The 64-year-old actor was flown to hospital in Manchester from Spain last weekend after being taken ill during filming of the ITV favourite.
Newspapers reported that the Newcastle-born star had been fighting for his life after falling ill more than a month ago.
Now bosses have confirmed the actor has been written out of the ninth series of the show while he is treated for the undisclosed illness.
And it also means his role as Gastric in a third series of Doncaster-based cornershop sitcom Still Open All Hours, due to be filmed later this year, could also be in doubt.
Comic legend Sir David Jason and the rest of the cast, crew and cameras are due to return to Balby in September to film more episodes of the show.
Benidorm's filming schedule was adjusted to deal with the actor's absence but his departure has now forced a rewrite of scripts for shows that will air in 2017.
A spokesman for the ITV show said: "Tim won't be appearing in episodes whilst he rests and gets better."
Healy has played the cross-dressing character of Les/Lesley in Benidorm since 2010.
The former Auf Widersehen Pet star has filmed two series Still Open All Hours at the converted Beautique hairdressing salon on the corner of Lister Avenue and Scarth Avenue in recent years.
He was married to Loose Women presenter Denise Welch for 24 years before divorcing in 2012.