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What types of plans work best with accident insurance?

Learn the types of insurance plans that pair well with accident supplemental policies.

It’s a beautiful day and you’re excited to head out for a hike with your family. Everyone piles into the car, including the family dog. But while you’re out on the hiking path, Rover sees another dog and takes off in a hot pursuit.

The problem is, he takes you with him, and you stumble and break your foot. During all the chaos and howling and intense pain, you have one thought: “How much is this going to cost me?”

Depending on your insurance plan, it may cost you quite a bit. “If you have an accident and end up in the emergency room, you may be responsible for thousands of dollars from a deductible and copays,” says Bill Green, owner of the Green Insurance Agency in Orange Park, Florida. (A deductible is how much you pay for covered services before your insurance pays the rest, while copays are fixed amounts you pay for health services.)

But there’s a way to help yourself avoid this situation: You can get an accident insurance plan, which can help you pay for some of those costs. “So, when you get hurt, your wallet isn’t also hurt when you go to pay the bills,” says Green. (Accident insurance is a type of supplemental insurance that helps pay for health care costs not covered by your regular plan.)

While you can pair accident insurance with any health plan, it works particularly well with one type of plan: a High Deductible Health Plan, or HDHP, according to Green. In fact, he always recommends that his clients be enrolled in an HDHP when they get accident insurance. “Recently, I had a client get bitten by a water moccasin snake,” he says. “He had his accident plan for less than a month but was able to get a multi-thousand-dollar payout to cover his out-of-pocket costs for 2 days in the ICU and 3 days of antivenom therapy,” he adds.

Here’s a closer look at why an accident plan paired with an HDHP may be so helpful.

Interested in exploring a supplemental accident insurance plan? Get more details, or call a licensed insurance agent at 1-844-211-7730 to discuss your options.

What is an accident insurance plan?

An accident insurance plan provides financial protection in the event of accidents and injuries, says Michael Orefice, senior vice president of operations at SmartFinancial in Newport Beach, California. These plans complement a primary insurance plan and only cover accidents such as car accidents, slips and falls, and sports-related injuries.

“If you’re injured, the insurance company pays out a lump-sum benefit directly to you,” Orefice explains. “This benefit is typically paid regardless of other insurance coverage you may have.” You can use it for medical expenses, everyday bills or other financial needs.

For example, he says, you can use it to cover transportation costs while you’re injured and can’t drive. Claim processing is quick and straightforward, and the plans themselves tend to be very affordable. “On average, they can range to as low as $10,” says Orefice. Family plans that cover multiple people will have higher monthly bills. If you’re interested in shopping for a plan, you can take a closer look at accident insurance, or call a licensed insurance agent at 1-844-211-7730 to get more details.

How does accident insurance work with an HDHP?

An HDHP is a type of health insurance plan that has a higher deductible than comparable health insurance plans. The monthly insurance bill will be lower, but you’ll pay more health care costs yourself before the insurance company begins to pay its share of covered services.

If you have an HDHP, accident insurance can help pay for costs related to an accident. It will help to cover deductibles, copays and coinsurance (the latter is a fixed percentage you pay for health services).

It can also help you pay for other costs related to an accident, such as crutches if you break your leg. “A few years ago, I decided to try out a high deductible health plan for my family, because we were all healthy,” recalls Green. “That was the year my son broke his arm and we spent more than $10,000 in out-of-pocket medical costs. Thankfully, our accident insurance kicked in and covered $10,000 of that. We got a check for that entire amount.”

Does accident insurance work with other types of plans?

There are also other types of supplemental insurance plans that may pair well with accident insurance. If you have critical illness insurance, for example, that plan will kick in if you require hospitalization for a qualified medical condition.

But you can use accident insurance with any type of health insurance plan. “It’s a good idea for any plan that has any sort of a deductible,” says Green.

Supplemental insurance plans, such as accident insurance or critical illness insurance, can help you fill coverage gaps in your traditional health plan. Learn more about them, or call a licensed insurance agent at 1-844-211-7730 to discuss your options.

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