The aim of this chapter is to discuss if team sport offer psychological benefits above and beyond the benefits that can be acquired through individual physical activity. Psychological benefits of physical activity in general are compared to benefits of team sport. It is concluded that team sport holds an unused potential for psychological health improvement. This potential stems from the social qualities of team sport that both have a direct impact on psychological health and are indirectly important because it elicits higher motivation than individual physical activity. The chapter concludes with implications for practice and research.