Hospital Indemnity
Hospital Indemnity is a supplemental health insurance policy designed to provide cash benefits directly to you during a hospital stay. Unlike traditional health insurance, which typically covers a percentage of hospital costs or specific medical services, hospital indemnity insurance offers a fixed cash payment for inpatient and outpatient services, regardless of the actual medical expenses incurred.
Purpose of Hospital Indemnity Insurance
- Provide financial support and cover medical costs incurred during a hospital stay and non-medical expenses that accumulate when you need hospital care.
- Cash benefits paid directly to you or your family and can be used to offset deductibles, co-pays, out-of-pocket medical expenses, and any non-medical expenses.
What Does Hospital Indemnity Insurance Cover?
- Hospital Admission & Daily Confinement
- Outpatient Surgery
- Inpatient Mental & Nervous Disorder
- Inpatient Drug & Alcohol Addiction
How it Works
- A supplement to traditional medical insurance, hospital indemnity insurance pays a cash benefit that can be used to help cover deductibles, lost income due to missed work, and other expenses that can come up because of hospitalization.
- Please see the benefit summary for benefit amounts.
Benefits of Hospital Indemnity Insurance
- Additional Financial Support: Provides extra funds to cover unexpected expenses, especially if you have high deductibles, copayments, or coinsurance.
- No Restrictions on Benefit Use: Flexibility to use the cash benefits in any way, making it especially helpful for non-medical expenses.
Who Needs Hospital Indemnity Insurance
- If you have a high-deductible health plan and may face significant out-of-pocket costs for hospital stays.
- Inadequate emergency savings to cover deductibles, co-pays, and other related expenses due to an unforeseen hospital visit.
- You want the flexibility to use cash benefits for both medical and non-medical expenses.
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