Hospital Indemnity
What is it?
Hospital Indemnity, also know as hospital insurance is a supplemental insurance policy that can be purchased in addition to your current health plan that pays you benefits in the event you are hospitalized. This can include treatment in an emergency room, ambulance rider, or critical accidents.
What You Need to Know
Is a hospital indemnity plan right for you?
How does it work?
Should you find yourself admitted to the hospital, this plan will pay you a set amount (usually between $100 and $1000) per day for a predetermined number of days. After you are discharged from the hospital there is a waiting period after which your benefits will be restored for another hospitalization. Your plan benefit will be paid directly to you, not your insurance or the hospital.
Who can buy it?
Although you can purchase hospital indemnity family plans for all ages, the plans we offer are designed for seniors aged 64.5 and older on Medicare. Some plans offer a guaranteed issue period between the ages of 64.5 and 65.5 where you are guaranteed coverage without any underwriting. If you wait to purchase these plans after the guaranteed issue period, you will face underwriting requirements.
Why do I need it?
Medical bills are reported to be the number one reason for bankruptcy in the United States – even though most health plans have a max out of pocket benefit. Additionally, most seniors live on a fixed income where unexpected medical bills can spell financial disaster. A hospital indemnity plan can be an affordable way to help you avoid costly deductibles and co-pays in the event of a hospitalization.
What are my Coverage Options?
Similar to other insurance plans, you can add other coverage options to your plan beyond just hospital confinement
- Hospital Confinement
- Cancer
- Ambulance Trips
- Outpatient Surgery
- Skilled Nursing Facility Stay
- Dental & Vision
- Critical Accidents
FAQs
Your benefits are paid directly to you, not your health provider, doctors, hospital, etc. You will receive a check made out to you for your convenience!
Nope, you may use your benefits as you see fit. No restrictions. You may use it for co-pays, deductibles, coinsurance amounts, and more!
After a 60 day waiting period you can use your hospital confinement benefit an unlimited number of times!
Nope! Rates are locked in for life when you purchase the plan.
Nope! Hospitalization is not a requirement for the ambulance raider to pay your benefit.
You must make two decisions when signing up for the cancer rider.
- Benefit amount
- One time event OR Reoccurrence rider
The benefit amount can range from $2,500 – $20,000. If you choose one time event, you’ll receive the benefit amount only once in your lifetime. If you chose the reoccurring cancer add-on you will receive a pro-rated benefit amount depending on how many years have passed since remission. see below for percentages.
- 1 year – 10%
- 2 & 3 years – 25%
- 4 years – 50%
- 5+ years – 100%
Well, that depends entirely on your benefits! But here’s a real life example of a policy one of our clients purchased:
- Male age 65
- non-smoker
- lives in NC
- $300 per day 5 day hospital confinement
- $300 ambulance benefit
- $5,000 / 100% reoccurrence cancer benefit
Total monthly premium: $43.08.
Interested in a Hospital Indemnity Plan?
Contact us today to see if this policy makes sense for you.