What are the Different Kinds of Reimbursement Services?

Reimbursement services provide funds for unforeseen expenses, such as medical and health care costs, vehicle repairs, credit card fraud, or even education. There are many different kinds of reimbursement services and programs to cover this wide field, from large third-party corporations to benefit programs at small companies. Participating in reimbursement service plans can help ensure that funds are available when needed.

Medical reimbursement services make up a large part of all reimbursement plans. These programs help people pay for out-of-pocket medical care and related expenses, such as medication. Some businesses offer medical reimbursement services to employees, which allow workers to set aside a portion of income in an account that can be tapped for medical or dependent medical care. Many of these programs use pre-tax deposits, so that the fund can grow more efficiently for the employee.

Some medical reimbursement services, such as Medicare, help elderly or low-income citizens pay for medical costs with government assistance. Doctors and hospitals that accept government reimbursement typically must agree to charge far less for services to people on the program, and the patient may be responsible for only a small portion of the total expense. In these programs, the reimbursement goes to the doctor or medical office for services, rather than to the patient.

Some car insurance plans offer reimbursement if a car is damaged and must have repairs. In order to get repairs, the owner must generally pay a garage out of pocket for the work. Some insurance companies may send the qualifying reimbursements directly to the owner, or may submit them to the garage and have the garage refund the owner. In some cases, insurance companies will also provide reimbursement services for car rental costs during repairs.

Banks and financial organizations may offer reimbursement services to customers who are victims of identity theft or credit card fraud. It is important to examine the fine print on reimbursement services, to find out exactly what is offered. While some companies offer a guaranteed return of all funds on any unauthorized charges, others may require extensive verification that the purchases were in fact fraudulent, and may refuse to reimburse a customer on the grounds that he or she was negligent with account information. Since being a victim of account fraud can destroy finances and credit rating, finding an institution that offers excellent reimbursement coverage can be vital to financial health.

Businesses may offer reimbursement services to employees for a variety of reasons, including office-based expenses made out of pocket. If an employee has to pay for supplies out of pocket, it is normally policy to reimburse that money. Additionally, employees that must travel or take classes as a part of the job may be able to submit receipts for hotel stays, plane tickets, car mileage, books, and tuition, for company reimbursement. If a job opportunity includes regular travel, it is important to discuss reimbursement with employers during the interview process.