Supplemental Insurance is additional insurance that can be purchased to supplement other basic coverage. Therefore, it helps pay for those services and expenses that are not covered by an individual’s regular insurance policy. Some plans will pay for deductibles, coinsurance and copayments, while other plans may simply provide the insured with a cash benefit (paid either in one lump sum or in installments over a period of time). The cash benefit can be used to cover various expenses, including lost wages and transportation related to the insured’s health condition. It can also be used to pay for medication, food, and any other expenses that were not anticipated due to an injury or illness.
Supplemental insurance is applicable for any individual who would like to reduce their risk of out-of-pocket expenses that are not covered by their primary insurance plan. It can be a particularly good option for families with children, those who are self-employed, and those that are unable to pay large medical bills or take time off from work as a result of injury or illness. The additional insurance can be purchased for a huge variety of uses or conditions. For example, basic supplemental medical plans supply fixed benefits for preventive medical care coverage. In cases of illness or critical condition, additional insurance policies provide lump sum benefits to assist in the payment of out-of-pocket expenses for cancer, heart attacks, heart surgeries, strokes and other illnesses. Basically, almost every condition can be covered under a supplemental policy. There are certainly major benefits to having a supplemental plan as it pays benefits even when not covered by other insurance plans and is an enhancement to other plans. Therefore, it just comes down to a matter of how much an individual is willing to pay for a certain type of additional coverage.