Frequently Asked Questions

Q: What exactly is fixed indemnity insurance?

A: Fixed indemnity insurance is a type of supplemental health insurance that pays a predetermined, fixed amount for covered medical services, regardless of the actual cost. These cash benefits are paid directly to you and can be used for any purpose, whether medical expenses or other costs.

Q: How does fixed indemnity insurance differ from traditional health insurance?

A: Unlike traditional health insurance, which pays a percentage of your medical costs after you meet your deductible, fixed indemnity insurance pays a set amount for specific services. It's designed to complement, not replace, your primary health insurance.

Q: What types of medical services are typically covered?

A: Coverage can vary by plan, but common benefits include:

• Doctor visits
• Hospital stays
• Outpatient surgeries
• Emergency room visits
• Diagnostic tests (X-rays, lab work)
• Prescription drugs

Q: Are there any pre-existing condition limitations?

A: Many fixed indemnity plans do have limitations on pre-existing conditions. Typically, there's a 12-month waiting period before benefits are paid for pre-existing conditions. Check your specific policy for details.

Q: Is there a maximum benefit amount?

A: Yes, most fixed indemnity plans have annual and lifetime maximum benefits. These limits can vary based on the level of coverage you choose.

Q: Can I keep this insurance if I change jobs?

A: Yes, fixed indemnity insurance is typically portable, meaning you can keep your coverage even if you change jobs or retire.

Q: How quickly are claims paid?

A: Claims processing times can vary, but many insurers aim to process claims within 10-15 business days after receiving all necessary documentation.

Q: Is there a network of providers I must use?

A: Generally, fixed indemnity plans allow you to see any qualified healthcare provider. The benefit amount paid is the same regardless of which provider you choose.

Q: Can I purchase fixed indemnity insurance at any time?

A: In most cases, yes. Unlike major medical insurance, which often has specific enrollment periods, you can typically apply for fixed indemnity insurance at any time.

Q: How do premiums for fixed indemnity insurance compare to traditional health insurance?

A: Premiums for fixed indemnity insurance are often lower than those for comprehensive health insurance. However, remember that the coverage is also more limited and is designed to supplement, not replace, major medical insurance.