Vision Care Insurance

AAA

DEFINITION of 'Vision Care Insurance'

A financial protection plan that requires the policyholder to pay a monthly fee in exchange for reduced-cost fees on some eye health and vision correction services and products. Vision care insurance will often cover routine eye health expenses such as eye exams, contact lens fittings, contact lenses and eyeglass lenses and frames and may provide a discount on LASIK procedures. The plan may cover the cost of these items in full, up to a preset limit, or may require the policyholder to pay a flat fee or percentage fee to share the expense with the insurer.

INVESTOPEDIA EXPLAINS 'Vision Care Insurance'

Vision care insurance tends to be inexpensive compared to other types of insurance, because many of the covered costs are predictable and expensive claims are rare. In fact, it more closely resembles a discount plan than a true insurance plan, because insurance is meant to protect against unforeseen and potentially catastrophic expenses.


Although vision care insurance is inexpensive, it may not be a good deal for the consumer if the costs of premiums and copayments under the plan are higher compared to the costs of paying for vision care expenses out of pocket. Eye diseases, which are unpredictable and can be expensive to treat, will generally be covered by health insurance, not by vision care insurance.

RELATED TERMS
  1. Accident And Health Benefits

    Fringe benefits provided to employees for sickness, accidental ...
  2. Health Savings Account - HSA

    An account created for individuals who are covered under high-deductible ...
  3. Catastrophic Illness Insurance

    A type of insurance that protects the insured, in the event of ...
  4. Portable Benefits

    Benefits that have been paid into or accrued in an employer-sponsored ...
  5. Health Insurance

    A type of insurance coverage that pays for medical and surgical ...
  6. Member Month

    The number of individuals participating in an insurance plan ...
Related Articles
  1. Home & Auto

    Health Insurance: Paying For Pre-Existing ...

  2. Insurance

    Get Sale Prices On Healthcare With Discount ...

  3. Insurance

    Buying Private Health Insurance

  4. Home & Auto

    Selecting The Right Mix Of Insurance ...

Hot Definitions
  1. Capitulation

    When investors give up any previous gains in stock price by selling equities in an effort to get out of the market and into ...
  2. Turkey

    Slang for an investment that yields disappointing results or turns out worse than expected. Failed business deals, securities ...
  3. Conduit Issuer

    An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects ...
  4. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  5. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  6. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
Trading Center