What type of insurance covers catastrophic or prolonged illnesses and injuries?

Major medical insurance is designed to provide coverage for high-cost medical expenses resulting from catastrophic or prolonged illnesses and injuries. This type of insurance typically has a high deductible and covers a significant portion of the medical costs after that deductible has been met. It is specifically structured to help protect individuals from the financial burden of serious health issues that require extensive medical treatment, hospital stays, or long-term care.

This type of insurance stands out because it provides benefits for a wide range of services, including hospital care, surgery, and specialized treatments, which can be crucial during severe health crises. It typically includes provisions for ongoing care, rehabilitation, and other necessary services that can arise from serious conditions, aligning with the needs of individuals who might face significant medical expenses over time.

Other options describe different aspects of health insurance but do not focus specifically on the coverage for catastrophic or long-term illnesses. Coinsurance refers to the sharing of costs between the insurer and the insured after the deductible is met, and it does not describe a specific insurance type. A single-payer plan refers to a system where a single public or quasi-public agency handles health care financing, while universal health insurance ensures that all individuals have access to health care but does not specifically focus on the coverage levels for catastrophic events.