Hospital Indemnity Insurance

What it is

Hospital indemnity insurance, sometimes called hospital insurance or hospital expense coverage, pays a set amount when you're admitted to the hospital or for each day you stay, up to the limits in the policy. Some plans also pay set amounts for related services like outpatient surgery or emergency room visits.

The benefit is paid on top of whatever your major medical plan pays. The money can go toward your deductible or coinsurance, or toward non-medical costs like rent, groceries, travel, or child care while you're recovering.

Because it pays set amounts rather than a share of the bill, there's no network requirement for the hospital indemnity benefit itself.

Who it's often a fit for

• People with a high deductible who would struggle with a large hospital bill
• Families who want a cash cushion if someone is hospitalized
• People planning ahead for a known future need, where the plan's rules allow
• People pairing hospital coverage with a short term or ACA plan

How it works

1. Pick a daily or per-admission benefit level.
2. If you're admitted for a covered reason, you or the hospital submit a claim.
3. The plan pays the fixed amount for each covered day or admission, up to its calendar-year maximum.
4. Benefits can be paid to you, or assigned to the hospital if you prefer.

Carriers you can quote online

Online quotes for hospital indemnity insurance are available from UnitedHealthcare, Pivot Health, and Allstate. Each carrier designs its own plans, so benefit amounts, waiting periods, riders, and eligibility ages differ. Hollen can line them up side by side and explain the differences, and plan availability varies by state.

What affects the cost

There's no single price. These factors usually matter most:

• Your age
• The daily or admission benefit you choose
• Who is covered
• Your state
• Whether the plan is guaranteed issue or medically underwritten

Limits to understand

• It's a limited-benefit supplement, not major medical coverage.
• There may be waiting periods, especially for sickness or maternity-related stays.
• Pre-existing condition limits often apply.
• Daily benefits usually stop after a set number of days.

How Hollen helps

Hollen is an independent broker, so she can compare plans from several carriers instead of just one. She'll help you decide whether a supplemental plan makes sense alongside your main coverage, check what's offered in your state, and explain the fine print before you buy. You can enroll online yourself or have Hollen walk you through it.

Frequently asked questions

Related coverage

All short-term & supplemental plans · Short Term Medical · ACA Plans · Licensed states

THIS IS A LIMITED-BENEFIT PLAN. It is a supplement to health insurance, not a substitute for major medical coverage or the minimum essential coverage required by the Affordable Care Act. Plans may be medically underwritten, and benefits are generally not paid for pre-existing conditions during any limitation period. Availability, benefits, and rules vary by carrier and state. This page is general educational information, not a guarantee of coverage, eligibility, or cost.