Health care reform
Health care reform eliminated the annual and lifetime maximums for many benefits and the rescissions of coverage* that often meant medical bills of $100,000 or more for those who survived cancer or other serious illness. But the law does allow co-pays, co-insurance and deductibles that can really add up. The popular High Deductible Health Plan with Health Savings Account allows out-of-pocket maximums of $3,100 to $6,250 — amounts still out of reach for many people.
In fact, half of households surveyed during the recession say they would have difficulty raising $2,000 in 30 days — even if they needed it to pay for medical care for a serious illness.5 And there are other expenses during treatment that major medical insurance doesn’t cover, such as:
Critical illness insurance can help. If an employee is diagnosed with a covered illness or condition, it pays a lump sum directly to the employee. There’s no need for individuals to collect and submit receipts, which can be very difficult during such a trying time.
This coverage works well with a high-deductible health plan, providing an essential financial safety net for employees.
All other states
* Under the law, coverage can only be rescinded in cases of fraud.