There is a common misconception that medical insurance covers all expenses when admitted to the hospital.
With the commonality of high deductible plans, a member can incur a large out of pocket cost from hospital admissions, a trip to the ER, outpatient surgery, and diagnostic tests. It’s important not to leave you or your employees exposed. Hospital Indemnity Insurance is designed to offset health insurance plans with high deductibles.
Hospital Insurance pays when members utilize the hospital. Unlike medical insurance that reimburses you or your provider, hospital indemnity insurance pays a lump-sum payment directly to you. You can decide to use it for however you see fit, whether it’s to cover household bills, medical insurance deductibles or crutches and equipment.
Keep in mind high deductible plans are becoming the most cost-effective way to offer health insurance and coupled with Hospital Indemnity Insurance, it is an attractive employee package. Hospital indemnity plans can be either the employer or can be employee paid.