What does 'beneficiary' mean in the context of health insurance?

In the context of health insurance, the term 'beneficiary' specifically refers to an individual who is eligible to receive health coverage as outlined in an insurance policy. This individual benefits from the services and protections that the policy provides, which may include medical care, preventive services, and financial support for healthcare costs. The beneficiary could be the policyholder or another individual designated in the plan, such as family members or dependents.

Understanding this term is crucial, as it delineates who is entitled to the benefits and coverage offered by a health insurance policy. It emphasizes the importance of eligibility and access to services, helping clarify roles within the insurance context.