Question

Insurance that is meant to offset medical expenses resulting from a catastrophic illness is called...

a) Medicare
b) Medicaid
c) Catastrophic insurance
d) Long-term care insurance

Answer 1

Catastrophic insurance is designed to cover the medical costs associated with serious illnesses or injuries, distinguishing it from Medicaid and Medicare, which serve low-income individuals and seniors respectively.

Step-by-step explanation:

Insurance that is meant to offset medical expenses resulting from a catastrophic illness is called catastrophic insurance.

This type of insurance is designed to cover extreme medical costs that may occur due to serious illness or injury, ensuring that individuals are not overwhelmed by the financial burden of their healthcare.

While Medicaid is a federal program that provides health insurance to the disabled and low-income Americans, and Medicare is a program that offers insurance primarily to those over 65 years old and to some younger people with disabilities, catastrophic insurance is a separate form of coverage that specifically deals with unexpected, high-cost medical events.