A policyholder is an individual or entity that owns an insurance policy. This person or organization pays premiums to an insurance company in exchange for coverage against specific risks, such as accidents, health issues, or property damage. The policyholder is entitled to benefits outlined in the policy, which can provide financial protection in times of need. In the event of a claim, the policyholder can request compensation or services as specified in the policy terms. The relationship between the policyholder and the insurance company is governed by the contract, which details the rights and responsibilities of both parties.