Hospital Indemnity Insurance

Hospital indemnity insurance pays cash benefits directly to the insured in the event of a hospitalization due to a covered sickness, accident, or pregnancy. Benefits are paid regardless of your underlying medical coverage.

Your hospital medical plan may leave you with unpaid bills after your hospitalization raising your baby delivery costs: deductibles, co pays, co insurance, and amounts over usual customary and reasonable (UCR) may come as a big surprise. Hospital indemnity insurance plugs the holes and is vital maternity coverage. To find out why read more below about:

• Holes in Coverage – What they are and how to fill them
• Maternity Stay – cover mom’s labor and delivery
• 1/8 Babies are Born Premature – extra benefits to offset costs
• Multiple Pregnancies Deliver Early - bonus payments for each infant

Hospital health plans often come with a variety of holes:

• Deductibles – where you make payments before benefits begin
• Co Pay – amounts you pay per day of hospital confinement
• Co Insurance – the percentage you pay of reimbursable expenses
• Amounts over usual customary and reasonable – the dirty secret of the medical industry: not every provider at an in-network hospital bills you at the in-network rate. You are responsible for the difference. If your child is born prematurely, he/she may be transferred to an out of network center for specialized care.

These expenses will be your responsibility to pay should you require confinement. At the same time you may suffer a loss of maternity income making it hard to pay these bills. Cash benefits paid directly to you to help fill these holes.

Hospital indemnity insurance is a great supplemental maternity option for one simple reason:mom may be planning a stay to deliver her baby!

Growing families feel the holes in hospital plans the most. They utilize the maternity ward even when they are perfectly healthy, but may also need extra care if pregnancy complications arise and require confinement or their baby is born premature. Mom’s delivery of a perfectly healthy baby requires use of the labor and delivery room, and that’s when the deductibles, and co pays become a factor. Expense may quickly get out of control when health issues arise.

Supplemental hospital insurance fills the holes, and helps create maternity leave income. Your normal labor and delivery will be a covered benefit. You get the same cash benefit regardless of what your underlying health plan covers. Use the money to offset your confinement costs, or think of it as extra maternity leave income.

Hospital Indemnity Insurance helps address the financial risk of premature birth and other health conditions that may require extra care for your infant. 

One of eight babies will be born prematurely, and may spend time in the Neonatal Intensive Care Unit (NICU).  When this occurs your newborn may be covered by your policy for thirty days. The extra benefit will help cover any additional costs, and help pay bills if an extended leave from work is required.

Should this occur with your child be sure to make changes to your Flexible Spending Account elections. Birth of a child is a qualifying life event. Your infant's stay in the NICU may generate extra medical bills. Using pre tax contributions can cut your costs by 1/3 or more.

Hospital indemnity insurance is indispensible for any couple undergoing infertility treatments. 

Many infertility drugs stimulate the ovaries to produce extra eggs. If undergoing IVF treatments consider that multiples are quite common. The greater the number of embryos transferred the greater the odds of conception. IUI or intrauterine insemination is most noted for multiple pregnancies as the number of embryos is more difficult to control.

Multiple pregnancies carry a greater chance of pre-term delivery. If multiples require a NICU stay, your policy may pay an additional benefit for each child.