What is Supplemental Insurance?
As the name suggests, supplemental insurance is a special type of insurance coverage that is meant to supplement other insurance plans. By doing this, extra coverage is given to the policyholder once they pay their extra premiums for the insurance. Generally, this insurance is referred to as supplemental health insurance or supplemental health coverage.
Who is this Insurance For?
This insurance is for anyone who really needs it. Generally, older individuals who have more of a need for reduced expenses and generally have higher medical costs is the population that purchases this insurance. The insurance can be used for any person on the policy, including the insured, their spouse, and any dependents that are listed. Like other types of insurance, children can use the benefits involved until they are 26 years old.
How does this Insurance Work?
Like all other forms of insurance, supplemental health insurance must be purchased through premium payments on a monthly or semi-annual basis, depending on the policy. Once eligible expenses are incurred, which are determined by the underlying health insurance policy, this insurance can kick in and cover any of the expenses not covered by the other insurance policy. As a rule, however, there are often limits as to how much this policy can cover, as well as restrictions on what types of illnesses can be covered.
What is Covered by Supplemental Health Insurance?
Coverage varies by policy for this type of supplemental policy. Often times, the items covered depend on the amount of premiums paid each month. General things that are often covered are expenses in excess of what your regular health insurance policy pays for, such as critical illnesses, heart attacks, strokes, hospital stays, and other services that are listed in the policy.
What is the Benefit of this Policy?
Supplemental health insurance is not meant to be a standalone policy. It is meant to provide extra coverage for those who need it. This can be especially useful for people with high medical costs and regular insurance with limited coverage. The true purpose of this insurance is help cover costs that other insurance does not cover.