Voluntary Hospital Indemnity and Supplemental Medical Products
Cost: $4,000; published 2025
Voluntary hospital indemnity and supplemental medical products continue to evolve to meet the needs of today’s employers and employees — filling gaps left by major medical coverage and providing a way to offset other out-of-pocket costs associated with high-deductible health plans.
This report examines the current voluntary hospital indemnity and supplemental medical products of leading carriers in the market. Specifically, the report includes:
- Overall market/sales results and trends
- Product structures and types of benefits paid
- HSA compatibility of benefits offered
- Product differentiation and positioning
- Underwriting guidelines
- Rates and commissions
- Claims problems, payment and integration practices
- Sales and product results
- Current product challenges and future trends
With this data, carriers can evaluate their own products and strategies to determine if changes are needed to make their offering more competitive.
View Table of Contents
1. Executive Summary
A. Report Objectives
B. Methodology
C. Key Findings
2. Market Overview
A. The Overall Market
B. The Employer Perspective
C. The Employee Perspective
D. The Broker Perspective
E. Key Competitors
3. Product Details by Carrier
A. Product Structure and Specifics
1. Definition of Voluntary
2. Employer Contributions Allowed
3. Years Product on the Market and Last Revision
4. Product Updates
5. Product Platform
6. In-Hospital Confinement Benefit
7. Hospital Admission Benefit
8. Observation Benefit
9. Intensive Care Confinement
10. Intensive Care Admissions
11. Inpatient Surgery
12. Inpatient Anesthesia
13. Outpatient Surgery
14. Outpatient Anesthesia
15. Physician’s Benefit
16. Rehabilitation Facility Benefit
17. Wellness, Screening or Preventative Benefits
18.Well Baby/Healthy Newborn Hospitalization Benefit
19. Emergency Room/Urgent Care
20. Ambulance Services
21. Lodging
22. Transportation
23. Diagnostic Tests/Procedures
24. Prescription Drugs
25. Mental and Nervous Disorders
26. Substance Abuse
27. Hospice Care
28. Skilled Nursing Care
29. Home Health Care
30. Child/Family/Pet care
31. Therapy Services
32. Medical Equipment
33. Other Benefits
34. HSA Compatibility Summary
35. Other Optional Benefits/Riders – Critical Illness
36. Other Optional Benefits/Riders – Accident
37. Other Optional Benefits/Riders – Short-Term Disability
38. Other Optional Benefits/Riders – Term Life
39. Other Optional Benefits/Riders – Waiver of Premium
40. Other Optional Benefits/Riders
41. Pregnancy Waiting Period
42. Elimination Periods
43. Pre-Existing Exclusions
44. Coverage Termination Due to Age
45. Benefit Reduction at Any Age
46. Other No-Cost Benefits/Value-Added Services
47. Policy Renewability
48. Portability (Group Products)
B. Product Positioning, Differentiation and Competition
1. Plan Designs
2. Product Positioning
3. Product Differentiators
C. Underwriting
1. Account Eligibility Guidelines
2. Employee Eligibility Guidelines
3. Guaranteed Issue Guidelines
4. Simplified Issue Guidelines
5. Simplified Issue Questions
6. Full Underwriting Guidelines
7. Open Enrollment Options
8. Renewal Process
D. Rates
1. Published or Census/Case Specific Rates
2. Pricing Structure
3. Spouse and Dependent Child Coverage
4. Premium Rate Comparisons
E. Commissions
1. Writing-Level Commissions
2. Reheaping Commissions
F. Claims
1. Claims Problems
2. Average Speed of Claims Payment or Denial
3. Percent of Claims Denied
4. Current vs. Expected Loss Ratio
5. Claim Integration Practices
4. Product Results, Challenges and Future Trends
A. Product Results
1. 2024 Sales Results
2. Average Participation
3. Persistency/Retention
4. Profitability
5. Average Annual Premium per Employee
6. Typical Policyholder and Account Demographics
7. Takeovers vs. New/Virgin Cases
B. Challenges & Future Trends
1. Product Challenges
2. Current and Future Product Trends