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.
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 illness insurance and long-term care (LTC) insurance.