A health insurance contract that covers several people related to an employer is known as a?

A health insurance contract that covers several people related to an employer is known as a group contract. This type of contract is designed to provide health insurance benefits to a defined group, typically employees of a company, and often their dependents as well. Group contracts are advantageous because they usually offer lower premiums compared to individual insurance plans, since the risk is spread across a larger pool of individuals.

Moreover, group contracts often come with guaranteed issue provisions, meaning that regardless of individual health status, all members of the group can obtain coverage. This arrangement leads to better access to healthcare for employees and their families, encouraging preventive care and promoting overall employee health.

In contrast, a point-of-service plan typically requires members to choose a primary care provider and may involve a combination of HMO and PPO features. An exclusive provider contract restricts coverage to a specific network of providers, which can limit options for healthcare access. A managed care system encompasses a broader category of health insurance that integrates the delivery and financing of healthcare, but it does not specifically imply a group setting like a group contract does.