What type of insurance typically covers the cost of prescription medications?

Health insurance is the type of insurance that typically covers the cost of prescription medications. This form of insurance is designed to help individuals manage their healthcare needs, which includes not only hospital visits and medical procedures but also the expenses associated with prescription drugs.

Most health insurance plans include a formulary, which is a list of medications that are covered, often categorizing them based on the cost-sharing level required by the insured. This helps ensure that people can access necessary medications without facing prohibitive costs.

Disability income insurance primarily provides financial support when an individual cannot work due to disability, while life insurance pays out a benefit upon the death of the insured to designated beneficiaries. Homeowners insurance protects against damages to a home and personal property but does not cover healthcare-related expenses. Thus, health insurance is specifically tailored to encompass medical needs, including prescription medications.