1|Page
AHIP MODULE 2 – MEDICARE ADVANTAGE
(PART C) COMPLETE STUDY GUIDE## 50+
PRACTICE QUESTIONS WITH VERIFIED
ANSWERS & DETAILED RATIONALES**BASED
ON AHIP 2026 CURRICULUM | UPDATED FOR
CMS GUIDELINES**
## SECTION 1: Medicare Advantage Plan Types (Questions 1–15)
**1. Mr. Lopez has heard that he can sign up for a product called
"Medicare Advantage" but is not sure about what type of plan designs
are available through this program. What should you tell him about the
types of health plans that are available through the Medicare Advantage
program?**
A) They are primarily Health Maintenance Organization (HMO) plans
only
B) They are exclusively Preferred Provider Organization (PPO) plans
C) They are Medicare health plans such as HMOs, PPOs, PFFS, and
MSAs
D) They are only available through Original Medicare
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**Answer: C**
*Rationale:* Medicare Advantage (Part C) plans include several types:
Health Maintenance Organizations (HMOs), Preferred Provider
Organizations (PPOs), Private Fee-for-Service (PFFS) plans, Medical
Savings Account (MSA) plans, and Special Needs Plans (SNPs) .
---
**2. Mr. Wells is trying to understand the difference between Original
Medicare and Medicare Advantage. What would be a correct
description?**
A) Medicare Advantage is a way of covering all the Original Medicare
benefits through private health insurance companies
B) Medicare Advantage provides fewer benefits than Original Medicare
C) Original Medicare is managed by private insurance companies
D) Medicare Advantage only covers hospital services
**Answer: A**
*Rationale:* Medicare Advantage plans are offered by private insurance
companies approved by Medicare. These plans cover all Part A and Part
B benefits (except hospice, which remains under Original Medicare),
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and often include additional benefits like prescription drug coverage,
vision, dental, and hearing services .
---
**3. Which of the following statements is correct about Medicare
Medical Savings Account (MSA) Plans?**
I. MSAs may not have a network or may have a full or partial network
of providers.
II. MSA plans must cover preventive services that have no cost sharing
before the enrollee has met the deductible.
III. An individual who is eligible for health care benefits through the
Veteran's Administration may enroll in an MSA.
A) I only
B) II only
C) I and II only
D) I, II, and III
**Answer: D**
*Rationale:* All three statements are correct. MSA plans combine a
high-deductible health plan with a medical savings account. They may
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or may not have provider networks. Preventive services are covered
without cost sharing even before the deductible is met. Individuals
eligible for VA benefits are still eligible to enroll in MSA plans .
---
**4. Which of the following is NOT a type of Medicare Advantage
plan?**
A) Health Maintenance Organization (HMO)
B) Preferred Provider Organization (PPO)
C) Medicare Supplement (Medigap) Plan
D) Private Fee-for-Service (PFFS) Plan
**Answer: C**
*Rationale:* Medigap (Medicare Supplement Insurance) is not a
Medicare Advantage plan. Medigap works alongside Original Medicare
to cover out-of-pocket costs. Medicare Advantage plans replace Original
Medicare .
---
AHIP MODULE 2 – MEDICARE ADVANTAGE
(PART C) COMPLETE STUDY GUIDE## 50+
PRACTICE QUESTIONS WITH VERIFIED
ANSWERS & DETAILED RATIONALES**BASED
ON AHIP 2026 CURRICULUM | UPDATED FOR
CMS GUIDELINES**
## SECTION 1: Medicare Advantage Plan Types (Questions 1–15)
**1. Mr. Lopez has heard that he can sign up for a product called
"Medicare Advantage" but is not sure about what type of plan designs
are available through this program. What should you tell him about the
types of health plans that are available through the Medicare Advantage
program?**
A) They are primarily Health Maintenance Organization (HMO) plans
only
B) They are exclusively Preferred Provider Organization (PPO) plans
C) They are Medicare health plans such as HMOs, PPOs, PFFS, and
MSAs
D) They are only available through Original Medicare
,2|Page
**Answer: C**
*Rationale:* Medicare Advantage (Part C) plans include several types:
Health Maintenance Organizations (HMOs), Preferred Provider
Organizations (PPOs), Private Fee-for-Service (PFFS) plans, Medical
Savings Account (MSA) plans, and Special Needs Plans (SNPs) .
---
**2. Mr. Wells is trying to understand the difference between Original
Medicare and Medicare Advantage. What would be a correct
description?**
A) Medicare Advantage is a way of covering all the Original Medicare
benefits through private health insurance companies
B) Medicare Advantage provides fewer benefits than Original Medicare
C) Original Medicare is managed by private insurance companies
D) Medicare Advantage only covers hospital services
**Answer: A**
*Rationale:* Medicare Advantage plans are offered by private insurance
companies approved by Medicare. These plans cover all Part A and Part
B benefits (except hospice, which remains under Original Medicare),
,3|Page
and often include additional benefits like prescription drug coverage,
vision, dental, and hearing services .
---
**3. Which of the following statements is correct about Medicare
Medical Savings Account (MSA) Plans?**
I. MSAs may not have a network or may have a full or partial network
of providers.
II. MSA plans must cover preventive services that have no cost sharing
before the enrollee has met the deductible.
III. An individual who is eligible for health care benefits through the
Veteran's Administration may enroll in an MSA.
A) I only
B) II only
C) I and II only
D) I, II, and III
**Answer: D**
*Rationale:* All three statements are correct. MSA plans combine a
high-deductible health plan with a medical savings account. They may
, 4|Page
or may not have provider networks. Preventive services are covered
without cost sharing even before the deductible is met. Individuals
eligible for VA benefits are still eligible to enroll in MSA plans .
---
**4. Which of the following is NOT a type of Medicare Advantage
plan?**
A) Health Maintenance Organization (HMO)
B) Preferred Provider Organization (PPO)
C) Medicare Supplement (Medigap) Plan
D) Private Fee-for-Service (PFFS) Plan
**Answer: C**
*Rationale:* Medigap (Medicare Supplement Insurance) is not a
Medicare Advantage plan. Medigap works alongside Original Medicare
to cover out-of-pocket costs. Medicare Advantage plans replace Original
Medicare .
---
