Currently, in the United States, a hospital stay of even a few days can result in a bill of several thousand dollars. Even people with health insurance sometimes face substantial out-of-pocket costs because of exclusions in their policies. In many cases, the solution is hospital indemnity insurance. If you are unfamiliar with this coverage, the information below will bring you up to date.

What Is Hospital Indemnity Insurance?

Also called hospitalization insurance, this type of coverage pays a benefit whenever you are confined to a hospital. Depending on the policy, it might cover only unplanned visits or planned visits, as well. Some cover only short-term stays while others are appropriate for longer visits. In either case, the insurance company pays the benefit directly to the policyholder rather than the health care provider to help pay for deductibles, pharmaceuticals, and other out-of-pocket expenses.

What Does It Cover?

A basic plan pays a per diem for each overnight stay at a hospital. If you want more robust coverage, your plan can include additional payments for an ambulance trip, a visit to surgery, or for certain serious ailments, such as stroke or cancer. Unlike health insurance, it doesn't cover particular services but is instead tied to the occurrence of specific events: the ambulance ride, the hospital stay, the diagnosis, etc. This, and the fact you are free to use the payment as you wish, makes the coverage extremely flexible.

To speak with an experienced agent about hospital indemnity coverage, contact Brent Layton at Brent C. Layton Insurance Agency, Inc. in Tremonton, UT. He has served businesses and individuals in and around Box Elder County for more than 25 years, specializing in Medicare Advantage plans, Medicare Supplement, guaranteed funeral plans, and final expense life insurance. Visit the website to submit an information request for a quote. You can also call (435) 257-3829 or email him with questions.