Hospital Indemnity Insurance Basics Explained

Hospital Indemnity Insurance

Going to the hospital is something you hope you or your family will never have to experience. However, if you had to stay in the hospital, do you have enough set aside to cover the costs associated with a hospital stay? What if you have to be in the hospital for a week or more? Those charges add up. How will you pay the out-of-pocket expenses that accumulate with each day you are in the hospital?

In 2003, the average length of stay in a hospital was 4.8 days.

Source: Injury Facts, National Safety Council, 2005-2006 edition

Will you wait until after a hospital stay to learn about the gaps in your major medical coverage and the expenses that aren't covered, such as transportation and childcare costs?

These are expenses you will have to pay out of your own pocket. Our hospital indemnity plan can help you prepare for these and other out-of-pocket costs with benefits that can help you pay the following expenses:

Travel expenses to and from the hospital.
Lodging for your family members while you are in the hospital.
Child care for your family.

Our hospital indemnity plan can be used to help fill the gaps in your major medical plan and help pay the expenses related to a hospital stay.

This plan provides coverage for the following:

Confinement to a hospital due to a covered accident or a covered sickness.
Outpatient surgical procedures performed by a doctor using anesthesia, administered by a licensed anesthesiologist in a hospital or ambulatory surgical center.

Benefits from our hospital indemnity plan are paid as a lump sum, per covered hospital confinement or covered outpatient surgery. These benefits can help pay co-payments or deductibles, or help cover travel expenses to and from the hospital. These benefits will be paid directly to you, unless you specify otherwise, regardless of any other insurance you may have with other insurance companies.

This plan features flexible plan options, and coverage is available for you, your spouse and your dependent children. Plus, our hospital indemnity plan offers several benefit amounts so that you can choose the coverage that best meets your individual needs.

This hospital indemnity insurance is portable. If you change jobs or retire, you can take your coverage with you. Coverage is also guaranteed renewable for life as long as premiums are paid when they are due or within the grace period. Your premium can be changed only if we change it on all policies of this form number in force in the state of New York, subject to the prior approval of the Superintendent of Insurance.

Contributed with the permission of Jeffrey Schreiber, ARM

Hospital Indemnity Insurance Essentials