No matter how large of an employer you are, creating a benefits plan can be tricky—especially when it comes to insurance. There are so many types to choose from, each promising different benefits for what seems like overlapping coverage, and it can become cumbersome. Fast.
But understanding the basics makes the process more efficient and effective. Knowing the difference between health insurance and supplemental insurance will help you do just that.
What does health insurance cover?
Health insurance is a type of insurance coverage that helps pay for health and medical expenses. Typically, health insurance has a variety of benefits. It can protect the insured from paying unexpected and expensive medical bills. It can also cover essential health benefits, like annual physicals and most plans may also provide free preventative care, like vaccines and screenings.1
For many employers, offering health insurance isn’t optional. As of 2014, employers with 50 or more full-time equivalent employees are required to offer health insurance in accordance with the Affordable Care Act.2
What is supplemental insurance and what does it help cover?
In contrast, supplemental insurance is exactly what its name implies—supplemental. And what is it supplementing? Health insurance ... plus dental, vision and any other insurance you can think of. If health insurance is the steak and potatoes, supplemental insurance is the wine and dinner rolls—not the core of the meal, but offerings that enhance it and help it feel more complete. Depending on the specific plan, supplemental insurance can help you close the gap between what health insurance covers and what you’re responsible for paying out-of-pocket. And unlike health insurance, some types of supplemental insurance can also help with expenses that aren’t directly related to medical care. Paying benefits directly to the insured (unless assigned otherwise) to use as they see fit, Aflac’s supplemental insurance can help people cover expenses such as transportation to and from treatments, lodging and other nonmedical expenses incurred because of the need for care.
Health insurance has its limits—and supplemental insurance helps you level up
Despite its name, health insurance was never designed to cover everything about your health. That’s why there’s dental insurance. And vision insurance.
Enter supplemental insurance.
It’s not trying to replace health insurance. And it’s not trying to step in for dental and vision coverage either. Instead, it’s a booster for your employees’ existing coverage, helping fill in gaps where their other forms of insurance may leave them vulnerable. Supplemental coverage can give people more robust protection than what health insurance gives alone.
And it’s not just your employees who have additional protection with supplemental insurance. In a recent survey of 1,200 business decision-makers such as yourself, 77% said that offering supplemental insurance helps them recruit employees, and 80% said it helps them retain employees.3
Some things just go together—hands and gloves, pen and paper, burgers and fries. Health insurance and supplemental insurance are one of those combos.
Want to level up your employees’ protection? Check out Aflac’s supplemental insuranceproducts — then contact your Aflac benefits advisor or visit Aflac.com/business.
Offer Aflac to your employees.
Companies choose to make Aflac policies available to increase benefits options without impacting their bottom line.
FAQs
Supplemental insurance can complement a variety of health insurance plans by providing specific coverage for accident, cancer, critical illness, hospital, short-term disability, dental, and vision. We can help provide support in one or multiple of these areas.
What does supplemental insurance cover? ›
There are many different types of supplemental health insurance, including vision, dental, hospital, accident, disability, long-term care, and Medicare supplemental plans. There are also supplemental health insurance plans for specific conditions, such as cancer, stroke, or kidney failure.
What does Aflac not cover? ›
We will not pay benefits for confinement to an observation unit, or for emergency room treatment or outpatient treatment.
What will Aflac pay me for? ›
Aflac can help pay for ambulance trips, physical therapy, CT Scans, MRIs, confinement, blood transfusions, and medical appliances.
Does Aflac pay for pre existing conditions? ›
Disability caused by a Pre-existing Condition or reinjuries to a Pre-existing Condition will not be covered unless it begins more than 12 months after the Effective Date of coverage.
Are supplemental insurance policies worth it? ›
For many, supplemental health coverage can be a cost-effective way to help with out-of-pocket costs. Here are a few of the advantages to supplemental health insurance plans: They typically come with affordable monthly premiums. They can offer financial support when you experience unexpected medical situations.
What is better than Aflac? ›
The best overall Aflac Incorporated alternative is Lumity Benefits Solution. Other similar apps like Aflac Incorporated are Insperity, Deloitte Consulting, ADP Comprehensive Services, and Zenefits Services.
Does Aflac qualify as health insurance? ›
Aflac policies are considered HIPAA excepted benefits because they are not major medical health insurance. This means they're offered separately from major medical coverage and are not an integral part of an individual's health plan.
Is Aflac accident advantage worth it? ›
Accident insurance works alongside your primary medical plan to help minimize those out-of-pocket expenses. This is one of the many reasons supplemental accident insurance is worth it. It's important to note that Aflac offers both payroll-deducted and personal accident insurance.
What illnesses are covered by Aflac? ›
The Aflac Group Critical Illness plan benefits include:
- • Critical Illness Benefit payable for:
- – Cancer.
- – Heart Attack (Myocardial Infarction)
- – Stroke.
- – Kidney Failure (End-Stage Renal Failure)
- – Major Organ Transplant.
- – Bone Marrow Transplant (Stem Cell Transplant)
- – Sudden Cardiac Arrest.
If you own an Aflac policy, your cash benefits can be used to help pay your deductible and any leftover medical bills, the mortgage or rent, utilities or other expenses you may have.
How much does Aflac pay for an MRI? ›
MAJOR DIAGNOSTIC AND IMAGING EXAMS BENEFIT: Aflac will pay $200 when a Covered Person requires one of the following exams for Injuries sustained in a covered accident and a charge is incurred: computerized tomography (CT scan), computerized axial tomography (CAT), magnetic resonance imaging (MRI), or ...
How much does Aflac pay for a wellness visit? ›
Each calendar year (Jan-Dec), you and your covered dependents have access to a $50 payout for having any of these tests—you just need to submit a claim.
How much will Aflac pay for outpatient surgery? ›
Surgical Benefit Aflac will pay $100–$2,000 when a covered person has surgery performed for a covered sickness in a hospital or ambulatory surgical center based upon the Schedule of Operations in the policy.
Does Aflac pay for Dr. visits? ›
Pays $25 for visits (including telemedicine) to a physician, psychologist or urgent care center. Limited to 3 visits per calendar year, per policy. Limited to 6 visits per calendar year, per policy. Laboratory test and X-ray benefit Pays $35; limited to 2 payments per covered person, per calendar year.
What does supplemental mean in an insurance claim? ›
A supplemental claim adds the newly found damage or additional cost to the original claim. The insurance company may send out an adjuster to review the new damage or tell you to document it with pictures and video on your own, but you should not repair the damage until it has been documented.
Is Aflac dental worth it? ›
Dental insurance is worth it if you are looking for additional support for minor and major dental procedures. With an Aflac dental insurance plan, the costs of cleanings, crowns, bridges, and implants can be significantly minimized. For some of our basic and preventative services, there is little to no waiting period.
What's the difference between disability insurance and supplemental insurance? ›
The main difference between Supplemental Security Income (SSI) and Social Security Disability Insurance (SSDI) is that SSI is an entitlement program with no work-related requirements, whereas SSDI is an earned benefit that has work requirements to qualify. Both programs pay monthly benefits to people with disabilities.
