Hospital indemnity insurance is a supplemental insurance plan designed to pay for the costs of a hospital admission that may not be covered by other insurance. The plan covers employees who are admitted to a hospital or ICU for a covered sickness or injury. And it’s available for companies with as few as two employees.

A welcome financial safety net

Hospital indemnity insurance can be particularly helpful since a majority of Americans don’t have enough savings to cover unplanned medical bills.1 The plan pays cash directly to employees even if they don’t incur any out-of-pocket expenses. The payments can be used for any purpose, including:

  • Medical copays
  • Deductibles
  • Regular expenses, such as food, rent, and utilities

Here’s an illustration of how Guardian Hospital Indemnity Insurance works

Carol goes to the ER for severe abdominal pain and nausea. She has a CT scan that reveals she has gallstones. She is admitted and has emergency surgery to remove her gallbladder. She stays for one night and is released the next day. 

While Carol has medical insurance, she still needs to pay $3,815 of out-of-pocket expenses due to her deductible ($1,500), coinsurance, and other expenses not covered by her plan. Since she has Guardian Hospital Indemnity insurance, her out-of-pocket cost is reduced by 85% to $565.* 

Out-of-Pocket Cost Summary Amount
Carol's Initial Out-of-Pocket Costs $3,815
Guardian Hospital Indemnity Total Benefit Paid to Carol $3,250
Diagnostic Exam (CT) $250
Hospital Admission $1,000
Inpatient Surgery Benefit $2,000
Carol's Net Out-of-Pocket Costs $565
Cost Savings 85%

*For illustrative purposes only. Covered benefits and benefit amounts may vary by employer-sponsored plan. See your plan for specific coverage amounts and details. 

Easy, hassle-free enrollment

Guardian Hospital Indemnity Insurance is guaranteed issue, no health questions asked if an employee elects coverage during the annual open enrollment period. 

  • Guaranteed Issue
    • No Medical Questions
    • No Exams Required

Maximum flexibility for you and your employees

Guardian Hospital Indemnity Insurance can be tailored to complement any current medical or supplemental coverage an employee may have — whether it is from Guardian or not. And customizable plan designs enable you to offer coverage that best meets your employees’ needs.

Guardian Hospital Indemnity Insurance is also designed to meet your budget. You can provide coverage as a voluntary benefit — at no cost to your company — or you can pay for all or a portion of the cost.

We’re here to help you navigate insurance.
Launch tool


Guardian Hospital Indemnity Insurance is underwritten by The Guardian Life Insurance Company of America, New York, NY and will not be effective until approved by a Guardian underwriter. Products are not available in all states. Policy limitations and exclusions apply. Optional riders and/or features may incur additional costs. Plan documents are the final arbiter of coverage. This policy provides limited hospital insurance only. It does not provide basic medical or major medical insurance as defined by the New York State Department of Financial Services. Policy Form # GP-1-HI-15