What is individual insurance?

Individual insurance is coverage purchased for one person or household rather than through a group such as an employer. Group plans pool members under a single contract, while an individual policy is underwritten and priced for the applicant alone, so personal factors like age and health directly affect the premium. In property and casualty insurance, the individual-market equivalent is personal lines, defined by the NAIC model act as coverage sold to individuals and families for primarily noncommercial purposes.