Which of the following describes a key characteristic of group insurance plans?

Question: Which of the following describes a key characteristic of group insurance plans?

Answer options: ✅ The insurance coverage is typically offered to a group of individuals under a single master policy.

• Each individual within the group receives a separate, individually underwritten policy.
• Premiums are usually higher than for individual insurance policies due to administrative overhead.
• Proof of good health is generally required from every group member, regardless of group size.

Correct answer: The insurance coverage is typically offered to a group of individuals under a single master policy.

Explanation: Group insurance is characterized by a single master policy issued to a policyholder (e.g., an employer) covering multiple individuals. This streamlines administration and often allows for lower premiums and less individual underwriting.