Published by Trustmark Voluntary Benefits on December 16th, 2019
Anyone who has ever experienced the sticker shock of an expensive hospital bill knows the impact it can have on your finances. And, if you haven’t had that experience, you're in luck. But, you should take note that people often find themselves in this situation because they aren’t aware that they could be on the hook for out-of-pocket costs when they have a hospital stay. That’s where hospital insurance comes in. As the name implies, hospital insurance pays you for a stay or treatment in a hospital. If you’re not familiar, here are a few ways you may not have considered that hospital insurance can help protect your wallet and help you avoid the high costs of a hospital stay.
1. It complements your medical insurance
Medical insurance alone isn’t always enough to cover your health care expenses. Even with health insurance, a hospital stay can still cost over $1,000 out-of-pocket.1 This is especially true if you have a high-deductible health plan since you could be responsible for paying your entire deductible amount after one hospital visit. Hospital insurance can help cover the expenses that you encounter even with medical insurance.
2. It pays you directly
Unlike medical insurance, voluntary hospital insurance pays money directly to you – not your health care provider. This means that you can use the money however you’d like. Many people who find themselves in the hospital use their benefit to cover medical bills, but it could just as easily be used for parking, food, childcare, pet care or transportation. This flexibility helps you pay for extra expenses associated with a hospital stay without dipping into your own pockets.
3. It may include wellness
In some cases, hospital insurance may offer additional benefits outside of a hospital stay. These additional benefits may include wellness benefits that pay you for routine medical and vision tests, follow-up tests, or biometric screenings. With these features, you have an option to receive payment on your policy every year without ever being admitted to the hospital.
4. Good if you plan to have kids
If you plan to have children, that likely means you’re expecting to stay in the hospital. So, for anyone looking to start or expand their family, hospital insurance is a great fit if kids are in your future. Aside from the birth of a child, having active kids could mean a stay in the hospital for a broken arm or leg.
5. Independent of treatment or condition (accident or illness)
Some hospital insurance will pay you for a hospital stay regardless of your reason for hospitalization. Whether you experience an accident or come down with an illness, you receive a benefit so long as the condition or treatment requires you to be admitted to the hospital. Whereas with other coverage, you may have to prove that a certain condition occurred, with hospital insurance it’s generally dependent upon the fact that you were treated at a hospital, which can be simpler.
Voluntary benefits, including hospital insurance, are a great way to protect your finances as health care costs rise. People may not realize that their medical insurance often isn’t enough coverage and supplementary insurance is needed to help fill the gaps. If you were in the dark about hospital insurance before, hopefully this information helped shed some light on how it can be a valuable and smart decision to protect your family and finances.
1. It complements your medical insurance
Medical insurance alone isn’t always enough to cover your health care expenses. Even with health insurance, a hospital stay can still cost over $1,000 out-of-pocket.1 This is especially true if you have a high-deductible health plan since you could be responsible for paying your entire deductible amount after one hospital visit. Hospital insurance can help cover the expenses that you encounter even with medical insurance.
2. It pays you directly
Unlike medical insurance, voluntary hospital insurance pays money directly to you – not your health care provider. This means that you can use the money however you’d like. Many people who find themselves in the hospital use their benefit to cover medical bills, but it could just as easily be used for parking, food, childcare, pet care or transportation. This flexibility helps you pay for extra expenses associated with a hospital stay without dipping into your own pockets.
3. It may include wellness
In some cases, hospital insurance may offer additional benefits outside of a hospital stay. These additional benefits may include wellness benefits that pay you for routine medical and vision tests, follow-up tests, or biometric screenings. With these features, you have an option to receive payment on your policy every year without ever being admitted to the hospital.
4. Good if you plan to have kids
If you plan to have children, that likely means you’re expecting to stay in the hospital. So, for anyone looking to start or expand their family, hospital insurance is a great fit if kids are in your future. Aside from the birth of a child, having active kids could mean a stay in the hospital for a broken arm or leg.
5. Independent of treatment or condition (accident or illness)
Some hospital insurance will pay you for a hospital stay regardless of your reason for hospitalization. Whether you experience an accident or come down with an illness, you receive a benefit so long as the condition or treatment requires you to be admitted to the hospital. Whereas with other coverage, you may have to prove that a certain condition occurred, with hospital insurance it’s generally dependent upon the fact that you were treated at a hospital, which can be simpler.
Voluntary benefits, including hospital insurance, are a great way to protect your finances as health care costs rise. People may not realize that their medical insurance often isn’t enough coverage and supplementary insurance is needed to help fill the gaps. If you were in the dark about hospital insurance before, hopefully this information helped shed some light on how it can be a valuable and smart decision to protect your family and finances.
