This work presents a damage evolution framework including liquid-assisted healing. The model incorporates contributions from void size, void pressure, surface tension and liquid pressure. Experimental motivation for the damage-healing model is provided with in-situ melting experiments, where the evolution of the void distribution under monotonic tension is illustrated. The damage evolution is based on nucleation and growth of voids, which are modeled in a unified creep and plasticity framework. The proposed damage formulation introduces a void collective, which computes the void distribution in the material and allows to describe void collapse using the Rayleigh-Plesset equation. The necessary conditions for healing are discussed with use of model results. Particularly, the role of external load during healing, the dependence on liquid viscosity and surface tension are investigated.