A&H Policy ProvisionsQuestion 41 of 716
A hospital indemnity rider pays benefits in what manner?
a.A single lump-sum payment made on first diagnosis of any covered illness
b.A monthly disability income equal to the insured's full pre-disability monthly salary
c.A fixed dollar amount per day of hospital confinement, regardless of actual charges
d.Reimbursement of the actual hospital charges shown on the itemized bill after discharge
Explanation
Hospital indemnity coverage pays a stated daily, weekly, or monthly cash amount during a covered hospital stay. The cash is paid to the insured and is not tied to the actual hospital bill.
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PrepPass team · Verified against California Life & Health Insurance License Exam · How we review
Reviewed by John Zihao Zhang — California-Licensed Life Insurance Agent (CA Dept. of Insurance License #4396095 — verify)