What does a health insurance policy primarily cover?

A health insurance policy is specifically designed to cover medical expenses incurred due to illness or injury. This includes a wide range of costs such as hospital stays, surgeries, outpatient care, preventive services, and sometimes prescription medications. The primary goal of health insurance is to enable individuals to access necessary medical services without facing overwhelming financial burdens.

Health insurance focuses on the costs associated with healthcare rather than property-related issues, which would fall under different types of insurance, such as homeowners or auto insurance. It also does not cover general life events, which are more appropriately addressed by life insurance policies, and it does not include automotive-related expenses, as those are managed through automobile insurance. Thus, the coverage of medical expenses due to illness or injury is the fundamental aspect that distinguishes health insurance from other forms of insurance.