A high-deductible health plan (HDHP) is a type of health insurance that requires policyholders to pay a higher amount out-of-pocket before their insurance coverage kicks in. Typically, these plans have lower monthly premiums but higher deductibles, which means individuals must spend more on healthcare costs before the insurance starts to cover expenses. HDHPs are often paired with Health Savings Accounts (HSAs), allowing individuals to save money tax-free for medical expenses. This combination can be beneficial for those who are generally healthy and do not expect to incur significant medical costs, as it can lead to lower overall healthcare spending.