Back to Blog

How to Sell Hospital Indemnity Insurance with Confidence

Aaron Sims teaching how to sell hospital indemnity insurance

How to Sell Hospital Indemnity Insurance with Confidence

Most agents treat hospital indemnity like an afterthought — a “maybe” add-on if there’s time at the end of the appointment.

But the most successful producers don’t treat it like an upsell. They treat it like a non-negotiable layer of protection — and they present it with confidence, not apology.

Here’s how to do exactly that.


Step 1: Frame the Need Before Presenting the Plan

Never start with product. Start with the gap.

“You have great coverage for the hospital’s bills. But what about your bills?”

Draw attention to:

  • High deductibles or cost-sharing in their main plan

  • Non-medical expenses that aren't covered at all

  • The emotional and financial impact of lost work, travel, or emergency costs

Once they see the exposure, you have permission to solve it.


Step 2: Normalize the Recommendation

Use language that assumes smart people choose this — because they do.

Instead of:

“Would you be interested in an optional add-on plan?”

Try:

“Most of my clients add this cash benefit plan alongside their health policy. It covers your out-of-pocket costs from things like hospital stays, ER visits, or ambulance rides.”

That subtle reframing makes it feel standard — not optional.


Step 3: Pair It with Their Specific Plan

Make it real. Tie the benefits directly to the coverage they already selected.

Examples:

  • “Your Medicare Advantage plan charges $325 per day for 5 days. This plan will pay you $325 per day — matching that exactly.”

  • “You’ve got a $7,000 deductible. If something happens, this plan gives you up to $7,000 in cash to offset it.”

  • “You’re self-employed — no PTO, right? If you’re out of work for a week, this puts $1,000 in your account to help.”

Make the math make sense.


Step 4: Present the Premium Confidently

Avoid qualifying the price with phrases like:

  • “It’s only…”

  • “It’s not much…”

  • “You could drop it later if…”

Instead, say:

“For $30/month, you’re protected from thousands in surprise bills.”

“That’s less than one dinner out — to cover a hospital stay.”

Be confident. The benefit justifies the cost.


Step 5: Be Ready for the “Too Good to Be True” Objection

If a client says, “Wait, this just pays me cash?” — they’re not skeptical. They’re intrigued.

Here’s how to answer:

“Yes — it pays you cash when a covered event happens. No networks, no receipts. Because it’s limited in scope — only covering certain events — the insurer can offer high-value benefits at a low cost.”

“Think of it like an accident plan or a life insurance policy. It’s there when you need it, and simple when it pays out.”


Step 6: Bring It Up Every Time

Treat indemnity like you do dental, vision, or prescription coverage. If you don’t mention it, you’re underserving your client.

It’s relevant for:

  • Every HDHP or short-term medical policy

  • Every Medicare Advantage enrollment

  • Every self-employed or uninsured client

  • Every parent or caregiver

“You wouldn’t sell a plan with a $7,000 deductible and not offer a way to offset it.”


Step 7: Follow Up When the Timing Is Right

Some clients won’t bite at first. But they will remember the conversation when something happens.

Follow up during:

  • Renewals

  • Policy anniversaries

  • After they’ve had a health event (or a scare)

“I remember you mentioned that ER bill last year. Let’s make sure that doesn’t happen again.”

That’s how second chances turn into easy closes.


Bottom Line

You don’t need to “sell” hospital indemnity.

You need to present it as a professional obligation — part of a complete, well-built protection strategy.

“If you trust me to protect your health, let me also protect your wallet.”

That’s the message. And it closes.


Ready to Switch?

Learn more about the Ideal Flex Series Hospital Indemnity
Join our Top Agent Shootout and win your spot on the Texas Hog Hunt
Watch the Sales Leadership Webinar with Shawn Buxton for even more strategy

Brokers Fidelity
Phone: 913-374-1550
Email: hello@brokersfidelity.com
Address: 400 S Kansas Ave, Topeka, KS 66603

Follow Us
YouTube | Facebook | LinkedIn | Instagram

Back to Blog
Cookie Settings
This website uses cookies

Cookie Settings

We use cookies to improve user experience. Choose what cookie categories you allow us to use. You can read more about our Cookie Policy by clicking on Cookie Policy below.

These cookies enable strictly necessary cookies for security, language support and verification of identity. These cookies can’t be disabled.

These cookies collect data to remember choices users make to improve and give a better user experience. Disabling can cause some parts of the site to not work properly.

These cookies help us to understand how visitors interact with our website, help us measure and analyze traffic to improve our service.

These cookies help us to better deliver marketing content and customized ads.