Supplemental insurance is an addition to your regular insurance. It covers things that a traditional policy usually does not. Some of the items this policy may pay for are doctor’s co-pays, medication, nursing home care, living expenses, and lost wages. In short, this policy provides extra finances above your general health coverage.
Supplemental coverage is not mandatory, but most people benefit from the extra help. Several types of supplemental coverage are available. The most common type is the type that covers the expenses that Medicare does not. It is supplemental insurance, but sometimes referred to as gap insurance. For example, Medicare may only pay the first $1,000 for a hospital stay. The gap insurance would cover the remainder up to its limits. There is also indemnity insurance which pays the policyholder a lump sum or a weekly payment if they are confined to the hospital.
Accidental death and critical illness policies are extra policies that you can buy that are similar to supplemental coverage. They are standalone policies, but can also work with policies that you already have. The critical illness coverage is for diagnoses of severe illnesses like Alzheimer’s and stroke. And accidental death coverage is specifically for the family of a person who has an untimely death.
Supplemental insurance coverage is not mandatory, but is something you should consider. Speak with an insurance agent for more information.