Summary
Major players in the hospital daily cash benefit insurance market are Cigna Corporation, AIA Insurance Group, UnitedHealth Group Inc., Allianz SE, Zurich Insurance Group Ltd., Express Scripts Holding Company, AXA, Aviva plc, Aetna Inc., and Apollo Munich Health Insurance.
The global hospital daily cash benefit insurance market is expected to grow from $36.15 billion in 2021 to $41.58 billion in 2022 at a compound annual growth rate (CAGR) of 15%. The Russia-Ukraine war disrupted the chances of global economic recovery from the COVID-19 pandemic, at least in the short term. The war between these two countries has led to economic sanctions on multiple countries, a surge in commodity prices, and supply chain disruptions, causing inflation across goods and services effecting many markets across the globe. The hospital daily cash benefit insurance market is expected to grow to $62.16 billion in 2026 at a CAGR of 10.6%.
The hospital daily cash benefit insurance market consists of sales of hospital daily cash benefit insurance products by entities that are engaged in directly underwriting daily hospital cash plans that provide a lump sum amount in case of hospitalization and this amount can be used as per the liberty of the insured.The insurance industry is categorized on the basis of the business model of the firms present in the industry.
Some insurance firms may offer other services financial or otherwise.Contributions and premiums are set on the basis of actuarial calculations of probable payouts based on risk factors from experience tables and expected investment returns on reserves.
The value of the market is based on the premiums paid by the insured.The market value includes the value of related goods sold by the service provider or included within the service offering.
Only goods and services traded between entities or sold to end consumers are included.
Hospital daily cash benefit insurance pays out cash while you are in the hospital.It does not replace comprehensive or significant medical coverage.
Instead, it is intended to assist you in meeting additional costs that your other insurance may not cover.
North America was the largest region in the hospital daily cash benefit insurance market in 2022.Asia Pacific was the second largest market in hospital daily cash benefit insurance market.
The regions covered in the hospital daily cash benefit insurance market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, and Africa.
The main types of hospital daily cash benefit insurance are a rider, standalone cover, and part of health insurance.The rider refers to the hospital cash rider that provides a fixed benefit to the holder.
The various terms of coverage include lifetime coverage, term insurance.The different benefits included are emergency admission, accidents, medical treatment, and surgery.
The service providers involved are public and private.
Rising out of the pocket health care expenditure is expected to drive the hospital’s daily cash benefit insurance market.Out-of-pocket payments (OOPs) are direct payments made by individuals to healthcare providers at the time of service use.
According to the Centers for Medicare and Medicaid Services (CMS) report on National Health Expenditures 2020, the expenditure grew to $4.1 trillion in 2020 and accounted for a GDP of 19.7%. During hospitalization, out-of-pocket hospital expenses include user fees, medicine, diagnostics, procedure charges, transportation, informal charges, and others that have to be borne by the insured. The hospital’s daily cash benefit insurance provides a certain fixed amount to the insured during their hospital stay, which the person is free to use as per his/her needs. Hence, an increase in out-of-pocket health care expenditure aids in the growth of the hospital’s daily cash benefit insurance market.
The inability to cover the complete medical treatment expenses is anticipated to hinder the hospital’s daily cash benefit insurance market’s growth.A hospital cash plan only provides a daily allowance through hospitalization instead, a health insurance plan provides more comprehensive coverage.
On average, the hospital’s daily cash benefit insurance provides the insured with an amount ranging from $100 to $3000 per day, which is not sufficient for the complete coverage of the treatment, making it a supplement to the health insurance plans. This scenario is likely to act as a hindrance to the growth of the market.
Companies are collaborating with digital payment platforms to provide hospital daily cash benefits to policyholders to provide a simple and hassle-free claim process to policyholders for faster reimbursement.For instance, in July 2020, ICICI Lombard partnered with Phone Pe to offer hospital daily cash benefits to Phone Pe users.
Similarly, in April 2020, Airtel Payments Bank partnered with Bharti AXA General Insurance for providing hospital cash benefit insurance to their customers.
In January 2020, HDFC, an Indian-based provider of housing finance with a presence in banking, life and general insurance, asset management, venture capital, real estate, education, deposits, and educational loans, acquired a majority stake in Apollo Munich health insurance for $334 million.Through this acquisition, Apollo Munich health insurance is renamed HDFC ERGO health insurance to improve customer service experience with a wider range of products and a network of 10000+ cashless hospitals.
Apollo Munich Health Insurance is an India-based company formed by the collaboration between Apollo Hospitals and Munich which offers services such as life, health, accident, and travel insurance.
The countries covered in the hospital daily cash benefit insurance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, and USA.
The market value is defined as the revenues that enterprises gain from goods and/or services sold within the specified market and geography through sales, grants, or donations in terms of currency (in USD ($) unless otherwise specified).
The revenues for specified geography are consumption values – that is, they are revenues generated by organizations in the specified geography within the specified market, irrespective of where they are produced. It does not include revenues from resales either further along the supply chain or as part of other products.
The hospital daily cash benefit research report is one of a series of new reports that provides hospital daily cash benefit statistics, including hospital daily cash benefit industry global market size, regional shares, competitors with hospital daily cash benefit share, detailed hospital daily cash benefit segments, market trends and opportunities, and any further data you may need to thrive in the hospital daily cash benefit industry. This hospital daily cash benefit research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
