Health Insurance


DEFINITION of 'Health Insurance'

A type of insurance coverage that pays for medical and surgical expenses that are incurred by the insured. Health insurance can either reimburse the insured for expenses incurred from illness or injury or pay the care provider directly. Health insurance is often included in employer benefit packages as a means of enticing quality employees.

BREAKING DOWN 'Health Insurance'

The cost of health insurance premiums is deductible to the payer, and benefits received are tax-free. Health insurance has many cousins, such as disability insurance, critical (catastophic) illness insurance and long-term care (LTC) insurance.

  1. Conversion Privilege

    An insurance policy in which the insurer is required to renew ...
  2. Preferred Provider Organization ...

    A type of health insurance arrangement that allows plan participants ...
  3. Group Health Insurance Plan

    An insurance plan that provides healthcare coverage to a select ...
  4. Health Savings Account - HSA

    An account created for individuals who are covered under high-deductible ...
  5. Long-Term Care (LTC) Insurance

    Coverage that provides nursing-home care, home-health care, personal ...
  6. Disability-Income (DI) Insurance

    An insurance product that provides supplementary income in the ...
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