Supplemental insurance is that extra insurance taken to pay for services which your normal insurance will not pay. These are out of pocket expenses like deductibles, coinsurance as well as co-payments. The supplemental insurance benefit is usually paid as a lump some or over a certain period. The supplementary insurance cash benefit can be used to do a variety of things. It can cover your food expenses, medical expenses, transportation and any expenses which result due to an injury.
Critical illness insurance
This is a type of insurance which helps you to lessen the burden of a chronic disease like cancer. The lump some benefit which you receive from this type of supplemental insurance will cover additional costs which are a result of your medical condition. Such costs are neither covered by your normal health insurance nor by a disability cover. You can use the lump some to pay household expenses, travel expenses, utility bills and deductibles. Different health insurance companies provide this cover although they may use different names.
Accidental death policy
This is another type of a supplemental insurance. In fact, there are two types of accidental policies. Types of policies The two types are the accident health insurance and an accidental death and dismemberment insurance. The two policies are sold as a combined policy and benefits differ due to different insurance regulations. Combined health policy The combined policy pays a lump some benefit to surviving members after an accident or a smaller amount if you suffer an injury or lose a limb or any body part. This type of supplemental insurance does not however cover deaths or injuries due to suicide or natural causes. Accidental health insurance Accidental health insurance on the other hand will pay for medical bills as a result of an accident which are not paid for by a normal health insurance policy. The medical insurance companies will also cover homecare services and travel expenses.
Hospital indemnity insurance
Also known as hospital confinement insurance, it basically pays a cash benefit whilst you are in hospital due an accident or any type of illness. This lump some benefit can only be paid after a certain waiting period, payments are done either daily or on a weekly basis. The hospital indemnity insurance will provide this additional cover you would not get from a regular health insurance plan.