health insurance, coverage
The basic purpose of health insurance is protection. It protects the policyholder and his or her family from a designated catastrophic loss. It’s all about the “law of large numbers.” The health risk identified is transferred to a large group of individuals. The group shares in the financial losses suffered by a few members of the group, reducing the cost to any individual or family.
Gorham, Liz, "Health Insurance: Is Your Child Covered?" (2006). SDSU Extension Extra Archives. 453.