While your consumers may typically have insurance coverage in some areas, they often may not have enough coverage to help safeguard their finances. As a financial institution, offering solutions for this can help your consumers—and improve loyalty. Two products that help fill these gaps are Hospital Accident Plan (HAP) and Recuperative Care (Recup) insurance.

What Are HAP and Recup?

HAP insurance provides cash benefits to the insured if they are hospitalized for a covered accident. These cash benefits can be used to pay for cost-of-living expenses, costs not covered by health insurance including deductibles and out-of-pocket expenses, and more.

In the event of a covered accident, HAP insurance pays each day the insured is in the hospital or ICU and when they go to the emergency room. Sickness and infection are not included in this type of insurance and the terms of coverage vary based on the carrier, state of issue, and other factors.

The best part about HAP is that it’s guaranteed issue, so your consumers don’t have to pass any medical exams to get coverage. By offering this to your consumers, you can help protect the insured, their spouse, and their children depending on what level of coverage they choose.


Recuperative Care insurance has many similarities to HAP but a few key differences.

Unlike HAP, Recup covers accidents and sickness. Recup offers simple coverage that pays cash after an accident or illness to help offset recuperation costs. Recup does not exclude pre-existing conditions, which is an important distinction for your consumers.

When your consumers elect to enroll in coverage, they will have choices of coverage types to include themselves, their spouse, and their eligible dependent children.

Suppose the insured has an accident or develops an illness that requires recuperation that makes it impossible for them to work. In that case, Recuperative Care insurance can help cover lost wages and day-to-day expenses.

Recup coverage also varies by carrier, state, and various other factors.

Combining HAP and Recup

Does it ever make sense for your consumers to combine both products?

Since HAP offers coverage during the time of hospitalization, and Recup offers coverage after hospitalization due to an illness or injury that leads to a need for recuperation, these products complement each other well for covered injuries.

After the unprecedented times the world faced during 2020-2022, we all saw the need to prepare for the unexpected, including hospitalization and the time that could be required for recuperation.

Why Should You Offer HAP and Recup?

The Federal Reserve reported recently that 4 out of 10 adults would need to either borrow or sell something or would otherwise be unable to pay if faced with a $400 emergency expense.*

HAP and Recup can help provide consumers with peace of mind, especially in situations where their other insurance coverage may have gaps.

Offering HAP and Recup, either together or separately, not only serves your consumers but also helps improve your relationship with them. Addressing all of their financial needs, including offering supplemental insurance coverage, helps to improve your value to them.

How Much Insurance Is Too Much?

Are you wondering if adding HAP and Recup to your current insurance offerings is too much? Is it bad to have too many offerings, or does insurance fall into the category of “the more, the merrier?”

Consider your consumers. They are all different.

As a financial institution, your consumers cover a wide range of demographics, needs, and lifestyles. You want to make sure all your consumers feel their needs are anticipated even though they come from a wide range of backgrounds, ages, medical histories, and financial situations.

This is difficult if your insurance offerings are meager or don’t cover what each consumer needs. Since one product cannot be everything to everyone, your consumers will each require a different product suite to ensure they are as financially well as possible.

Offering multiple insurance products allows them to choose the ones that are the right fit for them. Plus, when utilizing personalized marketing, they will only receive offers for products that fit them well based on multiple data sources, data models, and expert analysis.

Franklin Madison Helps You Help Consumers

Offering HAP and Recup through a turnkey third-party administrator, like Franklin Madison, means that providing more products doesn’t add more work for you. Franklin Madison handles all marketing, administration, and claims assistance. You get to provide your consumers with the financial wellness they crave without creating an additional workload for your staff.

With high-quality products like HAP and Recup, plus data-driven marketing, over 50 years of industry experience, and customer experience experts, we help your institution build a full-scale insurance marketing program that serves your consumers and improves your revenue.