Common Misunderstandings About Indemnity and Fixed Benefit Plans

Fixed indemnity and fixed benefit plans are often misunderstood because they do not work the same way as major medical coverage. Instead of covering a percentage of the bill, these plans typically pay a set dollar amount for specific services based on a benefit schedule. That can be helpful in the right situation, but it is important to understand that the payment may not match the full cost of care. The key is knowing exactly what the plan pays for, what it does not, and how it fits into your overall coverage strategy.