide coverage for some of the essential health benefits (maternity, mental health/substance abuse, and prescription drug coverage are often not included), and such plans could not be sold in New York.

As a result of the state’s regulations, short-term health insurance plans in New York can not be sold. After the Trump administration rules for short-term plans took effect in 2018, New York clarified that it would continue to prohibit the sale of short-term health insurance in New York.

Need health insurance and not eligible to enroll in an employer’s plan? We advise you to check to see if you can enroll in an ACA-compliant major medical plan (Obamacare), either through the New York health insurance exchange/marketplace or directly through a health insurance company.

Open enrollment for these plans lasts longer in New York than in most states, as New York has consistently opted to extend open enrollment through the end of January.³

If you’re trying to enroll outside of the open enrollment period, you’ll need a qualifying life event to trigger a special enrollment period. A wide range of events will grant you a special enrollment period, including pregnancy (this is a New York rule; pregnancy is not a qualifying event in most states).

ACA-compliant major medical policies are purchased on a month-to-month basis, so you can enroll in a plan even if you only need coverage for a few months before another policy takes effect. So for example, if you’ll soon be covered by an employer’s plan or Medicare, you can still sign up for an ACA-compliant plan during open enrollment or a special enrollment period, and then cancel it when your Medicare or employer-sponsored policy starts to provide coverage.

Depending on your income, you may qualify for a premium subsidy if you enroll in a plan through New York’s marketplace. And New York also has The Essential Plan (a Basic Health Program), which offers zero-premium health coverage to people with income up to 250% of the poverty level.

Depending on your income you may qualify for Medicaid in New York. The state has expanded Medicaid under the ACA, which means coverage for adults under age 65 is available if their household income is up to 138% of the federal poverty level.⁴

In New York, CHIP eligibility for kids extends up to households earning 400% of the poverty level (by far the highest in the United States), which is nearly $125,000 for a family of four in 2024. So most families with modest and middle-class incomes are eligible for CHIP coverage for their children in New York, with low out-of-pocket costs.

And as noted above, New York’s Basic Health Program coverage provides zero-premium coverage to adults with income too high for Medicaid but not more than 250% of the federal poverty level.

Consumers in New York can buy ACA-compliant health insurance through the state’s Marketplace, New York State of Health (note that New York runs its own Marketplace, so residents do not use the federally-run HealthCare.gov platform).

ACA-compliant plans are purchased on a month-to-month basis, so you can enroll in coverage even for only a few months until another policy takes effect — and if you’re eligible, you may qualify for financial assistance in the form of a premium subsidy.

New York residents may also be eligible for Medicaid coverage.