If you or a family member ever experiences an accident or serious illness, you (and your bank account) will be glad you put some safety nets in place. Critical illness, hospital indemnity and accident insurance are optional plans that pay cash benefits directly to you if you experience a covered event, regardless of what your medical plan pays.
Things to Consider
When deciding whether to enroll in voluntary supplemental insurance, be sure to consider the following:
- Cost per paycheck. The cost of coverage is based on whom you cover as well as other factors (e.g., age, tobacco status, coverage option). You’ll be able to see the cost per paycheck when you enroll.
- Your and your family’s needs. Does a serious health condition run in your family? Are you or an eligible family member frequently hospitalized? Would you need financial help to offset the cost of a serious health situation or accident? If you answered yes to any of these questions, having voluntary supplemental insurance could give you peace of mind.
- Other coverage. Consider how the various types of voluntary supplemental insurance could fit in with other coverage for which you might enroll.
Critical Illness Insurance
If you have a serious health condition, critical illness coverage can help lighten the load. Critical illness insurance pays you a benefit if you or a covered family member is treated for a major medical event (such as a heart attack or stroke) or diagnosed with a critical illness (such as cancer or end-stage kidney disease). It’s not a replacement for medical coverage, but it can provide extra peace of mind by helping you pay for a deductible, coinsurance or costs for any other services that may not be covered (e.g., long-term rehabilitation, home modification) by your medical plan.
If you decide you want critical illness coverage, you can choose from these benefit amounts:
- $7,500
- $15,000
- $30,000
How Does It Work With Medical Insurance?
Here’s an example: If you were to enroll in a $15,000 critical illness plan and suffer a heart attack, the plan would pay you the full $15,000* to be used for anything you need, including a deductible, coinsurance or long-term rehabilitation.
* Critical illness insurance has state variations, exclusions and limitations.
Hospital Indemnity Insurance
How prepared would you be to pay for an unexpected hospital bill? Hospital indemnity insurance pays you a benefit in the event you or a covered family member is hospitalized. It’s not a replacement for medical coverage, but it can provide extra peace of mind by helping you pay for copays, deductibles and other incidental charges that can really add up during a hospital stay.
How Does It Work With Medical Insurance?
Here’s an example: If you were to enroll in the family plan and be hospitalized two days following gallbladder surgery, the plan would pay you $1,200* to be used for anything you need, including a deductible, coinsurance or rehabilitation.
* Hospital indemnity insurance has state variations, exclusions and limitations.
Accident Insurance
You may not be able to avoid accidents, but you can deflect part of the cost. Accident insurance pays you a benefit in the event you or your covered family members are injured in an accident. It’s not a replacement for medical coverage, but it can provide extra peace of mind by helping you pay for accident-related copays, deductibles, hospital charges, transportation fees and lodging expenses. And, unlike AD&D coverage, accident insurance does not require death or serious injury for you to be eligible for a benefit.
How Does It Work With Medical Insurance?
Here’s an example: If you were to enroll in the plan and suffer a broken foot, the plan would pay you $2,080* to be used for anything you need, including a deductible, coinsurance or transportation.
* Accident insurance has state variations, exclusions and limitations.