Hospital Indemnity

Hospital indemnity insurance is a type of insurance that provides cash benefits to policyholders in the event they are hospitalized. It is a supplement to major medical insurance, meaning it is intended to cover expenses not covered by traditional health insurance, such as deductibles, copayments, and out-of-pocket expenses.

Hospital indemnity insurance policies typically pay a fixed amount of money for each day of hospitalization or for specific procedures or treatments. The benefits paid are usually in cash and are typically paid directly to the policyholder, rather than to the healthcare provider.

Hospital indemnity insurance policies can be purchased as standalone policies or as an add-on to existing health insurance. It is important to keep in mind that hospital indemnity insurance does not replace major medical insurance, and it does not cover the cost of the hospital stay itself. It is intended to cover additional expenses related to hospitalization, like lost wages or transportation costs.

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