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