A blanket health insurance policy under California Insurance Code Section 10270.2 is a policy that:
Select an option to reveal the answer and the full 3-part explanation — free, no signup.
Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
A blanket policy covers a designated class or group of persons who are not individually identified or named in the policy, such as students, campers, athletic teams, employees, or passengers on common carriers. Each covered person is protected while he or she belongs to the class, and no individual certificates are issued to the members. California codifies this delivery form in Insurance Code Section 10270.2. The absence of individual identification and the group-oriented nature of the coverage distinguish a blanket policy from an individual medical expense policy and from a master group policy, which typically issues certificates to named covered persons.
Why the other options are wrong
- B) A policy that names one individual is an individual medical expense policy, not a blanket policy. By definition, blanket coverage protects an unnamed class of persons who are not individually identified.
- C) Blanket policies do not convert to individual coverage when a member leaves the class. They cover persons only while they belong to the covered group, such as while enrolled in school or on the team.
- D) Blanket policies cover medical care, hospital, and surgical benefits, not just accidental death and dismemberment. The defining feature is the unnamed class of insureds, not the type of benefit.
Memory hook
Blanket = nobody named, everybody covered while in the group — think campers and teams.