What is meant by the term "group health insurance"?

The term "group health insurance" refers to a type of health insurance that is provided to a collective group of individuals, usually through their employer or another organization. This arrangement allows for a single policy to cover many individuals, which often results in lower premiums and broader coverage options compared to individual policies.

Typically, employers arrange for group health insurance as an employee benefit, providing access to essential health services for employees and, in many cases, their families. This approach not only helps employees afford healthcare but also incentivizes them to remain with the company, thereby promoting employee retention.

The options regarding individual insurance and family-only coverage do not capture the essence of group dynamics involved in group health insurance. Similarly, the description of insurance covering multiple policies does not relate to the concept of providing coverage to a collective group. Thus, the reference to insurance being provided to a group of individuals, particularly through an employer, is what accurately defines "group health insurance."