Understanding Hospital Cash Insurance
Key Takeaways
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Amount paid to you may be more or less than your actual medical expenses
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Ask about the policy waiting period. No benefits will be paid during this time
Hospital cash insurance pays you a fixed amount of money for each day you're hospitalised. The total amount paid under this policy may be more or less than your actual medical expenses.
Key Features
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Pays a fixed amount for each day you are warded for treatment or surgery
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There may be a waiting period before the benefit is paid
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Pays for only a maximum number of days each year or the life of the policy
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The policy will end once the lifetime limit is reached
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Waiting periods and benefit limits are different across policies
Waiting Period
A hospital cash insurance policy may have a waiting period, a defined period from the start of the policy during which benefits will not be paid under certain conditions.
If you are hospitalised during this period, no benefits would be paid.
