The Emerging World of Supplemental Insurance
By now many of you have seen the insurance commercials featuring the duck they are quite entertaining; however, very few people really understand what it all means. We've taken a moment to simplify the concept of supplemental insurance to help you determine the role it can play in your life.
What is supplemental insurance?
Supplemental insurance is coverage that you can purchase which provides cash benefits (paid directly to you) to help pay medical and non-medical expenses associated with a covered illness or accident. The sole purpose of a supplemental insurance policy is to pay you cash to help ease the financial burden of unexpected medical expenses.
I have health insurance, why would I need it?
Supplemental insurance is about protection from the financial impact of unexpected medical expenses. As insurance costs increase and coverage decreases, millions of Americans across the country are turning to supplemental insurance as a way to protect themselves and their loved ones from the financial burden of rising out-of-pocket healthcare costs.
How does supplemental insurance work?
There are different carriers that offer different plans but most will either pay a lump sum benefit or a scheduled cash benefit. Some will have fixed amounts that they pay for certain occurrences, and others will have fixed annual amounts that can be used based on incoming medical bills.
Regardless of the type of plan you choose, when a covered incident occurs, you file a claim, the claim is processed, and a check is sent directly to you – not to the medical provider. It’s that simple!