Cash Benefit Plans
Supplemental Insurance Coverages
Insurance Coverage That Helps Manage Financial Risk of This Random Disease
The Insurance Policy That Pays You Cash In The Event Of A Covered Hospitalization
A Short-Stay Nursing Home Insurance Plan
Cash Benefit Plans, as we like to call them at Equitable, are legally recognized as limited benefit or supplemental insurance coverages. Prime examples in Equitable's portfolio are the CancerCare+ product, the EquiCash hospital indemnity plan and EquiCare®790, our short-stay nursing home policy.
Because Cash Benefit Plans are primarily considered to be supplemental insurance, the benefits these plans pay are most always paid in addition to any other insurance, including Medicare. Most, if not all, individual and group major medical plans "coordinate" benefits with other insurance; even long-term care policies coordinate with Medicare, meaning that if Medicare pays for covered services then the policy will not pay benefits for the same covered services.
Therein is the beauty of Cash Benefit Plans. Unlike Medicare and Medicare Supplement insurance, where benefits are usually assigned to the providers, the benefits from Cash Benefit Plans are not paid to the hospital, the doctor or the nursing home - they are paid directly to the policyowner to use however and for any purpose they see fit. Yes, they can help to reimburse for those deductibles and co-pays not covered by insurance; but Cash Benefits Plans are not designed primarily for that purpose.
Cash Benefit Plans are not substitutes for Medicare Supplement insurance. By law a supplement to a Medicare Advantage plan cannot be offered. Yet, Cash Benefit Plans need not be sold in this way. They stand by themselves as protection against the additional out-of-pocket costs that seniors face in the aftermath of a particular event or condition.