Medical costs are expensive, and the limits of your traditional health insurance plan might not be enough to cover all your needs.

This means financial stress and an impact on your savings? No. You can fill the gap with an affordable supplemental health insurance. It helps you cover what your traditional plan does not cover.

Let's find out what supplemental insurance is and how it works.

What Is A Supplemental Insurance?

After your health insurance pays for your medical services, supplemental insurance covers the extra costs stemming from an illness or accident.

These costs include:

•             Deductibles

•             Co-payments

•             Procedures or services not covered by health insurance

You get paid in a lump sum or periodic benefits. These funds can be used to cover costs for transportation, medication, lost income during treatment, or expenses incurred for injury or illness.

How Supplemental Insurance Works?

Supplemental insurance offers benefits above and beyond your group or individual health insurance. Although you can buy a supplemental health plan as a primary source, it's not the right choice.

It is best when it complements your primary health insurance and does not replace it.

It ensures peace of mind as you know that you will have extra money to cover major health expenses. 

Here are the benefits you get when you complement your primary health insurance with supplemental insurance:

•             Benefits are paid directly to you, not the provider.

•             You can use the money to pay for deductibles and coinsurance.

•             It makes up for the lost income when you are ill or convalescing.

•             You have funds to cover expenses that your primary insurance does not cover.

Who Should Buy A Supplemental Insurance?

Do you actually need supplemental insurance? While there is no hard and fast rule, there are some situations where you will almost always get the benefits.

•             If you have children and your current plan does not include dental coverage.

•             If you cannot financially cover the lost income due to a long-term illness.

When deciding if you need it, consider these factors:

•             Policy's affordability

•             Additional coverage needed

•             What you need to be insured for

•             Risk factors based on personal and family history

•             Do you get an opportunity through your employer? If yes, consider adding supplemental insurance as a benefit.

Types Of Supplemental Health Insurance

Here are the different types of supplemental insurance for individuals you can opt for:

Short Term Health Insurance

If you need coverage for less than six months, short-term health insurance is the right choice. If you are in between insurance plans, a short-term plan offers the required support.

Travel Health Insurance

When travelling outside the country, travel health insurance covers illnesses or accidents that happen while you are travelling. It starts when you leave the country and continues until you reach your destination.

Hospital Indemnity Insurance

If you are confined to the hospital after an accident or injury, hospital indemnity insurance provides payment. The payment can be in a lump sum or a specific amount for inpatient and outpatient service expenses.

Critical Illness

This plan provides coverage for a specific list of illnesses listed in the plan.

Accident Insurance

If you are injured or killed due to an accident not excluded in your policy, you or your beneficiaries will receive the payout.

Find the Right Supplemental Health Insurance for Comprehensive Coverage

A supplemental health insurance complements your primary plan. The choice and type of supplemental health insurance depend on your individual needs.

Assess your financial condition and future risks to decide what type of supplemental insurance you need. Compare supplemental health insurance quotes to find a balance of affordability and policy features.

The aim is to ensure that illnesses or injuries beyond the basic plan do not lead to a significant financial burden.