What constitutes group health insurance?

Group health insurance is characterized by a health policy that is usually offered by an employer or a group organization to provide coverage for a designated group of people, such as employees and their dependents. This insurance typically allows members of the group to share risks and benefits, creating a more affordable option compared to individual health insurance policies.

The nature of group health insurance involves pooling numerous individuals, which generally leads to lower premiums and broader access to healthcare services. These plans often cover a range of medical expenses including hospital stays, visits to physicians, and preventive services. Additionally, enrollment in group health insurance often does not require medical underwriting, allowing for easier access for all members regardless of individual health status.

The other options describe scenarios that do not align with the characteristics of group health insurance. Individual policyholders, self-employed individuals, and policies with higher premiums target different markets and insurance needs that vary from the collective risk-sharing aspect of group coverage.