In Florida there are quite a few types of health insurance including Hospitalization Expense Insurance, Hospital Indemnity Insurance, Accident Insurance, Surgical Expense Insurance, Physician’s Coverage, Disability Income Insurance, Medicare Supplement, HMO’s, PPO’s, and of course Major Medical Insurance.
A Hospitalization Expense policy is designed to provide indemnification to the insured for basic hospitalization expenses of room and board in the hospital, nursing care, lab fees, operating room, medical supplies, and related items. These policies generally state a limit for daily room and board charges, and are subject to a maximum number of days, and other specified limits. An example of this might be the United Health One Saver 80 which only covers inpatient and outpatient hospital charges.
Hospital Indemnity Insurance coverage pays a flat amount per day for hospitalization, regardless of expenses or other insurance. Its principal purpose is to supplement other coverage such as major medical coverage. We call these policies ancillary and we sell them frequently to people that purchase high deductible major medical plans.
Accident Insurance is basically coverage for expenses that arise from accidents. They cover general expenses, loss of income, and other charges from accidents. You can imagine many exclusions can be found on these policies including hernia, war, disease, suicide attempts, etc.
Surgical Expense Insurance covers fees of physicians for performing surgery, with a maximum payable for each procedure. The typical surgical schedule is constructed to provide the highest benefits for the most serious surgeries and on down for simpler procedures. This coverage is not meant to be a replacement for health insurance either.
Physicians Coverage reimburses the insured for nonsurgical care provided by a physician. Benefits are payable for services from a physician in the hospital, in the patient’s home, or in the physicians office.
Major Medical Insurance is what we specialize and what we recommend as primary coverage for 99% of the individual insurance market. It is designed to protect against catastrophic losses. However, some types of major medical also cover basic illness as well. Rather than go into too much detail here, we cover this type of coverage in detail throughout our health insurance site.
Disability Income Insurance provides periodic payments when the insured is unable to work because of sickness or injury. These policies include a waiting period before payments begin, and then will pay a monthly benefit for a specified period of time, or for life. The waiting period is as little as seven days; however more common is 30, 60, or 90.