In many countries, the government provides universal healthcare coverage to their citizens. It is free to see a doctor or visit a hospital, or the government may pay differing amounts for certain approved procedures or services. In the United States, many employers pay health insurance premiums as part of the benefits package they offer their employees. However, medical expenses can be prohibitive to self-employed individuals and the unemployed. In 2010, the Obama Administration created the Affordable Care Act to help make healthcare costs more equitable and affordable.

Disability insurance pays policyholders a percentage of their salary if they can no longer work due to illness or injury. Some workers use this financial support when they are on maternity leave, or they suffer from an illness that prevents them from working for a certain time period the policy outlines. Life insurance pays a designated beneficiary a specified amount when the insured person dies, according to the contract. Other events, such as terminal or critical illnesses, can trigger payment.

 

Source: Khan Academy, https://youtu.be/2m-18YW7yf4?si=ZVB-u84sJ2mqkVgu
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