Due to the rise in employer-sponsored, high-deductible health plans (HDHPs), consumers are becoming increasingly responsible for larger co-payment and co-insurance amounts and higher plan deductibles. Since the inception of HDHPs in 2004, adoption rates have continued to increase as employers seek to lower their upfront costs and have employees take on a greater share in the cost of coverage. According to the Centers for Disease Control and Prevention (CDC), more than 43 percent of people under the age of 65 with private health insurance were enrolled in a HDHP in the first nine months of 2017, and enrollment has been on a steady increase since 2010.
"The changing healthcare marketplace continues to challenge employers who are looking for efficient and cost-effective benefit solutions for their employees. As a result, rising healthcare and coverage costs are increasingly being borne by consumers," said Chris Howard, Senior Vice President, Affinity Solutions, Chubb North America Accident & Health. "Through Chubb's extensive experience and deep industry knowledge, this Gap Supplement product helps to fill holes in coverage associated with high out-of-pocket deductibles, co-payments and co-insurance expenses – especially those that may be a result of unanticipated medical events."
Howard continued, "With this coverage solution, Chubb enables employers to take advantage of savings associated with HDHPs but still provide some coverage to employees to help offset the burden of potentially significant out-of-pocket expenses."
HDHPs offer lower premiums that are often attractive to consumers; however, the higher co-payments and co-insurance amounts – including a minimum annual deductible – may become an unintended financial burden. Chubb's new Gap Supplement product provides an additional benefit layer in an individual's major medical coverage by covering the co-payment and co-insurance expenses – like those associated with certain hospital, outpatient and doctor's office visits.
To learn more about Chubb's Gap Supplement product, click here.
All products may not be available in all states. This communication contains product summaries only. Coverage is subject to the language of the policies as actually issued.
Chubb Accident & Health is the U.S. marketing division for the Chubb Group of Companies. We partner with our customers, whether large or small, to deliver innovative insurance solutions designed to meet customers' unique needs. Superior underwriting expertise and vast international capabilities enable us to provide customers with a variety of tailored products, from traditional accident and supplemental health insurance for employers and citizens worldwide, to specialty products for niche markets.