Health Service Agreement
Updated: 06 January 2025
What Does Health Service Agreement Mean?
A health services agreement is a contract between an employer and a health insurance company. It outlines the details of the health insurance plan that the employer will purchase from the insurer to provide coverage for eligible employees.
Insuranceopedia Explains Health Service Agreement
A health services agreement typically includes details such as enrollment, eligibility, and benefits. Companies often prioritize obtaining a good health insurance plan, as it helps attract prospective employees. As a result, ensuring that the health services agreement includes strong benefits is considered crucial for many employers. A health plan with inadequate benefits can deter employees, which is highly undesirable for companies seeking to offer competitive health plans.
