In health insurance, what does "medically necessary" refer to?

The term "medically necessary" is used in health insurance to indicate that a service or procedure is appropriate for diagnosing or treating a medical condition, aligning with accepted standards of medical practice. This definition emphasizes that the treatments provided must be essential for the patient’s health and well-being, based on clinical guidelines and the professional judgment of healthcare providers.

This concept ensures that coverage is focused on necessary interventions that contribute to the patient’s recovery or management of a health condition, rather than on discretionary treatments. Therefore, this aligns perfectly with the answer provided, which highlights the importance of appropriate medical interventions rather than elective or cosmetic procedures, or coverage for conditions that do not meet this criteria.