MAPD and the Importance of HIP & CHAS

MAPD and the Importance of HIP & CHAS

How supplemental plans protect you from out-of-pocket surprises.
“A good defense is the best offense.” — Jack Dempsey

You’ve enrolled in a Medicare Advantage (MAPD) plan and love the extra benefits—dental, vision, and even a gym membership. But there’s one part that often gets overlooked: the gaps in coverage when something serious happens—like a hospitalization, cancer diagnosis, heart attack, or stroke.

That’s where HIP (Hospital Indemnity Plans) and CHAS (Cancer, Heart Attack & Stroke Plans) come in. These powerful supplements can help you avoid financial shock during medical emergencies—and give you the protection MAPD plans don’t.

The Hidden Risk in Medicare Advantage Plans

While MAPD plans limit your annual out-of-pocket costs (usually around $3,000–$8,000), many beneficiaries don’t realize how quickly those costs can add up:

• $300–$400 per day for hospital stays

• $20–$50 per specialist visit

• $200–$500+ for outpatient procedures

• 20% coinsurance for chemotherapy or radiation treatments

And remember: your plan’s out-of-pocket maximum resets every calendar year. That means a big health event in December could roll into a second year of expenses in January.

What Is a Hospital Indemnity Plan (HIP)?

A Hospital Indemnity Plan pays cash benefits directly to you when you're admitted to the hospital. It’s designed to offset copays and coinsurance from your MAPD plan—so you’re not caught off guard by unexpected bills.

HIP benefits can help cover:

✅ Daily hospital stay copays
✅ Observation unit charges
✅ Ambulance transportation
✅ Recovery-related expenses at home
✅ Lost wages or caregiver assistance

Plans are affordable, often starting at $1–$3 per day, and benefits can range from $100 to $500 per day or more, depending on what you choose.

What Is a CHAS Plan (Cancer, Heart Attack & Stroke)?

A CHAS Plan provides a lump-sum cash payout (often $10,000–$75,000 or more) upon diagnosis of:

• Cancer

• Heart Attack

• Stroke

You can use this cash for anything: medical bills, travel for treatment, home modifications, or simply taking time off work or caregiving responsibilities.

Given that:

• 1 in 2 men and 1 in 3 women will face cancer in their lifetime

• 1 in 5 heart attacks happen to people under age 65

• The average out-of-pocket cost for cancer treatment exceeds $10,000/year even with insurance...

CHAS is more than a supplement—it’s a financial safety net.

Why MAPD Alone May Not Be Enough

SituationCost With MAPD OnlySolution With HIP/CHAS5-day hospital stay$1,500–$2,000 in copaysHIP pays you $2,500 in cashChemotherapy treatments20% coinsurance on $10,000+CHAS pays lump sum up to $50,000Travel for care or caregiverNot coveredUse CHAS funds however you need

Even if your MAPD plan covers “most” things, there’s a big difference between covered and paid for.

HIP & CHAS: A Powerful One-Two Punch

Together, HIP and CHAS can bridge the most expensive Medicare gaps and provide:

✅ Cash on hand when you need it most
✅ Freedom to choose how to spend benefits
✅ Affordable premiums
✅ Peace of mind that a health event won’t derail your finances

Many KEyO clients add both plans to their Medicare strategy—often for less than the cost of one dinner out per month.

How KEyO Insurance Services Helps You Customize Protection

We don’t stop at enrolling you in a Medicare Advantage plan. At KEyO, we help you build a full safety net—HIP, CHAS, dental, vision, hearing, and more—based on your budget, health history, and risk tolerance.

With Trusted Care. Tailored for You., we make sure your Medicare strategy protects your wallet as well as your well-being.

Final Thought:
Medicare Advantage gets you in the game. HIP and CHAS help you win it—financially and emotionally. Don’t leave your protection incomplete.