Understanding Refined Coconut Oil: Definition and Characteristics Coconut oil has been an essential part of the human diet for centuries. However, the interpretation of the benefits it provides has varied over the years, and so, has its utility. Today, coconut oil is mostly used for its various health benefits. When it comes to coconut oil, there are different types to choose from, each with its unique characteristics. One of the most popular types of coconut oil available on the market is refined coconut oil.