A&H Policy ProvisionsQuestion 41 of 315
A hospital indemnity rider pays benefits in what manner?
a.A single lump sum on first diagnosis of any illness
b.A monthly disability income equal to the insured's salary
c.A fixed dollar amount per day of hospital confinement, regardless of actual charges
d.Reimbursement of actual hospital charges after billing
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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Sen Lin, PrepPass Founder · 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)