This insurance is coverage that is Major Medical in terms of hospitalization and surgery, but generally not in terms of outpatient coverage. This coverage can be a very good choice for a healthy client who has a limited budget and wants to cover the “BIG STUFF,” like heart attack or cancer.

Lower premiums
Catastrophic insurance usually has lower premiums but provides top-notch coverage in a hospital or surgical setting, which makes this a potentially attractive choice. Such plans can also convey income tax benefits through health savings accounts.