Health Insurance

24 Supplemental Health Insurance Policies These policies are for people who already have health insurance. They pay some of the costs that your main insurance does not cover. They can pay limited benefits such as a daily dollar amount if you are hospitalized, or a set sum dollar amount if you are diagnosed with cancer. Make sure you understand the supplemental policy: • What are the limitations and exclusions? • How does the policy coordinate benefits with your main health insurance? Why is Minimum Essential Coverage Important Any health insurance that includes California’s essential health benefits has minimum essential coverage. If you have minimum essential coverage, you don’t have to pay a tax penalty for being uninsured. See page 6 for more information on health benefits. Some coverage, like limited benefit and discount plans and supplemental health insurance policies do not meet that requirement. If you are shopping for coverage that will be your main source of health coverage, make sure that it meets the minimum essential coverage standard before you buy it. If not, you may pay a penalty.