Group Health Insurance Plan


DEFINITION of 'Group Health Insurance Plan'

An insurance plan that provides healthcare coverage to a select group of people. Group health insurance plans are one of the major benefits offered by many employers. These plans are generally uniform in nature, offering the same benefits to all employees or members of the group.

BREAKING DOWN 'Group Health Insurance Plan'

Group health insurance plans usually cost less for participants than individual plans that offer the same benefits. This is because the risk is spread over the entire group, rather than one person. If the cost of premiums is borne by the insurer, then they are fully deductible, while any benefit received by group members is tax free.

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  3. Capitation Payments

    Payments agreed upon in a capitation contract by a health insurance ...
  4. Preferred Provider Organization ...

    A type of health insurance arrangement that allows plan participants ...
  5. Group Term Life Insurance

    A type of insurance coverage offered to a group of people. This ...
  6. Long-Term Care (LTC) Insurance

    Coverage that provides nursing-home care, home-health care, personal ...
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