Overview of Fixed Indemnity Plans

Fixed indemnity insurance works differently than traditional health insurance. Instead of paying a percentage of your bills, it pays a fixed dollar amount for specific medical events—regardless of what you're actually charged.

How Fixed Indemnity Works

You choose a plan with defined benefit amounts. Hospital stay? You get $1,500/day. Doctor visit? $100. Surgery? $5,000. The payment goes directly to you, and you can use it however you want—pay medical bills, cover lost income, or anything else.

The Advantages

Key advantages include: no network restrictions (see any provider), cash payments that give you flexibility, often very affordable premiums, and the ability to stack with other coverage types.

Important Considerations

Fixed indemnity isn't comprehensive insurance—it's supplemental protection. The fixed payments may not cover your entire bill for major procedures. It works best as part of a stacked coverage strategy.