(iWatch concept by Todd Hamilton)

Apple could be planning to subsidize the cost of its upcoming wearable product through health insurers, Cowan & Co. analyst Timothy Arcuri speculates.

“We continue to believe it is possible the product (iWatch) is backstopped by some sort of insurance subsidization model similar to the carrier subsidization model for iPhone.”

The report, which believes Apple will announce the fitness-related device in September and launch ahead of the holidays at an average selling price of $250, says Apple will position the iWatch as a device that makes customers more health conscious.

While its unclear if Arcuri’s healthcare subsidy prediction holds any merit (his production and price estimates are based on conversations with companies in the supply chain), it is evident that Apple’s anticipated wearable entry will have a strong emphasis on health and fitness.

Earlier last month, we shared Apple’s upcoming health and fitness app in-detail dubbed Healthbook and aimed at a future version of Apple’s iOS mobile software.

healthbook-book

The app illustrates Apple’s interest in collecting and presenting extensive health data including respiratory rate, heart rate, hydration, blood sugar, and more. We’ve also reported on several of Apple’s health and fitness-related hires as well as on the iWatch’s sensor-laded potential in development.

Earlier this week, KGI Research analyst Ming-Chi Kuo released his 2014 prediction timeline for Apple’s product launches which included an iWatch in two sizes in Q3 with one model potentially priced at the several thousand dollar price point.