Health insurance plans reimburse insured customers for their medical costs, including treatments, surgeries, hospitalization and the like which emerge from injuries/ diseases, or immediately pay out a specific pre-decided whole to the customer. A health insurance policy offers inclusion for any future medical costs of the clients.
According to the Health Insurance Association of America, health insurance is defined as “coverage that provides for the payments of benefits as a result of sickness or injury. It includes insurance for losses from accident, medical expense, disability, or accidental death and dismemberment”
This is an agreement between the insurance agency and the client where the former agrees to ensure installment/pay for clinical expenses in case the latter is injured/ill in the future, prompting hospitalization. In most cases, insurance agencies have tie-ups with an organization of clinics, thereby ensuring cashless treatment for patients there.