Fixed indemnity health insurance is not a major medical insurance plan and, therefore, doesn’t cover the essential health benefits mandated by the Affordable Care Act. This type of insurance works differently than other health insurance plans. It pays a fixed benefit amount for eligible medical expenses. These plans are usually less expensive than Qualified health plans, but they are underwritten and they look at pre-existing conditions. However; these plans can be applied for at any time of the year, not just at open enrollment.