There are many Health Care Plans available in New Jersey. The most common is Obamacare or the ACA (Affordable Care Act). This law requires all individuals to have health insurance. The purpose of this law was to prevent insurance carriers from only accepting healthy individuals into their plans. Since individuals with an existing health condition cost quite a bit more to insure, the idea was to mix thousands of healthy individuals with thousands of unhealthy individuals. In theory, that would balance out the high risk and low risk patients and keep health costs relatively low.
There are also Short Term Medical or “Gap” individual insurance plans. This serves a purpose for people who are in between jobs or only need to be covered for 6 to 11 months. Short Term Medical, known as STM, is usually much less expensive than Obamacare. The consumer also know less about these plans because they are not advertised as much as Obamacare. Yet, all the major health insurance carriers offer these types of plans because they know there is a massive market for these types of plans.