Supplemental products

The rise in popularity of high-deductible health insurance means more groups are using supplemental insurance to round out their benefits package. Medical helps cover traditional medical expenses, but there can still be a gap. That’s where accident, critical illness, and hospital indemnity coverages from Principal can play a role in filling that gap by providing help with out-of-pocket costs. Supplemental benefits can be an important part of a well-rounded benefits program.

Supplemental benefits can also work together. For example, an accident that requires hospitalization would receive benefits from both an accident policy and a hospital indemnity policy. Or someone hospitalized with a critical illness would receive benefits from both a hospital indemnity policy and a critical illness policy.

Participation requirements

Hospital indemnity coverage can be offered as employer-paid with 100% participation required for non-contributory; and 50% for contributory or 2 enrolled employees, whichever is greater.

Hospital indemnity, accident and critical illness coverage can be offered as employee-paid with a minimum of 10% or 5 enrolled employees, whichever is greater.

Learn more about the Principal supplemental benefits offering:

• Supplemental benefits brochure (PDF) (GP61988LS)
• Multiple product discount flyer (PDF) (GP55972)
• Group benefits employer offering (PDF) (GP59611)
• Supplemental benefits thought capital (PDF) (GP62247)
• Wellness/health screening benefit flyer (PDF) (GP62824)

Accident insurance from Principal is structured differently from other accident policies to make it easier for employees to use. There aren’t any services, tests, or treatments to receive the maximum benefit. We instead pay a higher amount for the injury to help cover other related expenses such as ambulance, medical exams, and post-treatment care.

Employees receive a lump sum benefit based on the covered injuries received. This provides a faster payment with less paperwork, and there’s no guesswork about the benefit amount. Plus, proof of good health is never required.

Here are some examples of common covered injuries:

• Burn
• Concussion
• Dental or eye injury
• Fracture
• Disc, knee cartilage, tendon, ligament, or rotator cuff injury

Learn more about Principal accident coverage:

• Product overview (PDF) (GP61987LS)
• Benefit schedule (PDF) (GP62079)
• Accident benefit examples (PDF) (GP63213)

Critical illness helps employees protect themselves financially when diagnosed with a serious illness. When an insured is diagnosed with a specific critical illness, they receive a lump-sum cash benefit to use any way they choose, such as:

• Medical deductibles and copayments
• Travel cost for medical treatment
• Childcare
• Lost income of spouse or caregiver

Proof of good health is not required to enroll, and employees can take the coverage with them should they leave their current employer with no maximum lifetime benefits. They can also purchase coverage for their spouse.

The following are just some of the illnesses covered through critical illness insurance:

• Alzheimer’s disease
• Benign brain tumor
• Bipolar disorder 1
• Coma
• Heart attack
• Invasive cancer
• Loss of hearing, sight, or speech
• Parkinson’s disease
• Post traumatic stress disorder
• Stroke
• Several childhood conditions

Learn more about Principal critical illness coverage:

• Product overview (PDF) (GP60817LS)
• Product details (PDF) (GP62650)
• Infectious disease benefit flyer (PDF) (GP62823)

With hospital indemnity insurance, employees can focus on recovery and worry less about the cost of hospitalization or treatment. When a covered employee or family member requires hospitalization or treatment related to a sickness or injury, they receive a cash benefit to use any way they choose—regardless of insurance they may have, or actual expenses incurred.

We offer both Health Savings Account (HSA) and non-HSA compatible plans. Our flexible designs offer a wide range of benefits and days payable, allowing employers to design coverages that meets their needs.

Learn more about the Principal hospital indemnity coverage:

• Product details (PDF) (GP63060)
• State approvals (PDF) (GP63006)
• Hospital indemnity benefit examples (PDF) (GP63212)