What Differentiates Health Insurance From Other Types Of Insurance? 
Health insurance is associated with managing the financial risk presented by the possibility that a person and/or their dependents will become ill or suffer an accident requiring medical services . In contrast , your auto or homeowners insurance protects against the risk of damage or destruction of your personal property and against potential legal liability for accidents or injuries associated with your property . Disability insurance protects your income stream against the possibility that a disabling event reduces or eliminates your ability to earn an income . Life Insurance provides financial resources to the insured person 's beneficiaries to cover funeral expenses , pay off debts and perhaps to leave a inheritance to their beneficiaries . Essentially , we are faced with a variety of risks in our lives and there are specific types of insurance coverage designed to help people manage these risks . 