Health insurance is a part of life for most American citizens and coverage is very important because it helps people afford medical care. Medical care can be extremely expensive due to the US having the most advanced healthcare system in the world. When a person has health insurance, the policy covers medical bills that usually include a small copayment on the part of the policy holder. The policies also cover the big expenses behind most prescription medications and imaging work that doctors do on your behalf. Exclusion periods are important to understand when thinking about switching your health insurance coverage. Health insurance companies have to protect themselves financially, and this period helps them save money.

Exclusion periods are a stretch of time at the beginning of your health insurance policy that gives the company the option of whether or not they will pay your medical expenses for certain things. This makes having no lapse in coverage even more important for people with health insurance. The period starts when your new coverage begins and applies to preexisting conditions. The health insurance companies can deny benefits for any preexisting conditions that you have had previously diagnosed or treated. The companies can access your medical records and will know if you have had treatment for something or a diagnosis on file when you sign your policy.

This period does not apply to pregnancy, which is good news for expecting mothers. Pregnancy is generally an exception with insurance providers because the health of the child and mother are very important. Other than pregnancy, some preexisting conditions can be very costly to treat. Some people might seek insurance coverage to get a specific bill paid off. This period makes it so that the insurance company can deny people benefits for situations like this and helps prevent abuse of the system. Another aspect of the exclusion period is that it only really affects people that have had a significant lapse in coverage.

Having a lapse in coverage means that at some point you had no health insurance. The exclusion option is available for health insurance companies if you have had a lapse in your coverage that has lasted 63 or more days in the last two years. If you have had insurance coverage for the last two years then switching plans will not have any effect on your coverage. When you have a health condition, it is important to keep your health insurance active and see your doctor when advised to avoid issues like this one. This period is designed to help insurance companies out with larger bills. The length of the period is determined by the insurance company, so keep your health insurance policy active.