Hospital Indemnity Insurance

It provides a fixed daily cash benefit while you stay in the hospital, regardless of the hospital fees.

Hospitalization benefits are predetermined based on the plan you you have selected, and are paid regardless of any other insurance the you have.

You can use the payments received from a claim on anything you want! It’s your money. Often, people use the money to pay their deductibles or hospital and doctor co-pays, and the coinsurance that may be required, such as a plan that pays 80% and you pay 20% after the deductibles have been met. Another typical use for the money is to “pay oneself back” for lost time at work while having to be at the hospital with the infirmed family member. People have used it to pay for their family’s groceries and living expenses, their child’s daycare costs, their electric and utility bills, and even their mortgage. 

A hospital indemnity plan is an affordable supplemental coverage plan. It is not considered ACA minimum essential coverage, nor is it considered major medical or even short term health coverage. But adding a hospital indemnity insurance plan to the right health plan makes it better and can make a difficult experience more tolerable.

There are many different choices of hospital indemnity insurance. Some are very basic, perhaps covering $200 per day while you or a family member are in the hospital. Then there are robust policies that may cover up $1500-2000 a day while in the hospital, plus paying a fixed benefit for an ambulance trip, additional payments for a surgery, and some even pay a higher fixed amount for “intense” ailments such as heart attack, cancer, or stroke.

Coverage cost depends on your age and the coverage amount you choose. However, hospital indemnity coverage is usually very inexpensive relative to the amount of benefit you receive in having a good hospital indemnity insurance plan.

Consider your income and expenses when determining how much hospital indemnity insurance coverage you need. The ideal coverage would be a plan that would both replace all of your lost income during the medical event, plus give you enough money to cover the additional expenses brought about because of the hospitalization of you or your family member. 

The claims process is very straightforward with a Hospital Indemnity plan. All one has to do is to submit a simple claims form, attach the receipts, and then you will receive a check to use as you see fit.

Cash benefits are tax free and paid directly to you. Typically, you are paid one lump sum amount. However, with a longer duration hospital stay, you might perhaps receive a check weekly.

Typically, approval for a hospital indemnity plan is guaranteed for eligible persons without undergoing a physical exam. However, you may have to answer a few basic medical questions during the enrollment process (either on the application, by phone, or both).

Many persons with pre-existing conditions can still get coverage, but it may take some additional time and a few extra underwriting steps.

The best way to get the best “fit” for a hospital indemnity insurance plan is to talk with your independent insurance agent, Frank Trotter, at i7 Insurance. He will get to know you personally, and will be able to help you navigate all of your options for hospital indemnity insurance. His number is 251.709.1355.

For more information or to schedule an appointment to discuss how you can strengthen your overall health insurance plan by adding an affordable hospital indemnity insurance policy, contact Frank Trotter at i7 Insurance by calling him at 251.709.1355, emailing him at i7insures@gmail.com