DISABILITY INSURANCE:

The expenses of illness and accident and even income may be insured by a combination of

•  hospitalization insurance

•  major medical expense insurance

•  accident

•  health insurance

•  income insurance

MAJOR MEDICAL EXPENSE INSURANCE:

May be planned to apply at the point where basic hospitalization insurance ends. A selected limit of, for example, $1 million, $2 million, or even unlimited, is subject to a deductible of, for example, $500. The insurer generally pays a percentage of costs between the deductible and the maximum aggregate, such as 80%.

HOSPITALIZATION INSURANCE:

Provides indemnity for room and board, general hospital expenses and surgical operation expense for clearly stated limits. Limits vary according to premium paid. Policies may be written for individuals or entire families. Group plans arranged by businesses for employees are similar in scope.

DISABILITY INCOME INSURANCE:

Accident and sickness insurance, not to be confused with hospitalization insurance, is usually available only to those working for an earned income. It provides monthly income for disability resulting from accident or sickness.

HEALTH INSURANCE:

Group plans, sponsored by the employer or organization for the benefit of employees or members, are widely available as an important fringe benefit. Individual policies may be arranged when appropriate. Premiums for this coverage are paid in whole or in part by the employer. The employer may not discriminate in offering coverage to employees. All must be offered the coverage. Employees may elect to add family members, at an additional cost, most often paid by the employee.