I am 48 and a single mother of two children. I was diagnosed with severe depression. The doctor who diagnosed my depression suggested hospitalization. What would they do to me if I were to admit myself? Is it like an insane asylum? I want very much to "be alive" again, but I cannot find my way out of the darkness. 
— Linda, New York

Your question about hospitalization is a good one, Linda. I am glad that you are not taking the recommendation lightly. It is important to realize that an inpatient psychiatric admission will become a permanent part of your medical history and could influence future insurance rates and access to life and health insurance.
Hospitalization for mental disorders is complicated for many reasons. First, not all hospitals are the same. Many hospitals have psychiatric floors that are typically used to help stabilize patients when they are unable to care for themselves or are experiencing suicidal or homicidal thoughts. In this setting, the patient would likely be seen by a team including a psychiatrist, a psychologist, and a counselor or social worker. They would assess the patient's functioning, evaluate the need for medication or adjustments in medication, and make recommendations upon discharge. The length of stay depends on the severity of the case, hospital policy, and unfortunately, insurance reimbursement.
Other hospitals have programs that are designed for extended inpatient treatment. In these settings, the length of stay is typically designated prior to admission (for example, 28 days) and requires insurance pre-approval or some guarantee of payment. There is typically a pre-admission screening process between the hospital admissions team, you, and your physician to determine the "goodness of fit." In this setting, there is more opportunity to provide psychotherapeutic and pharmaceutical interventions. You would likely receive individual and group therapy on a daily basis, and participate in group activities. Since the stay is longer, psychiatrists would be able to make changes in your medication if needed and have time to monitor its effectiveness. Recommendations and referrals would be provided upon discharge. Finally, hospitalizations are required when a patient is referred forelectroconvulsive therapy (ECT) for intractable depression.