Understanding how medical insurance works can be difficult. So, it's easy to start tuning out when you hear about supplemental insurance plans—like Extra Med—until you realize how it may be able to help you prepare financially, if you end up in the hospital.
Below, we explain what you need to know about Extra Med insurance, and why it might be worth investing in, if you think you or an immediate family member may end up in the hospital.
What is hospital indemnity insurance?
Extra Med insurance is a supplemental insurance plan that pays a lump sum directly to the insured person, not to medical providers, for covered conditions and occurrences. Therefore, you can use the funds on anything you want. Once the money is in your hands, you call the shots.
Can you really use Extra Med insurance on anything?
Yes! One of the biggest advantages of Extra Med insurance is its flexibility. Unlike medical insurance, which may only cover very specific costs, Extra Med insurance pays a lump sum benefit that can be used however the insured person sees fit. That can be to cover costs from an extended hospital stay, transportation to and from follow-up appointments, and more. Here are a few expenses you might want to use it for:
Deductibles and co-payments
Out-of-network care and treatment
Therapy and rehabilitation
Lodging costs, if you need to travel for care
Any household bills
How can Extra MEd insurance help my family save money in the long run?
Consider the possibility that being in the hospital (and recovering afterward) may bring on additional expenses, like childcare, food deliveries, and more that can put a burden on your budget.
For those reasons, having a lump sum payment from a Extra Med insurance plan can help keep your family's finances on track. Plus, paying a monthly premium that's deducted from your paycheck can make financial planning easier and be more affordable than you think.