What is Secondary Insurance?

Secondary insurance is a form of insurance that supplements primary insurance, Secondary insurance is a specific type of insurance that covers risks that primary insurance does not cover.

Secondary insurance is insurance that covers losses that are not covered by primary insurance.

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What is the difference between primary and secondary insurance?

Primary insurance is insurance that a company must purchase by law. Examples of primary insurance include auto, commercial, and workers’ compensation insurance.

Secondary insurance is a type of insurance that is purchased to cover losses that are not covered by primary insurance. When a business purchases commercial insurance, it typically covers losses related to property. However, those losses could be caused by an act of God, a natural disaster, or human error. By purchasing secondary insurance, the company would purchase insurance that covers these types of losses.

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What are the benefits of secondary insurance?

• if you have a high deductible on your primary insurance plan, secondary insurance can help cover some of the costs that you would otherwise have to pay out-of-pocket.
• if you have a condition that is not covered by your primary insurance plan, secondary insurance can help cover the costs of treatment. 
• if you have a pre-existing condition, secondary insurance can help cover the costs of treatment that your primary insurance plan may not cover.

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