Since most health care plans don’t cover all of your expenses, you need to take steps to help protect yourself and your savings.
With an average cost of $10,000 per hospital stay in the U.S.,1 it’s easy to see why having hospital indemnity insurance may make good financial sense. Just think about the possibility of having a hospital stay due to an accident or illness:
- Your child gets hurt on the school playground
- You experience chest pains while exercising and are admitted to the hospital
to be checked and monitored
- Your spouse2 undergoes an emergency appendectomy
Even the best medical plans may leave you with extra expenses to pay out of your own pocket.
A hospital stay can require a variety of treatments, tests, therapies and other care and services to assist in recovery. Each of these services may mean extra out-of-pocket costs for you to pay, beyond what your medical plan may cover, including medical plan deductibles and copayments, and extra expenses associated with out-of-network care and treatment.
Other household expenses may be harder to cover due to lost or reduced income,
like your mortgage, car payment, child care or household upkeep while you recover.
Hospital indemnity insurance can help you be better prepared by providing you with a payment to use as you see fit if you experience a covered event and meet the policy and certificate requirements. Typically a flat amount is paid for hospital admission and a per-day amount is paid for each day of a covered hospital stay, from the very first day of your stay. This payment can help you focus more on getting back on track and less on the extra expenses an accident or illness may bring.