Final answer:
The health policy described is known as a policy with guaranteed renewable terms, which does not permit premium increases based on an individual’s health condition and is a concept supported by legislation such as the Affordable Care Act.
Step-by-step explanation:
The health policy that always renews without an increase of premium could be identified as a policy with guaranteed renewable terms. This type of policy typically does not allow for an increase in premiums based on changes in an individual's health status. Guaranteed renewable policies are designed to maintain the same premium as long as the policy is in effect, although premiums can sometimes increase for other reasons such as changes in the overall cost of healthcare.
In the context of health insurance, the notion of a policy that renews without premium increases is particularly relevant. The Patient Protection and Affordable Care Act (PPACA), more commonly known as Obamacare, introduced reforms aimed at expanding health care coverage to millions of uninsured Americans. This includes preventing insurance companies from denying coverage or charging higher premiums based on preexisting conditions, as well as other measures to keep health insurance both accessible and affordable.
It's important to note that while some health policies have features like guaranteed renewable terms, this does not make them immune to all forms of premium increases, such as those applied across the board due to health care inflation or changes in insurance regulations.