The Secondary Insurance Coverage Plan

When it comes to insurance, the term coordination of benefits is the health insurance world’s way of trying to ensure a patient does not receive multiple coverage on the same claim from more than one insurance policy. Such as the case of two adults who are both employed full time and carry full benefits such as health insurance. When two or more health insurance policies cover the employee and their dependents, then the coordination of benefits kicks in. This simply means that one insurance policy becomes the primary plan while the other policy becomes the secondary insurance coverage plan.
Coordination of benefits is the way that health insurance companies ensure that overpayment does not happen and therefore clients cannot profit from double insurance policy coverage on one claim. This double coverage can benefit the client greatly without overpayment in that if two spouses both have employment health insurance and one is injured and needs medical care, their own employment policy will be declared the primary. The spouse’s insurance policy will then be the secondary one. Coordination of benefits means that any medical expenses not covered by the primary plan will be covered by the secondary plan, including all out of pocket expenses.
This coordination of benefits allows for doubly insured clients to enjoy the benefits of having every single medical expense paid for yet prevents the consumers from going above and beyond the total cost of the medical needs. Double coverage health insurance is a great asset to have in the event of an illness or injury. It will save the consumer all out of pocket expenses and enable him or her to recuperate without concern for the coverage of the medical bills. This situation is certainly great peace of mind for both the injured or ill party and their family members.
Adequate coverage is so important to have in order to protect the family from financial ruin in the event of a serious illness or injury. Coordination of benefits is a nice thing to need because it means the client has double insurance coverage from both a primary and a secondary medical insurance plan. Not having to pay for any out of pocket expenses is certainly a plus in this day and age of the ever rising costs of medical care. From prescription drugs to medical procedures, the costs seem to rise daily. Double coverage needing coordination of benefits is certainly a plus for anyone.

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