Which type of insurer primarily reimburses its insureds for covered medical expenses?

The correct answer focuses on commercial insurers, which are entities that provide insurance coverage and take on the financial risk of insuring individuals or entities against specified losses. In the context of reimbursing insureds for covered medical expenses, commercial insurers play a primary role. They typically offer various health insurance plans that cover medical costs, including hospital stays, surgeries, preventive care, and other healthcare services.

Commercial insurers operate on a risk-pooling model, where they collect premiums from a large number of policyholders and use those funds to pay for medical claims. This system allows them to reimburse insured individuals for their medical expenses, thus providing a financial safety net for unexpected health issues.

The other options represent different types of health coverage models that focus on preventive care or are structured differently. For instance, self-insured plans usually involve employers taking on the risk of healthcare costs themselves, rather than transferring that risk to an insurer. Health Maintenance Organizations (HMOs) typically focus on providing care through a network of providers and might not operate primarily on a reimbursement basis for insured expenses. Captive insurers are formed by a parent company to insure its own risks, rather than directly reimbursing a broad base of insureds for medical expenses. Therefore, the role of commercial insurers in reimbursing