Health Insurance Blog

Question #78 What does “Lifetime Limits” mean?

Posted by:
Tim Jackson
September 12, 2015
What does life “time limits” mean?

What does life “time limits” mean?

This question is becoming less and less asked as it is not as relevant but still important to understand. I say less relevant due to a change in laws from the Affordable Care Act. Before this bill was passed lifetime limits was a “cap” on what the health insurance companies would pay out for medical expenses in a lifetime. For example let’s say you sign up for a health insurance plan that has a $5,000,000 lifetime limit. If you have a bill or bills that exceed that amount the insurance company will stop paying after the lifetime limit is met and terminate your policy That seems like a lot of money but believe me it has happened. Thanks to the affordable care act bill there are no more lifetime limits. You can have a bill for $100,000,000 and as long as your paying your premium the health insurance company has to pay that.

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