Ancillary Benefits

AAA

DEFINITION of 'Ancillary Benefits'

A secondary type of health insurance coverage that covers miscellaneous medical expenses that are incurred during a stay at the hospital. Ancillary benefits can cover expenses such as ambulance transportation, blood, drugs and medical supplies like bandages. These benefits are usually layered on top of major medical coverage.

INVESTOPEDIA EXPLAINS 'Ancillary Benefits'

Ancillary benefits are offered to cover those expenses which many neglect to factor into the cost of healthcare. They are usually quoted as a multiplier of daily benefits provided by the hospital. For example, an ancillary policy may cover 20-times this daily benefit.

RELATED TERMS
  1. Dependent Care Benefits

    Benefits provided by an employer to an employee for use in caring ...
  2. Insurance

    A contract (policy) in which an individual or entity receives ...
  3. Portable Benefits

    Benefits that have been paid into or accrued in an employer-sponsored ...
  4. Health Insurance

    A type of insurance coverage that pays for medical and surgical ...
  5. Employee Benefits Security Administration ...

    A division of the Department of Labor (DOL) charged with enforcing ...
  6. Risk Financing

    The determination of how an organization will pay for loss events ...
RELATED FAQS
  1. What is an endorsement in blank on a bill of lading?

    A blank endorsement on a bill of lading is an indication that there is no specified recipient of the endorsed bill. A bill ... Read Full Answer >>
Related Articles
  1. Retirement

    Job Hunting: Higher Pay Vs. Better Benefits

    Focusing on salary may be a mistake. Find out which benefits have the highest long-run payoff.
  2. Home & Auto

    Selecting The Right Mix Of Insurance Benefits

    Choosing employee benefits involves weighing the probability you will need them against taxes and cost.
  3. Options & Futures

    Benefit Issues When Your Employer Goes Bankrupt

    There are some safeguards in place to ensure that health benefits don't just disappear when a plan is canceled.
  4. Personal Finance

    Employee Benefits: How To Know What To Choose

    Starting a new job is stressful but you don't need to sweat about setting up a benefits package.
  5. Professionals

    How Advisors Can Help Clients with Dementia

    Advisors may be called on to monitor and react to changes in their clients' mental acuity. Here's what to consider.
  6. Professionals

    Helping Clients Choose Long-Term Care Insurance

    The need for long-term care has become an inescapable (and pricey) issue for retirees. Here's what financial advisors can do to help.
  7. Stock Analysis

    3 Things That Could Hold Intuitive Surgical Back

    Taking a long-term view that favors Intuitive Surgical developer increasing in value, doesn't mean that there are near-term headwinds facing this company.
  8. Retirement

    Healthcare: What Are You Really Paying For?

    Long-term care costs rise fast and long-term care providers bundle services together, making it tougher for families to understand what they are paying for
  9. Retirement

    4 Myths You Don’t Know About Medicare

    Here are four common misconceptions about Medicare, the federal government’s health insurance program for people who are 65 and older or disabled.
  10. Budgeting

    4 Secrets You Should Know When Buying Groceries

    With a little foresight, every consumer can find ways to eat healthier without spending much money.

You May Also Like

Hot Definitions
  1. Income Effect

    In the context of economic theory, the income effect is the change in an individual's or economy's income and how that change ...
  2. Price-To-Sales Ratio - PSR

    A valuation ratio that compares a company’s stock price to its revenues. The price-to-sales ratio is an indicator of the ...
  3. Hurdle Rate

    The minimum rate of return on a project or investment required by a manager or investor. In order to compensate for risk, ...
  4. Market Value

    The price an asset would fetch in the marketplace. Market value is also commonly used to refer to the market capitalization ...
  5. Preference Shares

    Company stock with dividends that are paid to shareholders before common stock dividends are paid out. In the event of a ...
  6. Accrued Interest

    1. A term used to describe an accrual accounting method when interest that is either payable or receivable has been recognized, ...
Trading Center