In a group health benefit plan, the policyholder is considered to be the

• A. Employee
• B. Beneficiary
• C. Employer
• D. Insurer

Answer: (C)

In a group health benefit plan, the contract is issued to the sponsor of the group, typically the employer. The insurer signs a master policy with the employer (the policyholder), who pays the premiums and administers the plan for all covered employees. The people who receive benefits are the employees or their dependents, not the policyholder. The term beneficiary isn’t used to designate the policyholder in this context, and the insurer is the company providing the coverage, not the policyholder. So the employer is the correct policyholder because they hold the contract, control the plan, and handle enrollment and premium payments.