Hospital indemnity plans are supplementary to your current insurance plan and help cover the costs that your regular insurance may not cover. Whether you're going to the hospital for an injury or an outpatient surgery, a hospital indemnity plan has your costs covered.
You may be asking, how does this type of hospital indemnity coverage help lower your out-of-pocket costs? Here’s a quick breakdown:
Hospital indemnity plan coverage pays a cash benefit that is determined by a person’s specific plan for each day an insured individual is in the hospital.
The insured individual’s hospital indemnity coverage will pay the person $X (the predetermined cash benefit) for each day they are in the hospital, up to 10 days max.
Depending on the number of days, the insured person will receive the case benefit amount times the number of days in the hospital.
For example, your plan has a cash benefit of $250/day. You are in the hospital for 4 days, so you receive $1,000 in cash benefits!
This amount of cash benefits can be used to pay for expenses, such as Medicare Advantage co-pays!
See a hypothetical situation of having a hospital indemnity plan in this educational resource from our partners at GTL Insurance Company.
Do you have questions about hospital indemnity plans and your available options? Reach out to a member of the PlanWell Insurance team today for more information.
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