Arizona Life and Health Practice Exam

A loss of minimum essential coverage usually triggers what?

1. A waiting period

2. A special enrollment period

3. An eligibility review

4. A grace period

The correct answer is: A special enrollment period

Losing minimum essential coverage typically triggers a special enrollment period because it qualifies as a life event that allows individuals to enroll in a new health insurance plan outside of the usual open enrollment period. This is crucial for ensuring that individuals have access to health insurance without a gap in coverage. During the special enrollment period, individuals can select a new plan that meets their needs, often giving them a limited time frame to do so. Minimum essential coverage refers to any health insurance plan that meets the Affordable Care Act (ACA) standards, and losing such coverage can leave individuals vulnerable to high medical costs. The special enrollment period provides an important safety net by allowing for timely enrollment in new coverage that would otherwise be unavailable until the next open enrollment period.