With spiraling medical costs, the employees without health insurance coverage will be in total jeopardy. As a result, they will absent from their duties frequently and their working strength will gradually reduce to a low ebb. Considering the above scenario, the employers deems it essential to purchase insurance plans for their employees' health coverage.
To remain competitive with other employers for good employees.
In a dual coverage situation, the insurance that pays first is called the primary insurance.
Primary insurance coverage is what is first used when a medical service is being rendered. This is what will be billed first. Secondary insurance is supposed to cover what the primary insurance does not.
Basic coverage.
Primary life insurance coverage provides a fixed amount of coverage for a specific period of time, while contingent life insurance coverage acts as a backup plan in case the primary coverage is insufficient or unavailable. Primary coverage is typically purchased first and is the main source of protection, while contingent coverage is secondary and only comes into effect under certain circumstances.
== == If secondary insurance denies coverage, YOU get to pay the bill. == ==
Medicare
Absolutely your business could be liable if the person is working for you at the time. Their insurance would be primary but you could be found secondarily liable. You can purchase a coverage called hired and non-owned coverage as an amendment to your business auto or liability insurance which would provide you coverage for this type of incident. The coverage is usually very inexpensive as it is secondary coverage.
Secondary.
Yes, if the secondary insurance plan covers it In the pharmacy (drugs) world of primary and secondary coverage, this is true.
In most cases a secondary insurance would compensate coverage were the primary insurance does not. Exceptions apply to the prescription drug type and coverage limitations.
If you have two insurance policies and one is designated as the primary policy, the primary insurance policy takes precedence over the secondary insurance policy in terms of coverage and payment.