Already on ArticleSlash?

Forgot your password? Sign Up

How Does Primary and Secondary Medical Coverage Work in a Travel Insurance Plan?

Steve Dasseos
 


Visitors: 180

Contrary to popular belief Secondary Medical Coverage in a travel insurance plan has a big advantage over a Primary Medical Coverage in a travel insurance plan. Here's how they work:

What Do Primary or Secondary Medical Coverage Mean and How Do They Differ?

Primary Medical Coverage means your medical bills are paid from the first dollar. No “coordination of benefit" claim forms need to be filed.

This works best if the medical claim's less than the coverage amount. That's because even though you had insurance pay for part of the claim, when the Primary benefits are exhausted, your other insurance won't consider any deductibles or co-pays to be satisfied.

For example, here's what happens if you have a $70,000 medical claim with a travel insurance plan that has $50,000 Primary coverage:

1) You submit the $70,000 medical claim to the travel insurance. It pays $50,000 (its maximum)

2) You submit the remaining $20,000 to your medical insurance plan. Let's say it has a $5,000 deductible with a 20% copay.

3) Of the remaining $20,000 your medical insurance plan will pay $12,000 and you will be liable for $8,000.

Secondary Medical Coverage means your medical bills are paid after any other coverage you have pays their share. This means that Secondary coverage will pay any deductibles, out-of-pocket expenses or co-pays up to its coverage limit.

Here's a little detail that's good to know: You probably will have to pay your medical bills yourself while on your trip. That's because travel insurance plans are “indemnification" plans (you will be reimbursed - indemnified) after your trip by the insurance company. Travel insurance is not a “pay on behalf of" plan. You don't just give the medical facility a card. In some cases, a few companies can guarantee payment to the medical facility, but it's on a case-by-case basis.

Steve Dasseos is the CEO of TripInsuranceStore.com , the world's most informative travel insurance comparison website. You can compare reputable travel insurance plans, get person-to-person service & advice. Contact Steve here .

(349)

Article Source:


 
Rate this Article: 
 
Medical Payments Coverage in Auto Insurance Policies
Rated 4 / 5
based on 5 votes
ArticleSlash

Related Articles:

How to Find a Cheap Ohio Health Insurance Plan Ways to Find Low Cost OH Medical .

by: James J. Robinson (July 21, 2008) 
(Insurance/Health)

Difference Between a Primary and Secondary Ticket Broker

by: Jason Kawamoto (August 13, 2008) 
(Arts and Entertainment)

What's Really In Your Wallet? Primary vs Secondary Credit Cards Explained

by: J. Carlton Ford (March 05, 2008) 
(Finance/Credit)

Travel Insurance - Common Travel Insurance Coverage

by: Justin R Hopley (September 17, 2008) 
(Insurance/Travel)

3 Tips for Evaluating Primary and Secondary Sources for Research Papers

by: Vick Condecion (July 19, 2012) 
(Reference and Education/College University)

Medical Malpractice Insurance Coverage: What Are My Options?

by: Maria Palma (February 01, 2011) 
(Insurance/Medical Billing)

It is Very Risky to Go Without Any Medical Or Health Insurance Coverage

by: Festus M Kofe (September 07, 2008) 
(Insurance/Health)

Missouri Health Insurance and Medical Coverage

by: Adam Hyers (June 16, 2008) 
(Insurance/Health)

Oregon Auto Insurance Medical Payments Coverage

by: James J. Robinson (July 15, 2008) 
(Insurance/Car Auto)

Medical Payments Coverage in Auto Insurance Policies

by: James J. Robinson (June 23, 2008) 
(Insurance/Car Auto)