Of all the types of cover, the daily hospital cash benefit looks the most ordinary: the premium is modest and the figures are unremarkable. Yet financial planners give it considerable weight for certain people, because it plugs a gap no other policy can. This article answers why, and how to set the right amount. (The claims process is covered separately in our article on claiming a daily hospital benefit.)
The gap health insurance cannot plug: income lost along with the days in bed
Health insurance pays the treatment cost to the hospital, but nobody pays the wages for the days you spend in a hospital bed. Put it in numbers: a food vendor earning THB 2,000 a day spends ten days in hospital. Insurance meets the treatment costs in full — but THB 20,000 of income simply disappears, while household expenses continue as normal. That is the job of a daily benefit: turning days in hospital into a cash amount you can use freely, like paid sick leave you have bought for yourself.
Who must have it, rather than merely might want it
- Anyone self-employed — freelancers, traders, daily-wage workers, delivery riders. Stopping means zero immediately.
- Small business owners who are the engine of the business. The day the shop closes is the day the income stops.
- Employees with limited sick leave, or whose income comes largely from commission or overtime, which disappears when they stop.
- For salaried employees with full paid sick leave, the need is much lower — putting the same budget into a higher inpatient limit is better value. This is a classic example of cover that is good for some people rather than everyone.
How much per day?
A simple formula: the income you actually lose per day, plus the extra costs per day while in hospital (a companion, travel, supplies), minus anything already paid by someone else, such as sick leave entitlement or social security compensation under its conditions [check the latest information]. For example: a freelancer averaging THB 1,500 a day plus THB 500 a day of extra costs should be looking at around THB 2,000 a day — which may come from one policy or several combined.
A particular strength: you can claim on every policy you hold
Unlike treatment costs, which are reimbursed against the actual bill, a daily benefit is paid per day. If you hold several policies with this cover, you can claim on all of them according to each contract. Ten days in hospital with three policies at THB 1,000 each means THB 3,000 a day, subject to the conditions. This is why some people use it systematically as a way of creating a reserve income while ill. But remember the underlying principle: buy according to genuine need, not to accumulate in the hope of claiming — which is contrary to insurance principles and may fall under conditions insurers now examine more closely.
The limits to know before buying
It counts only stays as a defined inpatient; day treatment does not qualify. There is a maximum number of days per admission and per year, waiting periods and exclusions as with any health rider, and the premium rises with age. Read the benefit table in full, as always [check the conditions in the policy].
In short
A daily hospital benefit is a small piece answering a large question: on the days your body stops working, who pays your wages? For anyone earning by the day it is not an extra but a main pillar. Set the amount from your real income, check the conditions in full, and attach it to your main health set. If you would like to work out the right daily amount for your occupation, message us on LINE any time.
This article was inspired by material from the Thai Financial Planners Association (TFPA) and has been entirely rewritten.