Supplemental insurance(also called critical care insurance), is an insurance that provides additional financial benefits to the policyholder that traditionally fall outside the realm of a typical health insurance policy. This kind of insurance plan pays the insured for benefits such as, hospital and intensive care confinement, major organ transplantation; ambulance costs, and transportation and lodging compensation, as needed during the treatment of a critical illness. If the medical facility is far off from a policyholder's home, often the insurance company will pay a small fee to the policyholder for traveling expenses. Each company's policy varies so it is important to ask questions and read the brochures thoroughly to see what benefits are actually covered in a particular plan.

Anyone that already has a health insurance policy will already have coverage for the medical expenses for a debilitating accident or illness. But the health insurance policy, of course, does not include the various expenses associated with a patient's long-term care. Let's take a closer look to see how a critical care policy would prove to be advantageous to you.

First of all, a critical care policy provides a layer of financial protection beyond the conventional health insurance policy. For instance, when medical bills are mounting due to a serious medical condition, the insurance company releases funds directly to the consumer rather than to the hospital so that he/she is free to pay incoming medical bills or other expenses related to the medical condition. An insured could actually use these funds released to him/her to help pay the mortgage or to buy meals at the hospital. In this way, the supplemental plan bridges the gap between a traditional health insurance policy and actual expenses occurred.

Secondly, unlike a conventional health insurance policy, an individual's "critical care" policy is renewable each year. Therefore, once diagnosed with a condition, such as end-stage renal failure, the insurance company guarantees to renew the individual's policy in spite of the mounting medical bills,at policy renewal time,

To determine if a critical care insurance policy is right for you, take a personal inventory. Is there a history of chronic health problems, such as heart failure, stroke or cancer?. You'll find that that some policies do not include cancer as a covered peril)

Next of all, consider your personal finances. Do you have the discipline to set aside money monthly to cover long-term medical care due to critical illness? And do you have an adequate income to prepare for such an event?

And finally, do your homework before purchasing a policy. Compare the policies to be sure that the premium you will pay covers all your medical and financial needs. Don't forget to factor your age into the equation when settling for a particular policy.