Products
Cash in your hands when a hospital stay creates bills Medicare does not cover.
A hospital indemnity plan pays a set cash benefit when you have a covered hospital stay. You can use the money for the deductible, copays, travel, a spouse’s hotel, or anything else that needs paying. It does not replace Medicare or a Medicare Advantage plan. It sits beside them.
Where it helps
Medicare Advantage plans often have a daily hospital copay. A supplement reduces many of those bills, but families still feel the cost of getting to a hospital in Oklahoma City, missing work, or handling the first days at home. Indemnity benefits are paid to you, not to the hospital.
Plans differ in the daily amount, how many days they pay, and whether observation stays count. We read those details with you. A plan that looks generous and then excludes the kind of stay you are most likely to have is not a plan we will call a fit.
How we decide whether you need one
If your supplement already covers the hospital bills you are worried about, we may tell you to skip an indemnity plan. If you are on an Advantage plan with a per-day hospital copay and a thin savings cushion, an indemnity plan can be the piece that makes the Advantage plan make sense.
We size the benefit to your budget. More coverage than you can comfortably pay for is not a favor.
What we compare
- What does your current plan charge per hospital day?
- Does the indemnity plan pay for observation stays, or only inpatient admissions?
- How many days does it pay, and is there a waiting period?
- Is the premium comfortable if you never use the benefit this year?
Common questions
Does hospital indemnity replace my Medicare plan?
No. It pays cash to you on top of Medicare or Medicare Advantage. You still need your primary health coverage.
Is the money sent to the hospital?
The benefit is typically paid to you, the policyholder, to use as you see fit. Confirm the wording on the policy we show you before you apply.