AHIP Comes to Defense of Fixed Indemnity Plans

Fixed indemnity insurance plans — which pay a set amount when a policyholder is hospitalized or has another major medical event — are facing heightened scrutiny amid concerns that people who buy these policies mistakenly believe that they’re comprehensive health insurance.

The health insurance industry’s largest trade group, however, argues that fixed indemnity products play an important role in the marketplace and that newly proposed restrictions on those plans will have costly consequences.

“Every American deserves access to affordable, comprehensive, high-quality coverage and care. But the costs associated with getting sick or recovering from an injury continue to escalate year after year,” AHIP says in an Aug. 14 post on the group’s website. Fixed indemnity products address that problem by “helping cover out-of-pocket costs for specified services and other expenses during a time of serious illness, or following an injury,” the post states.

0 Comments
© 2024 MMIT
Leslie Small

Leslie Small

Leslie has been reporting and editing in various journalism roles for nearly a decade. Most recently, she was the senior editor of FierceHealthPayer, an e-newsletter covering the health insurance industry. A graduate of Penn State University, she previously served in editing roles at newspapers in Pennsylvania, Virginia and Colorado.

Related Posts

sales-reps
August 11

‘Secret Shoppers’ Find People Losing Medicaid May Encounter Raft of Misleading Marketing

READ MORE
federal-trade-mission
August 19

FTC Fines Broker for Pushing ‘Sham’ Health Insurance Plans

READ MORE
people-looking-at-tablet-computer
July 14

Experts Expect Small Decrease in ACA Premiums From New Short-Term Plan Limits

READ MORE

GAIN THERAPEUTIC AREA-SPECIFIC INTEL TO DRIVE ACCESS FOR YOUR BRAND

Sign up for publications to get unmatched business intelligence delivered to your inbox.

subscribe today